No , Cubs , common shares cannot just be wiped out on a whim .
Common shareholders have rights and entitlements under the U.S. Bankruptcy Laws . Albeit the common holders are relegated to last place behind secured creditors , unsecured creditors , Trustee and legal expenses , Preferred shareholders
( apparently none in LandAmerica's Share Structure ) , and then the common holders .
Typically when a Chaptered company's debts exceed their liabilities the common are wiped out , usually as a reverse split into ONE share that the Trustee retains .
In LandAmerica's case it is apparent that the Company's assets are greater than all liabilities , but even if their assets equalled their liabilities the common shares would be permitted to continue .
This is a long subject to write about in a few paragraphs but it is imperative for everyone to know that under the U.S. Bankruptcy Laws a Shareholder Equity Committee with full legal representation can be granted by the BK Judge , and ordered as an expense against the Estate of the chaptered company . Such a Committee would not cost shareholders one penny , and the representing Lawyer would argue on our collective behalf .
With only ~ 15 million Outstanding Shares it would be extremely difficult for the Trustee or any creditor to argue that the retention of the common shares would encumber or burden the re-organization of LandAmerica ; and if the Company liquidates entirely then the common shareholders get the ENTIRE balance left over after all other expenses .
We will organize a Shareholder Equity Committee application if there are any doubts , even miniscule doubts , about the Equity being retained .
I will personally stand at the forefront if such action becomes necessary .
Renee
To bite the worm of incite is to bite the HOOK of the antagonist . They win .
