We received the following update from Blum Collins this evening (see below). Everyone should read this post to make sure the bankruptcy court and all other parties have your current address.
We are class counsel for the certified class of former Heller Ehrman employees seeking unpaid wages from the bankruptcy estate. Here is what we currently know about the status of a possible additional distribution of money to former Heller Ehrman employees.
Late last week, Heller filed a motion asking the Court to give notice by publication of its plans to file a motion to make an interim distribution to unsecured creditors (which includes employees). Heller also filed a motion to seal the list of employees (and how much money each will get). This is to protect employee privacy.
The publication motion has some general information about the claim percentages to be paid (i.e., 24 to 33 percent). As we reported in our previous email, the bankruptcy estate has raised money by settling its cases against Bank of America and also against Covington & Burling. Heller has not yet determined how much the distribution will be, nor what any individual employee’s share will be. Heller will be sending you a letter with this information soon.
Based on these motions, we expect that Heller will make the payment by September 15, 2011.
If you like to read bankruptcy court documents, you can review the publication motion by clicking this link: http://dl.dropbox.com/u/2868013/Motion%20to%20Publish%20Notice%20of%20Dist%20Motion.pdf
You can review the motion to seal by clicking this link: http://dl.dropbox.com/u/2868013/Motion%20to%20seal%20distributions.pdf
Sincerely,
Craig M. Collins
Blum Collins LLP
This is great news, but I have a question. Maybe I am misunderstanding the terminology, but wasn’t the earlier payment for unsecured claims as well–just for that portion entitled to priority?
Then, is this payment a percentage of the remainder of that unsecured claim (i.e., the difference between my initial claim and the payment I already received)?
This statement is pretty ambiguous from the publication motion—anyone with a background in this area know what this means former employees?
“Debtor seeks, among other things, authorization to make an interim distribution of approximately 24% to the holders of Allowed General Unsecured Claims in this case. The Distribution Motion also seeks authority to distribute additional funds up to approximately 33% to holders of Allowed General Unsecured Claims on a pro rata basis to the extent that additional funds are available for distribution prior to December 31, 2011.”
Does this mean to expect:
– 24% of each individual’s Allowed General Unsecured Claim, plus possibly an additional 33% of each individual’s Allowed General Unsecured Claim (total of up to 57%)?
– 24% now, plus possibly an extra 9% (total of up to 33%)?
– something different entirely?
To Me on 8/16:
I’m no expert, but I believe we all should have already received 100% of our priority claim amount, so all that is left is the allowed general unsecured claims (and subordinated claims that are never going to see a nickel).