Bill on Bankruptcy: Lawyers Easily Make Simple Words Complicated
April 24 (Bloomberg) — With $64 million at stake for creditors of Lehman Brothers Holdings Inc., lawyers can find complexity even in simple words like “immediately proceeding,” as Bloomberg Law’s Lee Pacchia and Bloomberg News bankruptcy columnist Bill Rochelle discuss on their new video. Rochelle discusses why the U.S. Supreme Court will likely grant an appeal to resolve disagreement among federal appellate courts on the question of whether an inherited individual retirement account is or isn’t exempted from claims of creditors. Overseas Shipholding Group Inc. is a case where the $4.50 stock of the bankrupt ship owner dropped in price once company insiders were allowed to sell their holdings. The video ends with statistics on the bond market that can’t gorge itself on enough junk debt. Rochelle cites statistics showing more than half of all retailers liquidate in bankruptcy where companies in other industries almost always reorganize or stay in business.