Eagle1993

Based on the judge's comment yesterday, there is a 0.0000001% chance any further vetting of claims will be done before plan confirmation. Vetting will be done during trust distribution (except for $3500 payout).

To restart a new plan, go through voting, etc. could easily mean they would remain in bankruptcy through 2022. Their cash is near $0 by September and that assumes they can back off on bankruptcy expenses. It was interesting as it was the first time I heard anyone say it, but it seems clear, if this plan completely fails and is rejected, BSA will likely have to choose Chapter 7. Christian did give the judge a path to approval though ... I thought that was interesting. At least on the issues he raised today.

BSA counsel just said that if this plan is denied it will result in liquidation of BSA.

The judge also stated ... we have 82,000 claims and they are not going away. We have to deal with them.

David Christian closing out ... at age 15 I was the SPL and age 30 I was Cubmaster of my son's pack. We are not here to end the BSA. We are here to protect our client contract rights.

I find these arguments making more impact. David Christian, lawyer for certain insurers, said ... we recommend you reject the plan and send it back to mediation. However, on that continuum, if you don't do that, at least limit essentially how much you back this plan to allow some of these issues to be addressed during the trust process.

Ok .. it looks like a lawyer clarified why the settlement term is so important. They want the ability to fight claims from the trust in state court. They don't want the settlement and fair determination to come in now as it could limit their defense in the future.

The certain insurer lawyer finished up on big aspect of their objection, that the deal wasn't negotiated in good faith. The ending was interesting. Doren, the lawyer, talked about being a boy scout from 10 - 18 and one of his proudest moments was earning Eagle Scout. He and the certain insurers do not want BSA to fold. They want BSA to exit bankruptcy, but with an appropriate plan. (per them, this plan isn't acceptable). I only listened to 15 mins or so, and there were almost no questions from the judge. Would be interesting if she asked about any aspect of his presentation.

I don't think she was going to give much weight before and now almost none. What claim do they now have? A potential claim IF they win in appeals and then IF that appeal goes back to district and then IF they win there. By the time they finish all of that, I expect whatever insurance rights they were going to have access to would be exhausted paying other claims. The judge knew closing on the bankruptcy case was happening. I'm sure he wanted to dismiss their lawsuit before the hearing was over. I don't think the timing was accidental. We will see .... I hope to be watching with the GSUSA lawyer completes their closing. I could see the judge asking ... ok, your lawsuit was dismissed, so can you please explain what exact claim you have?

Judge tosses Girl Scouts' recruitment suit vs. Boy Scouts (yahoo.com) This should toss them out of bankruptcy as well. It was a garbage lawsuit about an organization upset BSA started accepting girls. The good news is that on the ground, BSA & GSUSA volunteers kept working together. My pack & a few GSUSA groups just a few months ago had joint activities.

Just joined and heard a Pro Se claimant indicate John Roberts (yes the supreme court's John Roberts) has accused him of Treason? Sounds like he has a very interesting story. 1972 John Roberts moved into his house, intercepted a communication from the Pope ...

My thoughts from what I saw from the 1st day (I didn't listen in all day so may have missed key updates). Bad faith ... I expect that objection will fail. Judge almost said as much. Venue location ... objection will fail Is TDP a settlement ... my understanding is this is mildly important to help provide more power over insurance companies. ... tough to say, judge pushed back on this; however, it seemed like Dr. Patterson (sp?) made some progress arguing this later on. Fee for independent review ... judge didn't ask many questions, but she may when someone argues in favor of it TCC lawyer went on a while about how important this case is to resolve the claims and that tort is a bad substitute ... the judge responded I understand your non technical summary of this case. Seemed to be a bit of a shot. Those who want the whole case thrown out or the plan blown up are not winning any arguments. I think this is more about details within the plan structure.

Lauria done & court done for today. Judge had no questions. Now Patterson defending $20K fee. Many arguments including the fact the trustee can waive the fee. No questions from judge. 11AM tomorrow Done ... this is going to go well into next week.

DOJ done (about 3-4 mins). Now Lauria responding.

No questions from the judge ... probably not a good sign. BSA is ready with responses but Judge now going to Buchbinder (DOJ) about the $20K fee.

I believe Lujan Wolff said she would take 10 minutes. She is now 30 minutes in with almost no questions from the judge ... only the quick point that she isn't changing venue.

Wolff arguing venue ... judge not agreeing ... we are 2+ years in.

Wolff with good faith objection & DOJ independent review process fee objection to close out the day.

Girl Scout lawyer just jumped in and want to go now. Attempt to close out some 1 off issues.

6.5 hours of argument in support of plan, was suppose to be 2 hours. Certain insurers questioning if they should even start today.

No questions/comments from the judge. She said she will wait for the insurers. Given that this trust will last 10+ years, that means at least $15M of the trust is just going to the Trustee.

Judge just gave up attempting to keep this on schedule. Taking a break for lunch (she was hoping to get through proponents before lunch). She said ... we are behind. Part of that is on me, part is not. 1 hour break for lunch. Way off schedule per judge ... but it's where we are.

I believe that is true. However, the judge seemed clear the timeline was nice, but not anything she plans to hold to. She is going to allow the sides to argue their point. I do expect if she sees no value and it is beyond time limits, she may use them.

I had to drop off for a bit and just joined during a break. Judge focused on settlement language and part of bankruptcy code to use. The judge keeps going back to the fact that not one single claim is being settled in this plan. The trust will then settle the claims. The lawyer with Brown Rudnick is pushing back hard. It would be interesting to know why this is a battle and the impact if the judge covers this as not a settlement of claims.

Some redlines to the Settlement Trust this morning. Interesting that it could become a LLC. In any case, nothing major as far as I can see. bfe4d8b9-2f7f-455a-90da-18ff8a1a4199_9595.pdf (omniagentsolutions.com)