Chapter 11 announced

[Eagle1993 2160]

 

4 minutes ago, ThenNow said:

Honestly, I think the message was misheard, but I understand the reaction. What was said, to closely paraphrase was, "go file now because the lawsuits are the only way to put pressure on them to come to the table." 

I clarified in a later post.  I agree.

Edited March 12, 2021 by Eagle1993

[ThenNow 1373]

4 minutes ago, CynicalScouter said:

This is over. I am so sad right now. Yes, I understand these people were abused and I mourn and weep for them. But I am crying that my sons will be out of scouts by the summer.

I am genuinely sorry.

[CynicalScouter 1434]

Just now, ThenNow said:

I am genuinely sorry.

I am on the phone with my committee chair now. We are putting in a contingency plan we had discussed last fall at recharter.

We are going to do everything we can to get our Life Scouts to Eagle as soon as possible. There's going to be a lot of hand holding.

The CC had already drafted a letter to the troop parents indicating that we now expect BSA to be liquidated/cease operations by summer 2021. We'll be updating some language and pushing that out tomorrow.

I knew things were bad when I saw that BSA National slap-in-the-face offer of $6000. Now this is call tonight.

I'm just numb.

[Eagle1993 2160]

Just now, ThenNow said:

I am genuinely sorry.

Not your fault.  
I hope BSA goes back to their documents and really looks at what are restricted assets and offers everything else.   Then build a non CO model as I expect COs are gone..  Then settle with protection for the LCs and let the COs fend for themselves.

If they do this, BSA can survive.  I just don’t trust BSA’s leadership and I think they will realize this too late in the process and we will lose most of our camps.  

[ThenNow 1373]

1 minute ago, CynicalScouter said:

I knew things were bad when I saw that BSA National slap-in-the-face offer of $6000. Now this is call tonight.

I can be naive, as you well know, but is there no one who foresaw the high likelihood of this very backlash from the non-plan Plan they filed? It’s too late to run back with whiteout and a red pen, but they really and truly hung everyone out on this. Too be further gullible, any chance they got the message?

[Eagle1993 2160]

4 minutes ago, ThenNow said:

I can be naive, as you well know, but is there no one who foresaw the high likelihood of this very backlash from the non-plan Plan they filed? It’s too late to run back with whiteout and a red pen, but they really and truly hung everyone out on this. Too be further gullible, any chance they got the message?

Part of me thinks National gets it.  They are only protecting their “restricted” assets.  If the judge decides they are not “restricted” they will go to the Trust.  The TCC announced they will sue JP Morgan (likely over the Philmont line of credit).   So National is pretty clear... decide if HA bases are protected and clear up the JP Morgan mess.  

The billion dollar question is the hundreds of local councils.  Will they get it and turn over everything.   I’m not convinced.  

COs I expect will head down the lawsuit path.   

[CynicalScouter 1434]

2 minutes ago, ThenNow said:

but is there no one who foresaw the high likelihood of this very backlash from the non-plan Plan they filed?

I don't think they fully grasped it. I mean, still trying to protect Summit? WHAT?!

They didn't make an offer. They offered an insult. And it just got thrown back in their face.

The impression I got is that at this point, there is no scenario that gets a 66% deal. At this point, BSA could offer the moon and the stars. It isn't going to be enough to get to 66%

And if the judge refuses to order a cramdown, that means game over. BSA either self-liquidates or comes out of a failed Chapter 11 and is immediately sued into oblivion along with a large number of LCs.

But as I said, it isn't even the lawsuits. It is the COs who are going to walk away when they start to see 10 thousand lawsuits around the country.

[ThenNow 1373]

3 minutes ago, CynicalScouter said:

They didn't make an offer. They offered an insult. And it just got thrown back in their face.

I know this helps nothing and no one, but when I understood what they had/hadn’t offered and what they didn’t bring to the table (LC’s offer), I wondered if any member of their legal team warned them of lowball whiplash. It’s the most classic case of poor optics and stumbling out of the gate negotiation strategy I’ve ever seen. Also notable, TCC counsel said the Plan was in no way no how reviewed by or negotiated with them. That’s just plain stupid. My opinion. 

[MattR 2659]

Is it possible we're overreacting? I mean, follow the money. If the TCC doesn't get a 66% vote then all these lawyers working for the TCC get? Much less than going after each individual case.

[Eagle1993 2160]

Just now, MattR said:

Is it possible we're overreacting? I mean, follow the money. If the TCC doesn't get a 66% vote then all these lawyers working for the TCC get? Much less than going after each individual case.

They get $1M per month.  The TCC lawyers do at least.  

[Eagle1993 2160]

Just now, Eagle1993 said:

They get $1M per month.  The TCC lawyers do at least.  

To be clear. The TCC legal team, accountants, etc are all billed to BSA.  They have to pay them.  They are not working on contingency.   

[CynicalScouter 1434]

2 minutes ago, Eagle1993 said:

They get $1M per month.  The TCC lawyers do at least.  

Right. Regardless of what happens, win, lose, or draw, the TCC lawyers and their firms already made bank.

[Eagle1993 2160]

46 minutes ago, MattR said:

Is it possible we're overreacting?

I hope so.  I’m just not convinced the BSA evolves quickly enough to survive this.

[Eagle1993 2160]

News starting to hit local councils.  That was fast.

North Carolina Boy Scouts accused of underpaying abuse survivors (wxii12.com)

 

[BQZip 71]

1. It’s my understanding that TCC ‘s claim that all 85,000 are confirmed abuse survivors is (at best) a massive exaggeration. When all is said and done, the total number will be WAY less. (My guess, less than 10,000...hopefully WAY less). Thousands of these claims are little more than “I was a scout and I was abused” with no clear identifying information of the claimant or whom they are accusing. That doesn’t mean that abuse didn’t happen, but they won’t be certified by the courts as claimants

2. Abuse survivors SHOULD be compensated....by their abusers and their enablers. The connection to councils and units is tenuous as they were simply following national guidelines. 
 

I’m just a layperson, but the people who want millions each are being unreasonable. All the councils and units put together don’t have those assets. Offering $330M is ~20% of ALL assets. Let’s say it’s everything they own, which isn’t a reasonable figure either. It would be $30k/person. The money these people envision simply isn’t there. 

The fact is, they are suing the big money, not those actively involved in the abuse. BSA is and has been taking reasonable steps to prevent abuse. The courts need to recognize they are doing all they possibly can at this point and WAY more than most.

Edited March 12, 2021 by BQZip