Change the Corporate Bankruptcy laws to be inclusive of shareholders.

The Issue

We understand that in this economic climate, seeking bankruptcy protection is something that many companies need to explore in order to streamline their businesses and continue to operate as going concerns. However, under present Corporate Bankruptcy laws, certain stakeholders have an automatic seat at the negotiating table (ie Creditor's committee) while others need to mount an expensive fight to even be heard. Equity realizes that in the pecking order of current laws, owners get paid last. We have no argument with that. However, while hundreds of millions of debt dollars are being shed routinely so companies can reorganize themselves, it is almost criminal that those that have taken the most risk have no automatic seat at the table, and that the US Trustee's office (DOJ) along with the Debtor, can determine whether or not equity even deserves a voice in the proceedings. This, we take great issue with. Hundreds of millions of investment dollars; of families' nest eggs and wealth, are being thrown away each year. Help us stand against the hedge funds and the large corporate bondholders, to at least HAVE A VOICE.

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Delaware Shareholder ServicesPetition StarterIlene is the Principal of Delaware Shareholder Services
This petition had 202 supporters

The Issue

We understand that in this economic climate, seeking bankruptcy protection is something that many companies need to explore in order to streamline their businesses and continue to operate as going concerns. However, under present Corporate Bankruptcy laws, certain stakeholders have an automatic seat at the negotiating table (ie Creditor's committee) while others need to mount an expensive fight to even be heard. Equity realizes that in the pecking order of current laws, owners get paid last. We have no argument with that. However, while hundreds of millions of debt dollars are being shed routinely so companies can reorganize themselves, it is almost criminal that those that have taken the most risk have no automatic seat at the table, and that the US Trustee's office (DOJ) along with the Debtor, can determine whether or not equity even deserves a voice in the proceedings. This, we take great issue with. Hundreds of millions of investment dollars; of families' nest eggs and wealth, are being thrown away each year. Help us stand against the hedge funds and the large corporate bondholders, to at least HAVE A VOICE.

avatar of the starter
Delaware Shareholder ServicesPetition StarterIlene is the Principal of Delaware Shareholder Services

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