Best Estate Planning Attorneys in New Bedford, MA

What does the Blue Harvest bankruptcy mean for its business partners? As you may have heard, Blue Harvest filed for Chapter 7 in Delaware. This post will outline what will happen to the business, its assets, and its creditors. Assets of Blue Harvest will be sold or given back to secured lenders. So any equipment encumbered by a lien - mortgage or UCC - will revert to the creditor. Other assets will be sold. Proceeds will distributed to any unsecured creditor after all other claims have been paid. In order to participate, creditors must file a proof of claim in the case. Attorneys get paid first. The Trustee is going to rack up an enormous fee, as will his attorney (yes, they get their own) and any accounting professionals. This will be paid first. Then, taxes and other priority claims. Finally, any money left over will be paid to unsecured creditors pro-rata. Corporations don't receive a discharge. At the end of the case, the trustee will file a written report detailing the steps he took and how creditors were treated. The court will close the case, but there will be no discharge entered.