As the Infowars bankruptcy case develops, Haynes Boone Partner Matt Ferris spoke to CNN about the atypical nature of the case and how the judge may be approaching it.
Read an excerpt below:
Matt Ferris, a bankruptcy attorney in Texas and partner at Haynes Boone, said in an interview that this case was “atypical” and “much more litigious.”
“It’s unusual to see the auction process challenged on the back end. It’s unusual to see a judge find trouble with that, unless there’s something really out of the order that has happened,” Ferris said.
But Ferris said that while much of the attention has been on the process, the judge is also “looking at the bottom line of the amount of both of these bids, and just thinking that the dollar amount for the recovery of creditors is just not there, and wanting the parties to go back to the negotiating table to try to bring that number up.” …
In bankruptcy cases like these, there’s a balance between how much it costs to get rid of assets and the value of the assets themselves, Ferris said.
“At some point, if the value of these assets is going to be offset by the cost of running the process, then it doesn’t make sense to move forward,” Ferris said.
