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Monday, October 21, 2019 12:45:46 PM
“Many parties filed claims in the bankruptcy case when they only had a claim against the Bank and vice versa. Some didn’t know they had a claim against the Bank and may have missed filing deadlines or wasted time and money litigating in the wrong forum. Many did not make an appearance in the correct forum or respond to motions or other pleadings that affected their rights.”
“The holding company would be expected, consistent with its “living will,” to transfer funds to the operating companies before it files bankruptcy under subchapter V of chapter 11 to assure that the operating companies are fully viable. This is in contrast to the procedure for resolution by the FDIC under the Dodd Frank Act, but it is dependent on the holding companies having viable living wills and being held to comply with them.”
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