Six Wives, LLC Chapter 11 Bankruptcy
Nov 09, 2009OUTCOME: MD of FL US Bankruptcy Court Approved Chapter 11 Plan
Background and Press Release: Tim Allen's "The Six Wives of Henry Lefay" became entangled in a legal battle with producers over distribution rights prior to its domestic release. The comedy starrin ... g Allen, Andie MacDowell, Jenna Elfman ultimately wound up in the Middle District of Florida Bankruptcy Court. The film had been released overseas but had yet to make its debut in the United States, said bankruptcy attorney Rich McIntyre and Erick B. Slootsky, who are representing Six Wives LLC. They said the company is seeking court approval that will allow it to release the film in the United States. Trouble brewed when the film's lender, a Cayman Islands-based group named Aramid Entertainment Fund, declared the film in "non-monetary default" and terminated its right to overseas distribution. Aramid Entertainment was owed approximately $4.5 million. Overall the film's production cost was approximately $12 million, according to court records. Aramid's action prevented Six Wives LLC from reaping any monetary benefit from its release in Europe and Asia, McIntyre and Slootsky explained. In filing Chapter 11 bankruptcy protection, Six Wives intended to preclude the lender from selling the film project out from under them. Ultimately, this goal was achieved, as the Chapter 11 Plan was approved by the United States Bankruptcy Court Middle District of Florida. Chapter 11 Plan of Reorganization (Summary): This Plan of Reorganization (the “Plan”) under chapter 11 ofthe Bankruptcy Code (the “Code”) proposes to pay creditors of Six Wives LLC (the “Debtor”) from the domestic and international distribution of its film “My Dad’s Six Wives” f/k/a “The Six Wives of Henry LeFay” (the “Film"). This Plan provides for two classes of secured claims; three classes of unsecured claims; and one class of equity security holders. Unsecured creditors holding allowed claims will receive distributions, which the proponent of this Plan has valued at approximately 100 cents on the dollar. This Plan also provides for the payment of administrative and priority claims. Additional Information: http://www.mcintyrefirm.com/United-States-Bankruptcy-Court-Case-No-8-09-bk-23344-CED/ https://sites.google.com/a/nyu.edu/erick-slootsky-law-group/
