Primer on the new GM

SMALL BUSINESS MEET THE CH11 DEATH STAR
WHAT YOU REALLY NEED TO KNOW IF YOU WERE A SUPPLIER OR CONTRACTOR TO GM AND WERE PAID BY GM 90 DAYS BEFORE THEY FILED CH11 IS CH11 547c “Avoidance of Transfer”!!!!!!!!!!
MEET THE CH11 DEATH STAR
SO FOLKS, MEET CH11 DEATH STAR: “Avoidable Transfers” The debtor in possession or the trustee, as the case may be, has what are called “avoiding” powers. These powers may be used to undo a transfer of money or property made during a certain period of time before the filing of the bankruptcy petition. By avoiding a particular transfer of property, the debtor in possession can cancel the transaction and force the return or “disgorgement” of the payments or property, which then are available to pay all creditors. Generally, and subject to various defenses, the power to avoid transfers is effective against transfers made by the debtor within 90 days before filing the petition

PLAIN English. If your were paid for services and in some cases goods 90 days before GM went 11 you WILL pay it ALL back. They have up to two years to file and in truth there is NO DEFENSE. They simply make you part of the “batch filing” and you pay. We got robbed for 32K, The horror is the CH11 company C// Level contacted US for services, contracted us for services, ALL THE WHILE they had hired “Experts on CH11″ to include their NEW CFO. NOT one word of their setting up with lawyers to file CH1. We were paid and two weeks later they filed CH1. Nearly TWO years LATER we got Summons to Fed Bankruptcy Ct 800 miles away.. We contacted lawyers locally and in the Court area. ESTIMATES for Lawyers ran from $10-15K retainer, and “Estimate it will run around 24=35K or more etc” and one was honest enough to say “you will still lose as 547c has NO defense. He was right and in middle of recession we now are owing in FED COURT, all together different then state or local, $32K PLUS court costs.. We were set up by “Experts hired to lead them though Ch11″ and in any other court this would be entrapment or fraud as the KNEW they’d get all back first called and contracted us and as they paid us..
NOTE the “Creditors” were billion dollar investment firms, they, the lawyers and CEO levels did just fine, and they went at 600 contractors under 547, this was a very small firm that closed all their plants, wiped out retirements-benefits and now import from China.
I can only guess at the thousands of small business’s that are going to get one hell of a suprise in the mail as “Record nr of CH11 filed” and the two year float time to file is just staring up now. CONGRESS wrote the “new ver of CH11/2005-06 as told by the lawyers and special interests. NONE in congress would respond ot fax, email or calls about this horror . I assure as in the Sci-fi movies, when this unexpected CH11 Death Star shows up, it eats up and destroys small business and there is NO defense. NONE in media or politics will address or discuss it and can only guess at how many hundreds of thousands small business that did business with GM and it’s various operating areas are going to get hammered. . so if you had “A good last three months with ANY firm that went CH11.. watch out as the CH11 Death Star launched by Congress and crewed by legions of lawyers and invertors growing rich, is about to show up. . and as said there is NO practical defense, CH11 is one of worse laws on the books, but no one will discuss it as it is making lawyers and investors rich beyond their dreams… but for the “others”. we are mid 60′;s and saw a 780 credit score ruined, our lives ruined and in truth, no one really gives a damn.. Our own survey of peer small business is 90% never heard of 547c and then said “they cannot do that”, but “they do”.
THERE IS NO ONE THAT ADVOCATES FOR US OR SMALL BUSINESS IN THIS ONE, You are own you own, NO media will do any indepth as most do not have a clue and the politicians will not say a word as in pocket of what is a very lucrative CH11 industry with huge lobby..

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