Bankruptcy Law Section

The Bankruptcy Law Section focuses on issues involving bankruptcy law. The section’s executive committee develops projects for its members ranging from legislative proposals to their annual two-day Bankruptcy Forum and associated social events.

Chair
Miller Martin PLLC
832 Georgia Ave # 1200
Chattanooga, TN 37402-2289
(423)785-8383
Vice-Chair
Tennessee Attorney General's...
Po Box 20207
Nashville, TN 37202-4015
(615)741-1935
Immediate Past Chair
Wilson & Assoc PLLC
5050 Poplar Ave., Suite 115
Memphis, TN 38157
(901)578-9914
Staff Coordinator
Tennessee Bar Association
221 4th Avenue N. Suite 400
Nashville, TN 37219
(615)383-7421

Tennessee-Based Curae Health Faces More Financial Problems

The Knoxville-based company Curae Health recently filed papers in U.S. Bankruptcy Court in Nashville citing massive losses from one of three Mississippi hospitals it plans to sell, the Associated Press reports. They warned employees of a potential hospital closure if they are unable to transfer ownership quickly. The company is highly concerned that the losses they are experiencing at the Northwest Mississippi Regional Medical Center in Clarksdale has the potential to drag the company under before being able to sell the other two hospitals in Amory and Batesville, Mississippi. At least two groups have expressed interest in taking over the hospital. U.S. Bankruptcy Judge Charles Walker has set a hearing for Oct. 23 on Curae's request for a quick transfer. The auction for the Amory hospital is set for Nov. 15. However, no plans have been released surrounding the sale of the Batesville hospital. The article explains that five rural Mississippi hospitals have closed since 2013.

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Sears Files for Bankruptcy

Sears Holdings has filed for Chapter 11 bankruptcy following its inability to make a $134 million debt payment, which was due Monday, CNN Business reports. The company’s chairman and largest shareholder, Eddie Lampert, gave up the title of CEO. Last month, Lampert proposed restructuring Sears’ finances in order to avoid filing for bankruptcy; however, the creditors instead decided to head to bankruptcy court. With the advent of online shopping and big box stores, Sears has been struggling for several years. The last profitable year for the 132-year-old company was 2010. In addition to the 46 store closings planned for next month, the company will also close 142 stores near the end of the year.

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