Bill Aims to Make Bankrupt Companies File for Protection Closer to Home
Source: Wall Street Journal
Senate lawmakers have introduced a bill that would force struggling companies to file for bankruptcy protection in a courtroom close to their headquarters, closing a controversial loophole that has enabled the countrys biggest restructurings to unfold in New York and Delaware.
On Monday, Sens. John Cornyn (R., Texas) and Elizabeth Warren (D., Mass.) said in a joint statement that the bill is meant to allow workers at bankrupt companies, small businesses, retirees and others to participate in cases that will have tremendous impacts on their lives.
The bill, if passed, would mark one of the biggest shifts in corporate bankruptcy history, sending cases to courts across the country. Mr. Cornyn said the measure will strengthen the integrity of the bankruptcy system and build public confidence.
Ms. Warren added that the bill would prevent big companies from cherry-picking courts that they think will rule in their favor and to crack down on this corporate abuse of our nations bankruptcy laws.
Read more: https://www.wsj.com/amp/articles/bill-aims-to-make-bankrupt-companies-file-for-protection-closer-to-home-1515444161?__twitter_impression=true
catrose
(5,073 posts)JOHN CORNYN co-sponsoring a bill with ELIZABETH WARREN?
laserhaas
(7,805 posts)Warren and Cornyn to do something about corruption in bankruptcy courts; but the problem is, it affects law firm revenues.
Back in 2005, when we were close to getting Romney's "Bankruptcy Ring" gangs, investigated, we were surprised by Senator Cornyn joining with UCLA Law Professor LoPucki, concerning bankruptcy court corruption.
Senator Cornyn actually went where no other would venture, stating that
http://LoPucki.com
TomSlick
(11,108 posts)The Dems will like the protection of workers while Repugnants generally don't like bankruptcy.
Not that it matters, but logically the venue for corporate bankruptcies ought to be the corporate headquarters.
laserhaas
(7,805 posts)Not even Senators Cornyn & Warren
Yavin4
(35,445 posts)Not even if it's under a stack of Big Macs.
laserhaas
(7,805 posts)One would hope the unity of purpose will overcome him
vkkv
(3,384 posts)Watch them blow it..
laserhaas
(7,805 posts)For 13 years...
This legislation is L O N G ...overdue
Raven123
(4,862 posts)laserhaas
(7,805 posts)To Delaware - where his sister us a Judge on 3rd Circuit