Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Politics : American Presidential Politics and foreign affairs -- Ignore unavailable to you. Want to Upgrade?

To: TimF who wrote (35471)	5/11/2009 1:24:49 PM
From: DuckTapeSunroof	Read Replies (1) \| Respond to of 71588

Re: [the goal of a chapter 11 is to RESTRUCTURE the business so as to CREATE a VIABLE, ongoing concern.] "True but irrelevant." It (the main goal of chapter 11: building a viable business) is relevant simply BECAUSE pursuit of that goal is WHAT LEGALLY JUSTIFIES a bankruptcy court to reorder debt priorities when they legally restructure the company's debts. Re: "Favoring junior creditors over senior creditors is not necessary to restructure the business." In your opinion. However, if the federal bankruptcy court DECIDES THAT IT IS REQUIRED, then that is exactly what they do. And... there is a SPECIFIC PROVISION in the federal bankruptcy codes (relating to chapter 11 reorganizations) which AUTHORIZES the court to do exactly that. (So, there is nothing new here at all....)