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SCO Group (TSG) Now Officially in Chapter 7, with Cahn Still at the Helm ~pj
Wednesday, August 29 2012 @ 05:39 PM EDT

It's a done deal. SCO is now officially transferred from Chapter 11 to Chapter 7 bankruptcy protection. Here's the order [PDF]. The Chapter 11 trustee, Edward Cahn, was to turn over all the records and assets to the interim Chapter 7 trustee as soon as the US Trustee appoints him or her, and file with the court within 14 days a list of all unpaid debts incurred after the Chapter 11 bankruptcy began and within 30 days a final report. Of course, as he requested, he is now appointed [PDF] as the Chapter 7 interim trustee. He just changes hats.

So what does that mean? Chapter 11 is where you are going to try to reorganize the business and save it, paying creditors whatever you can. Chapter 7 is where you have come to bury the company once and for all. But first you sell off any assets, which at the moment would be the litigation prospects. I wonder who might be interested in buying that?

Here are the filings:

08/23/2012 - 1436 - Certification of Counsel Regarding Motion to Convert Cases From Chapter 11 to Chapter 7 of the Bankruptcy Code (related document(s)1419) Filed by Edward N. Cahn, Chapter 11 Trustee for The SCO Group, Inc., et al.. (Attachments: # 1 Exhibit A # 2 Exhibit B) (Tarr, Stanley) (Entered: 08/23/2012)

08/23/2012 - 1437 - Notice of Agenda of Matters Scheduled for Hearing Filed by Edward N. Cahn, Chapter 11 Trustee for The SCO Group, Inc., et al.. Hearing scheduled for 8/28/2012 at 10:00 AM at US Bankruptcy Court, 824 Market St., 6th Fl., Courtroom #3, Wilmington, Delaware. (Attachments: # 1 Certificate of Service) (Tarr, Stanley) (Entered: 08/23/2012)

08/24/2012 - 1438 - Virtual Minutes of: 08/28/2012
Subject: Motion to Convert to Chapter 7.
Appearances: NONE.
Proceedings: VACATED: Certification of Counsel FILED - ORDER SIGNED - HEARING CANCELLED.
(vCal Hearing ID (155090)). (related document(s) 1437) (SS) (Entered: 08/24/2012)

08/24/2012 - 1439 - Order Converting Cases From Chapter 11 to Chapter 7 of the Bankruptcy Code (related document(s)1436) Order Signed on 8/24/2012. (TAS) (Entered: 08/24/2012)

08/24/2012 - 1440 - Notice Requiring Creditor/Noticing Information and Release of Claims Agent (TAS) (Entered: 08/24/2012)

08/24/2012 - 1441 - Amended HEARING CANCELLED/RESCHEDULED. Notice of Agenda of Matters Scheduled for Hearing. Filed by Edward N. Cahn, Chapter 11 Trustee for The SCO Group, Inc., et al.. Hearing scheduled for 8/28/2012 at 10:00 AM at US Bankruptcy Court, 824 Market St., 6th Fl., Courtroom #3, Wilmington, Delaware. (Attachments: # 1 Certificate of Service) (Tarr, Stanley) (Entered: 08/24/2012)

08/26/2012 - 1442 - BNC Certificate of Mailing. (related document(s)1440) Notice Date 08/26/2012. (Admin.) (Entered: 08/27/2012)

08/28/2012 - 1443 - Appointment of Trustee Edward N. Cahn, Esq. Filed by United States Trustee. (United States Trustee) (Entered: 08/28/2012)

That last one is where Mr. Cahn gets his wish, being appointed as the interim trustee, which I considered a foregone conclusion:
You are hereby notified of your appointment in an asset case as Interim Trustee/Trustee of the estate of the above named debtor. The amount of your bond has been fixed by the United States Trustee. You are required to notify T. PATRICK TINKER, ASSISTANT UNITED STATES TRUSTEE, at J. Caleb Boggs Federal Building, 844 King Street, Suite 2207, Wilmington, DE. 19801 in writing within (5) days after receipt of this notice only if you reject this case.

  


SCO Group (TSG) Now Officially in Chapter 7, with Cahn Still at the Helm ~pj | 279 comments | Create New Account
Comments belong to whoever posts them. Please notify us of inappropriate comments.
Corrections here
Authored by: SpaceLifeForm on Wednesday, August 29 2012 @ 06:04 PM EDT
If any.

---

You are being MICROattacked, from various angles, in a SOFT manner.

[ Reply to This | # ]

Comes docs here
Authored by: SpaceLifeForm on Wednesday, August 29 2012 @ 06:05 PM EDT


---

You are being MICROattacked, from various angles, in a SOFT manner.

[ Reply to This | # ]

News Picks commentary here
Authored by: SpaceLifeForm on Wednesday, August 29 2012 @ 06:07 PM EDT
Please include a link to the article you
are referencing.

---

You are being MICROattacked, from various angles, in a SOFT manner.

[ Reply to This | # ]

OT here
Authored by: SpaceLifeForm on Wednesday, August 29 2012 @ 06:10 PM EDT
Please make any links clickable.

---

You are being MICROattacked, from various angles, in a SOFT manner.

[ Reply to This | # ]

SCO Group (TSG) Now Officially in Chapter 7, with Cahn Still at the Helm ~pj
Authored by: Anonymous on Wednesday, August 29 2012 @ 06:30 PM EDT
What is the impact to former business contract partners of SCO that had a
bankrupcy clause in their contracts? For Example, does Microsoft now get a
unlimited SCO Unix license?

[ Reply to This | # ]

Well... With Cahn still at the helm...
Authored by: Anonymous on Wednesday, August 29 2012 @ 06:30 PM EDT

There goes any hope for any examination into potential wrong-doing by the company leadership.

I guess that leaves us with the odds of 1 in a zillion that some Government body will investigate.

That's too bad. Now there's nothing in place to provide incentive for individuals like Darl not to do the same thing again.

RAS

[ Reply to This | # ]

Why Cahn?
Authored by: Anonymous on Wednesday, August 29 2012 @ 06:46 PM EDT
I don't understand this part. Given the OUST's emphatic language in its original

motion to convert, and their pressuring TSG to change the filing to prevent them

from appointing Cahn themselves, I thought they had made their antipathy
towards Cahn very clear. What am I missing?

[ Reply to This | # ]

  • Me too... - Authored by: Anonymous on Wednesday, August 29 2012 @ 07:22 PM EDT
  • Form Must Be Followed - Authored by: sk43 on Wednesday, August 29 2012 @ 07:39 PM EDT
  • Why Cahn? - Authored by: Anonymous on Friday, August 31 2012 @ 06:52 AM EDT
SCO Group (TSG) Now Officially in Chapter 7, with Cahn Still at the Helm ~pj
Authored by: Anonymous on Wednesday, August 29 2012 @ 06:58 PM EDT
could someone like IBM NOW buy them - get the records and start sueing people
???

[ Reply to This | # ]

  • Records? LOL - Authored by: Anonymous on Friday, August 31 2012 @ 11:33 AM EDT
    • Records? LOL - Authored by: PJ on Friday, August 31 2012 @ 12:10 PM EDT
Who might be interested in the litigation assets.
Authored by: Anonymous on Wednesday, August 29 2012 @ 07:08 PM EDT
Assets? Sure, in an alternate universe, I could suppose.

My question is: Can anyone buy these assets, if so, can IBM buy them?

[ Reply to This | # ]

So SCO dies, but the lawsuits may live on?
Authored by: Anonymous on Wednesday, August 29 2012 @ 08:15 PM EDT
Why do I have this nasty feeling that someone will buy the lawsuit and continue
it forever? I mean, that's what we've come to expect from SCO: litigation
until the sun goes dark and the moon shines red like blood.

[ Reply to This | # ]

foregone conclusion
Authored by: Anonymous on Thursday, August 30 2012 @ 02:09 AM EDT
The foregone conclusion was that the bankruptcy judge would oblige
with Cahn's wish to be re-appointed.

Cahn was now appointed Chapt. 7 trustee but not by the judge rather by the
US Trustee. And the judge made him revise his request. Looks like the judge
has lost some of his old enthusiasm for his retired colleague.

[ Reply to This | # ]

red - SCO Group (TSG) Now Officially in Chapter 7, with Cahn Still at the Helm ~pj
Authored by: Anonymous on Thursday, August 30 2012 @ 05:20 AM EDT
So,

We can assume you are wearing the red dress?


Boise and Schiller should buy the litigation. Only way they have a
prayer of re-cooping their expenses.

Clicky Maker -not logged in.

[ Reply to This | # ]

litigation rights
Authored by: Anonymous on Thursday, August 30 2012 @ 06:01 AM EDT
Doesn't Yarro get the litigation rights now, seeing as presumably Chapter 7
means SCO will default on its debts?

[ Reply to This | # ]

Can one sell "standing"?
Authored by: Steve Martin on Thursday, August 30 2012 @ 06:22 AM EDT
The thought that comes to my mind is that, in Chapter 7, one sells the company's
assets and shuts the company down. As we know (and as acknowledged by the TSG
Group), the only remaining asset they have is the rights to the litigation.

But one cannot prevail in a lawsuit if one does not have standing to bring the
suit. So that makes me wonder: can "standing" to pursue this
litigation be sold as an asset? We know that litigation rights can be
transferred as part of a total transfer of assets with the purchase of a company
as a whole, but can standing to sue be sold in and of itself?

We know that several of the Righthaven lawsuits were dismissed due to
Righthaven's lack of standing to bring the litigation, based on the Courts'
determinations that the right to sue could not in and of itself be transferred
in a sale. So how would The TSG Group trying to sell off the rights to a lawsuit
be different?


---
"When I say something, I put my name next to it." -- Isaac Jaffe, "Sports Night"

[ Reply to This | # ]

Terminal mode in Chap 7
Authored by: hAckz0r on Thursday, August 30 2012 @ 07:33 AM EDT
Now that SCO is in the terminal chap7 mode I would expect Yarro to make his move to pick up all the "evidence" to keep it out of prying eyes. But what if that stuff actually had value? What if someone actually offered to buy the Corporate records to make it all available to the public?

Think Kickstarter.

Would the Court be obligated to recover funds so as to pay creditors rather than hand things over to Yarro? Consider the fact that all the shady deals and NDA's with companies like MS will all be in there. What kind of value could there be to uncover that kind of information? Email too. What kind of message would that send to other abusive companies wanting to sue the world or attack FOSS?

Yes Apple I'm thinking about you.

---
The Investors IP Law: The future health of a Corporation is measured as the inverse of the number of IP lawsuits they are currently litigating.

[ Reply to This | # ]

Cahn man
Authored by: Anonymous on Thursday, August 30 2012 @ 10:37 AM EDT
The Cahn Man can still squeeze a little bit more cash for
himself from the dry SCO Corps.

[ Reply to This | # ]

taps
Authored by: BJ on Thursday, August 30 2012 @ 01:22 PM EDT
... comes to mind, and not for just one reason.

bjd


[ Reply to This | # ]

Source for filings with epiq page gone?
Authored by: benw on Thursday, August 30 2012 @ 02:11 PM EDT
Now that this case is no longer Chapter 11, Epiq Systems has taken it down from
their site. Is there an accessible source for case filings now?

[ Reply to This | # ]

Records ...
Authored by: Anonymous on Thursday, August 30 2012 @ 06:21 PM EDT
I don't want to buy the litigation assets, I want someone to

[ Reply to This | # ]

So where is Darl now?
Authored by: Anonymous on Thursday, August 30 2012 @ 08:36 PM EDT
All this makes me wonder: what ever happened to Darl McBride?

Is the SCO Information Minister out there somewhere, running some other company
into the ground? Did he go to work for Microsoft or somewhere like that?

Inquiring minds want to know!

[ Reply to This | # ]

Kickstarter
Authored by: Anonymous on Friday, August 31 2012 @ 12:54 PM EDT
Let's chip in and buy the litigation rights. No, seriously.
How much could they possibly be worth?

I have $5 I'll contribute..

[ Reply to This | # ]

Secure Boot thought
Authored by: kawabago on Friday, August 31 2012 @ 02:56 PM EDT
Secure boot presumably will not allow booting from a CD or
USB drive. When Windows breaks, it is inevitable, how can you
fix it if tools can't be loaded? One bad update from
Microsoft could brick millions of PCs.

[ Reply to This | # ]

  • No biggie - Authored by: Anonymous on Friday, August 31 2012 @ 03:26 PM EDT
  • Secure Boot thought - Authored by: Anonymous on Friday, August 31 2012 @ 04:48 PM EDT
SCO Group (TSG) Now Officially in Chapter 7, with Cahn Still at the Helm ~pj
Authored by: Anonymous on Friday, August 31 2012 @ 05:04 PM EDT
Drive that stake long, hard and deep so that it will not rise again!

[ Reply to This | # ]

If you buy the suits, do you also buy the countersuits?n/t
Authored by: jsoulejr on Saturday, September 01 2012 @ 09:46 AM EDT
n/t

[ Reply to This | # ]
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