Friday, July 16, 2010

BP (NYSE:BP): Bankruptcy and Sticking It To Asset Buyers

BP (NYSE:BP) may stick their potential asset buyers with lawsuits, said lawyers. As the company continues its attempt to raise money to help pay legal claims that some are estimating could reach over $100 billion.

There are certain laws in place that could prohibit fraudulent transfers, allowing victims to sue a buyer to get money to pay claims. Which would leave the purchaser required to pay BP's obligations, if the company files for bankruptcy. Although there could be a change to federal bankruptcy laws, if approved could make a buyer wait for BP's approval from victims for the sale. The other option being to convince a judge that the company has sufficient assets to pay all legal claims in full.

New York bankruptcy lawyer, Martin Bienenstock of Dewey of Leboeuf LLP said, "Any purchaser will worry about fraudulent transfer and successor liability issues and perhaps request part of the purchase price be kept in escrow for such a contingency."

11 comments:

  1. A complaint was filed both to the SEC and FBI, Wednesday July 14th, 2010, to investigate BP and Goldman Sachs for stock and commodity manipulation during the oil spill!

    BP will have to pay for over 20 years! Not a buy, but SELL!

    Join us and famous celebrities around the world (LadyGaga, Creed, Just Bieber, Korn, and more) as we BoycottBP:
    http://www.facebook.com/BoycottBP

    BoycottBP FOREVER!
    BP Products include Castrol, Arco, Aral, am/pm, Amoco, Wild Bean Cafe Boykottiert ARAL

    ReplyDelete
  2. Ah, people with an obvious personal agenda. Generally a very reliable source of information.

    So what's the deal here? You were too late in getting a good price on BP shares and need to push them down to get the most of it?

    Working for a competitor that benefits from keeping the price low?

    Or are you one of the rare true believers in the protective function of aluminium hats? Psst, you're being used, how's that for a conspiracy ;)

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  3. These people are lunatics. Nothing they say has ANY basis in fact.
    First of all BP has ZERO repeat ZERO chance of going bankrupt!
    If you took this rediculous claim of 100 billion dollars in liabilty, which is TOTALLY fabricated. That would be paid back over the next TEN to TWENTY years, as the lawsuits wind through the appeals process. Dont forget at the end (if they choose not to accept Ken Feinbergs fair settlement offer) that they will pay a WHOPPING 40% lawyer fee. Which only a NUT would do. Wait TEN YEARS, then pay 40 percent! The wind up is that the settlements will ACTUALLY be a LOT less than the MARXIST anti-corporate left would have you believe.

    Instead, BUY THE STOCK! Buy the stock and hold it. Then sell when you have locked in an EASY 10-20% profit and DONATE the proceeds to the FISH AND WILDLIFE FUND!!

    These stooges at Dripping OIL just want you e-mail so that they can put you on the "CONCERNED SUCKER" list,and target you for future donations as they sell your name to other leftist causes.

    ReplyDelete
  4. This blog is retarded. Even if the oil breaks through the ground around the cap and continues leaking into the gulf for another 3 months, BP will NOT file for bankruptcy.

    Morons, true idiots are responsible for spreading BP bankruptcy hype. Anyone with reasonable intelligence knows this.

    Quit posting bs.

    ReplyDelete
  5. Hello... boycotting BP will just put them out of business. Then guess who is going to pickup the cost of cleanup. Every tax payer, because the government will have to step in with all it bureaucracy, and red tape. That would really slow clean up down, and cost tens times as much as it should. I say buy BP and everything BP, it least that way you get some thing for your money.

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  6. To repeat my earlier comment which seems not to have arrived -

    Keep it up guys, I need something to buy on Monday.

    And it is a shame that these "celebrities" choose to get on a cheap bandwagon stunt to gain publicity. BP gets lots of hits right now - this website knows that only too well.

    As 4.50pm poster said, buy BP and get something back from all of this mess - your taxes underwrite the national response.

    ReplyDelete
  7. Although it's easy to point the finger at BP, everyone uses oil in some way, shape or form during our lives. we demand it, they supply it.
    We can only point the finger at ourselves for the messes that we get ourselves in in the name of progress.

    ReplyDelete
  8. For the somewhat dimwitted people on here who are boycotting BP, it obviously hasn't dawned on you that reducing the revenue of BP increases the risks of victims not being paid/reimbursed.

    If you ask the people affected by the gulf of Mexico spill they are likely to tell you that BP are doing a considerably better job than the US coastguard.

    Whilst its very easy to blame 'british petroleoum' - it is in fact a multinational company and it is not in any way entirely british. In fact, the gulf of mexico contractors were 100% american.

    Its inevitable that large oil companies from time to time will have oil spills. Exxon (valdez) had an enormous spill yet the BP boycotters i am sure will have forgotten that by now.

    Interesting how the person on here who suggested boycotting BP can name every single product they manufacture (hello person from exxon).

    ReplyDelete
  9. Buy, buy, buy! This stock will rise dramatically in the coming months

    ReplyDelete
  10. Declaring bankruptcy is generally a difficult issue. Where really should one commence? What sorts of bankruptcy should a individual apply for? How the up to date bankruptcy rules change an individual's case? What are going to be the consequences of a bankruptcy processing? You just have one shot, so it's in fact crucial that you have it ideal at the very first try. This actually is why picking the proper bankruptcy lawyers is necessary.

    ReplyDelete
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    Is this possible?

    ReplyDelete