August 4, 2014
Kelley Drye was mentioned in a Law360 article entitled “OCZ wins confirmation.” Led by partner Eric R. Wilson and including special counsel Jason R. Adams and associates Gilbert R. Saydah and Jennifer D. Raviele, the Kelley Drye team is serving as counsel to the Official Committee of Unsecured Creditors in In re: OCZ Technology Group Inc.
The August 4, 2014 article covers case developments in the United States Bankruptcy Court for the District of Delaware, noting that “[t]he estate of OCZ Technology Group Inc. has secured confirmation of a liquidation plan as it nears to the end of its Chapter 11 case. Judge Peter J. Walsh of the U.S. Bankruptcy Court for the District of Delaware in Wilmington on Wednesday, July 30, confirmed the plan of what is now ZCO Liquidating Corp., court minutes show. Walsh approved the accompanying disclosure statement for the former computer flash drive maker on June 11.”
Numerous details of the plan are reported, including the provision that “[o]n the effective date, remaining assets and causes of action will be transferred to a liquidation trust, along with a $325,000 loan from senior noteholders. The newly created trust will pursue causes of action and distribute any proceeds or other remaining assets to creditors.
“Unsecured creditors would receive 35% of remaining litigation proceeds, with noteholders receiving the remainder. Once allowed noteholders claims were paid in full, unsecureds would receive a pro rata share of any remaining litigation proceeds.”
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