… to an article in the Associated Press, the nation’s largest construction subcontractor, Building Materials Holding Corp., will pay nearly $475,000 to a group of construction workers under a legal settlement approved by the bankruptcy judge overseeing the company’s Chapter 11 proceedings.

The article said:

“The lawsuit accused the company and its subsidiaries, including San Francisco-based SelectBuild Construction Inc., of violating state and federal law by not paying …

Tags: Building Materials Holding Corp Labor Dispute SelectBuild Construction Inc. Settlement

Holding rental property when filing bankruptcy can impact your “means test” and your post-bankruptcy fresh start depending on the circumstances surrounding that property.  Let’s take a look at a few scenarios:

If you have a rental property with a paying tenant, the rent received will be counted towards your income.  This fact alone could cause you to “fail” the means …

Permalink: /chapter_7_bankruptcy/filing-bankruptcy-while-holding-rental-property/

… to an article in Reuters, an independent oil and natural gas company Baseline Oil & Gas Corp filed for Chapter 11 bankruptcy protection in a Texas bankruptcy court due to their inability to pay creditors, declining commodity prices, disappointing development drilling results and the U.S. economic decline.  The company has $13.6 million in debt and only $3 million in assets. The debtor has entered Chapter 11 bankruptcy with a “prepackaged” bankruptcy plan, under which …

Permalink: /bankruptcy/baseline-oil-gas-corp-files-chapter-11-bankruptcy/

According to an article in the Star-Telegram, auto parts supplier Visteon Corp., along with some of its U.S. units filed Chapter 11 bankruptcy because of reduced demand from automakers.

The article said:

“During the reorganization period, we will seek to address our capital structure and legacy costs that are not sustainable given the current economic environment,” said Donald J. Stebbins, chairman and chief executive, in a statement.

Visteon may only be …

Permalink: /chapter-11-bankruptcy/auto-parts-supplier-visteon-corp-files-chapter-11-bankruptcy/

According to an article in the Dallas Morning News, Zale Corp., a jewelry retailer has reported a net loss of $23.6 million and is implementing 245 job losses and closing 115 unprofitable stores. They are also cutting inventory in a effort to stop the bleeding and avoid bankruptcy. As we have mentioned several times on this blog, the retail sector is being hit by step sales declines and job losses forcing many to declare bankruptcy. Many jobs …

Permalink: /economy/zale-corp-job-losses/

Penton Business Media Holdings Inc. filed for Chapter 11 bankruptcy protection in hopes that the company can reduce the large amount of debt it incurred when the company bought trade-magazine publisher Penton Media Inc. three years ago.  Penton Business Media came to its bankruptcy decision after it became apparent it may not be able to pay its debts.  Penton Business and Penton Media …

Permalink: /bankruptcy/penton-business-media-holding-files-chapter-11-bankruptcy/

Muzak Holding LLC a music and entertainment company which provides background music in stores, hotels and elevators just received approval of its Chapter 11 bankruptcy reorganization plan and hopes to exit Chapter 11 bankruptcy in late January.  The company, which filed for bankruptcy protection in February to restructure maturing debt, was able to slash its debt burden to less than half of what …

Tags: Chapter 11 Bankruptcy DMX Inc. Muzak Holding LLC Reorganization

… year. The biggest and most recent job losses are coming from defense contractor Lockheed Martin Corp. which is implementing 1,200 job losses and shipping giant UPS which is implementing 1,800 job losses.

Shipping giant UPS Inc. will cut 1,800 management and administrative jobs, less than 1 percent of its global work force, as it repositions itself for a gradual economic recovery.

UPS will reduce its U.S. regions from five to three and its U.S. Districts from 46 to 20 in April. There …

Tags: Job Loss Lockheed Martin Corp Recession UPS

The holding company of MediaNews Group Inc., which owns 54 daily newspapers, along with television and radio broadcasters, plans to file Chapter 11 bankruptcy after getting hit hard by the lagging advertising revenue that sent their balance sheet into a tailspin.

MediaNews said its holding company will file a “prepackaged” bankruptcy …Under MediaNews’s plan, senior lenders will swap …

Eye-care services company, TLC Vision Corp., is seeking bankruptcy protection.

Tiger Woods has been all over the headlines recently for his controversial life off the course, and he is making headlines again this week.  Even though he’s in the headlines again, this news probably won’t make the tabloids.  One of his sponsors, TLC Vision Corp., is filing for bankruptcy.  The company, which deals in eye-care services, needs …

Tags: Bankruptcy Tiger Woods TLC Vision Corp

… subject to the security interest of the creditor if the collateral does not consist of ‘ordinary building materials.’”

The bankruptcy court ruled that the pool kit was not ordinary building materials therefore the creditor’s claim was secured. This case is important to note for debtors who have financed luxury additions to their primary residence. If, for example you have financed a swimming pool and the bankruptcy court claims it is secured, if it is a high enough amount it could …

According to an article in the Dallas Morning News , pre-owned home prices in the Dallas- Fort Worth area have dropped 5 percent in 2009. Nationwide pre-owned home prices have dropped 19 percent. This is leaving many Dallas-Fort Worth homeowners owing more on their homes than they are worth and sometimes even facing foreclosure because of resetting ARMs and/or job losses.

Many homeowners …

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