Chapter 11 Announced - Part 4 Revised Plan

[ThenNow]

29 minutes ago, ThenNow said:

Here is the giant wasp that keeps threatening to sting my hope on this all going well, even if the judge spanks the RSA on the tuchus and allows it to breath fresh air. As Eagle1993 briefly summarized several pages ago, Fuller-Austin is an incredible threat to the "big dollars" most of us perceive as coming from the insurers through the Settlement Trustee process. Dunno.

Lo and behold. This just in. See P5.

 

6043 - Zuckerman Claimants' Objection to Adequacy of Amended DS to Debtors' Fourth Amended Plan.pdf

[ThenNow]

10 minutes ago, ThenNow said:

Well, dang it. We had gone almost 24 hours of court time without one blasted "wood to chop" reference. David Molten had to blow it. I just lost a ton of money betting against the house. So very, very close. 

Ahh. Ryan did it again. More coins swirling the porcelain.

[vol_scouter]

6 minutes ago, CynicalScouter said:

Jeremy Ryan (represents the Catholic Churches and Methodist Churches): The idea that there has been negotiations with the COs isn't true; we are barely at square one. The BSA did not even bother to consider how the COs would react to the RSA. No, it is grossly negligent. It is clear that the COs are the lifeblood of scouting. And yet the COs, the revenue source for BSA, were cut out of this process. Any questions about the COs, Mosby was told not to answer due to privilege. Mosby did admit he did NOT even know that COs were asserting claims against BSA for defense and indemnity.

Mosby admitted he's never even reviewed a charter agreement.

Nowhere in BSA's financial proposals/plans did they consider there is anything about COs simply refusing to recharter. BSA just simply never even considered this a possibility. Mosby even admitted there was never a discussion that maybe the COs would object to the RSA.

This situation is not Roger Mosby's fault as he was not a BSA professional so had never worked in a council or even in the National Service Center.  He was hired to manage the BSA through this Chapter 11.  He was a volunteer but no professional experience.  Chartered Organization agreements would not be part of what he needs to do.  Had he come through the professional side as all previous Chief Scout Executives then he would have been familiar.  

[CynicalScouter]

Thomas Patterson Zalkin Lawfirm (1800+ claimants): thousands of claimants with NO timely claims will "Wash out" those with real claims against solvent entities that they have claims against. There's no way all 82,500 survivors should be treated as if they are all the same and all similarly situated. Some of these victims have NO claim at all (due to statutes of limitations).

Patterson also notes and finds it notable that he and the insurance companies, who are NORMALLY on opposite sides (insurance companies vs. victims) are on the SAME side for this.

Fuller-Austin is mentioned at least once if not twice!

Can non-debtors insurance (e.g. the insurance held by LCs and COs) be transferred as part of the debtor's bankruptcy? Case law says no.

Edited August 16, 2021 by CynicalScouter

[ThenNow]

8 minutes ago, vol_scouter said:

This situation is not Roger Mosby's fault as he was not a BSA professional so had never worked in a council or even in the National Service Center.  He was hired to manage the BSA through this Chapter 11.  He was a volunteer but no professional experience.  Chartered Organization agreements would not be part of what he needs to do.  Had he come through the professional side as all previous Chief Scout Executives then he would have been familiar.

I appreciate the point. When was he hired? I ask because the CO agreements are rather fundamental to the relationship with a vital, related entity which has its own liability AND claims to indemnification by BSA. He really shoulda read a couple and not the current iteration. My take. 

Edited August 16, 2021 by ThenNow

[CynicalScouter]

4 minutes ago, ThenNow said:

When was he hired?

Hired December 2019, took over January 1, 2020. Literally just before the bankruptcy filing.

Quote

The Boy Scouts of America hired a former energy executive as CEO, reaching for an external leader as the group struggles to attract a new generation of youth and navigate a wave of sex-abuse lawsuits.

The organization’s national executive board named Roger Mosby, the longtime top human-resources officer at energy company Kinder Morgan Inc., as chief executive and president, according to a memo sent Sunday to Boy Scouts volunteers.

His hiring comes at a crisis point for the Boy Scouts, founded in 1910, as the group faces lawsuits alleging sexual misconduct by employees and volunteers dating back as far as the 1960s. The cases have been fueled by state laws that have extended the statute of limitations for victims to sue.

https://www.wsj.com/articles/boy-scouts-tap-outsider-ceo-to-navigate-legal-crisis-11577726749

Edited August 16, 2021 by CynicalScouter

[ThenNow]

Comedy Update/Hot mic moment of the day: "I plead the blood of Jesus over you Satan!" I don't make this stuff up.

Edited August 16, 2021 by ThenNow

[ThenNow]

5 minutes ago, CynicalScouter said:

Hired fall 2019, took over January 1, 2020. Literally just before the bankruptcy filing.

Ah. Probably had a couple other things to read. 

[vol_scouter]

4 minutes ago, ThenNow said:

I appreciate the point. When was he hired? I ask because the CO agreements are rather fundamental to the relationship with a vital, related entity which has its own liability AND claims to indemnification by BSA. He really shoulda read a couple and not the current iteration. My take. 

@ThenNow He was hired around December of 2019 and the NEB was well down the path to filing Chapter 11 that Mosby did in February 2020 at the direction or assent (I do not wish to use the wrong word around all the legal types here).  He knew largely what Chapter 11 would entail but COVID was a nasty surprise to him as well as all of us.   He has been dealing with really severe problems since then.  Do not dispute your assertion but understand why he has not.

[yknot]

20 minutes ago, vol_scouter said:

@ThenNow He was hired around December of 2019 and the NEB was well down the path to filing Chapter 11 that Mosby did in February 2020 at the direction or assent (I do not wish to use the wrong word around all the legal types here).  He knew largely what Chapter 11 would entail but COVID was a nasty surprise to him as well as all of us.   He has been dealing with really severe problems since then.  Do not dispute your assertion but understand why he has not.

I don't know what to make of that comment by Mosby. There is no rational, reasonable explanation for that. He has a human resources background and was involved in several corporate restructurings. That's why he was put in that position. Such agreements would have been his bread and butter. Covid is yet another reason why he should have known about them because BSA's position during Covid has been to follow the direction of local health authorities and your CO. I'm not a fan of his. I think he was a poor choice but then again perhaps there wasn't anyone else willing to take that on. 

[ThenNow]

4 minutes ago, yknot said:

There is no rational, reasonable explanation for that. He has a human resources background and was involved in several corporate restructurings. That's why he was put in that position. Such agreements would have been his bread and butter.

That was certainly my immediate reaction, from the standpoint of the duty of the top executive. No one briefed him on the history and evolution, at least?

[yknot]

1 minute ago, ThenNow said:

That was certainly my immediate reaction, from the standpoint of the duty of the top executive. No one briefed him on the history and evolution, at least?

He's a human resources executive so his expertise is directing human resources. There aren't that many binding agreements in BSA that affect human resources, i.e., employees and volunteers, who for all intents and purposes are employees, that would be relevant in a restructuring. Chartered agreements between the council and the unit and the unit and the CO and whatever employment contracts/agreements that are in place for professionals. You could argue some subcontractor agreements. That's it. Not a big reading list. It's an unbelievable claim.  

[Eagle1993]

4 minutes ago, ThenNow said:

That was certainly my immediate reaction, from the standpoint of the duty of the top executive. No one briefed him on the history and evolution, at least?

All of this is managed by lawyers.   What he sees, what he doesn’t, what he says, etc.  I’m not impressed by his leadership but I would not be surprised if much of this is being managed by a legal team. 

[yknot]

1 minute ago, Eagle1993 said:

All of this is managed by lawyers.   What he sees, what he doesn’t, what he says, etc.  I’m not impressed by his leadership but I would not be surprised if much of this is being managed by a legal team. 

That is treating him as if he has the intellect of a toddler. Lawyers may tell you what you can and cannot say, but an experienced professional in his field knows what pieces he has to work with. The defense that he came from outside scouting and therefore wouldn't know is also unbelievable. Companies like his that come in and help manage a restructuring often come in cold and have to do some degree of due diligence. It doesn't make any sense.

 

[ThenNow]

15 minutes ago, yknot said:

Companies like his that come in and help manage a restructuring often come in cold and have to do some degree of due diligence. It doesn't make any sense.

Admittedly at a lower level, but back in the days of paper and binders, you'd come in, someone would hand you a series of them to study, notate and bring back for a step through review. I'm not sure how many such critical documents those binders would contain for someone in his BSA role.