• Log InLog In
  • Register
Liquid`
Team Liquid Liquipedia
EDT 22:00
CEST 04:00
KST 11:00
  • Home
  • Forum
  • Calendar
  • Streams
  • Liquipedia
  • Features
  • Store
  • EPT
  • TL+
  • StarCraft 2
  • Brood War
  • Smash
  • Heroes
  • Counter-Strike
  • Overwatch
  • Liquibet
  • Fantasy StarCraft
  • TLPD
  • StarCraft 2
  • Brood War
  • Blogs
Forum Sidebar
Events/Features
News
Featured News
Team TLMC #5 - Finalists & Open Tournaments0[ASL20] Ro16 Preview Pt2: Turbulence9Classic Games #3: Rogue vs Serral at BlizzCon9[ASL20] Ro16 Preview Pt1: Ascent10Maestros of the Game: Week 1/Play-in Preview12
Community News
Weekly Cups (Sept 8-14): herO & MaxPax split cups4WardiTV TL Team Map Contest #5 Tournaments1SC4ALL $6,000 Open LAN in Philadelphia8Weekly Cups (Sept 1-7): MaxPax rebounds & Clem saga continues29LiuLi Cup - September 2025 Tournaments3
StarCraft 2
General
#1: Maru - Greatest Players of All Time Weekly Cups (Sept 8-14): herO & MaxPax split cups Team Liquid Map Contest #21 - Presented by Monster Energy SpeCial on The Tasteless Podcast Team TLMC #5 - Finalists & Open Tournaments
Tourneys
Maestros of The Game—$20k event w/ live finals in Paris SC4ALL $6,000 Open LAN in Philadelphia Sparkling Tuna Cup - Weekly Open Tournament WardiTV TL Team Map Contest #5 Tournaments RSL: Revival, a new crowdfunded tournament series
Strategy
Custom Maps
External Content
Mutation # 491 Night Drive Mutation # 490 Masters of Midnight Mutation # 489 Bannable Offense Mutation # 488 What Goes Around
Brood War
General
BW General Discussion [ASL20] Ro16 Preview Pt2: Turbulence ASL20 General Discussion Diplomacy, Cosmonarchy Edition BGH Auto Balance -> http://bghmmr.eu/
Tourneys
[ASL20] Ro16 Group D [ASL20] Ro16 Group C [Megathread] Daily Proleagues SC4ALL $1,500 Open Bracket LAN
Strategy
Simple Questions, Simple Answers Muta micro map competition Fighting Spirit mining rates [G] Mineral Boosting
Other Games
General Games
Path of Exile Stormgate/Frost Giant Megathread General RTS Discussion Thread Nintendo Switch Thread Borderlands 3
Dota 2
Official 'what is Dota anymore' discussion LiquidDota to reintegrate into TL.net
League of Legends
Heroes of the Storm
Simple Questions, Simple Answers Heroes of the Storm 2.0
Hearthstone
Heroes of StarCraft mini-set
TL Mafia
TL Mafia Community Thread
Community
General
US Politics Mega-thread Things Aren’t Peaceful in Palestine Canadian Politics Mega-thread Russo-Ukrainian War Thread The Big Programming Thread
Fan Clubs
The Happy Fan Club!
Media & Entertainment
Movie Discussion! [Manga] One Piece Anime Discussion Thread
Sports
2024 - 2026 Football Thread Formula 1 Discussion MLB/Baseball 2023
World Cup 2022
Tech Support
Linksys AE2500 USB WIFI keeps disconnecting Computer Build, Upgrade & Buying Resource Thread High temperatures on bridge(s)
TL Community
BarCraft in Tokyo Japan for ASL Season5 Final The Automated Ban List
Blogs
The Personality of a Spender…
TrAiDoS
A very expensive lesson on ma…
Garnet
hello world
radishsoup
Lemme tell you a thing o…
JoinTheRain
RTS Design in Hypercoven
a11
Evil Gacha Games and the…
ffswowsucks
Customize Sidebar...

Website Feedback

Closed Threads



Active: 1380 users

This is UNPRECEDENTED!! (investing story)

Blogs > 2primenumbers
Post a Reply
2primenumbers
Profile Blog Joined February 2014
United States144 Posts
January 16 2015 01:49 GMT
#1
Wow what an adventure. Very strange. So meme worthy. I do not even know where to begin.

Infact, the weirdness is so off the wall that I become curious as to whether or not I need to backaway. You know, run? Fear for my fine and dandy reputation in life? Maybe keep a watch out over night to keep a close eye on just what's going on here anyhow..

Back in October I spotted a situation -- an investable situation. If you even know what that word means. This company, a major player in the Solar Industry, was nearly put out of business by a gnarly series of days where they spent and spent -- to the tune of one milion dollars a day -- and made practically zero revenues to compensate. Basically, the management of the Company were doing exactly the wrong stuff to succeed.

They did one thing right, though.l They filed for Chapter 11 Restructuring Bankruptcy. This is a special type of bankruptcy designed for Company's to get around costly legal battles. Its a pretty unique device under the law. Its like being able to file a lawsuit to escape a contract without having to go through the proper civil litigation procedures. There is of course a proper set of procedures -- but the advantage of Chapter 11 is that they (the legislators) make it easy to get infront of a Judge who will rule and perform a type of mediation in settling major contract disputes that otherwise may take several years in the "normal" route.


So Chapter 11 (Restructuring) is interesting because it helps folks get out of bad contracts. The thing is though, there has been much abuse of the Chapter 11 process. All of the abuse of course has been covered up -- its mostly the investors who got screwed who even know about the abuse. And even then, most people are not very savvy of the law -- so they think their company legitimately went bankrupt. But that's simply not always the case of Chapter 11. And nor is it the primary purpose of this special bankruptcy law. The main purpose is to faciliate company's escape from contractual obligations which didn't work out, but which will be hard for each Company to negotiate out of without being infront of a Judge who gives that essential 3rd vote.


What's the Abuse though? Well, simply, when Company Management enters into Chapter 11 they have the opportunity to sell the Company to a new set of bidders. Highly hypothetical, of course, this isn't an accusation of any sort on any particular Company, but I'll tell you this. A cursory review of the Chapter 11 History reveals that a very many Companies have wiped out Shareholders (public investors like you and I, incl. big investors in the common stock), reissued new stock (which happened to be bought and awarded to those who held Bonds), and emerged to be very successful.


Of course, all of that "successful" came at the price of wiping out all of the public shareholders. Like all of the folks who are down in paper (or real, if they sold) losses of $2k - $12 million (just talking about investors I know of in one particular Chapter 11 situation). So the shareholders get wiped out while Management stays on board and gets stock options in the "new shares" of the Company. Its pretty sick, if you think about it.


Well, I'm involved in one of these Chapter 11 situations because I saw the opportunity for some old-fashioned by-the-book street justice. And now the lawyers for this (what was) a $1.4 billion dollar company are after me. Its an unprecedented situation.
See you next time.

*
o face
Olli
Profile Blog Joined February 2012
Austria24417 Posts
January 16 2015 07:44 GMT
#2
Next time on Suits, starring 2primenumbers: will justice prevail?

Good luck yo!
Administrator"Declaring anything a disaster because aLive popped up out of nowhere is just downright silly."
Ghostcom
Profile Joined March 2010
Denmark4782 Posts
January 16 2015 11:12 GMT
#3
Your writing style reminds me of that of Micawber from Dickens's David Copperfield...
2primenumbers
Profile Blog Joined February 2014
United States144 Posts
January 16 2015 13:58 GMT
#4
On January 16 2015 16:44 DarkLordOlli wrote:
Next time on Suits, starring 2primenumbers: will justice prevail?

Good luck yo!


Thank you for the kind vote!

o face
LoneYoShi
Profile Blog Joined June 2014
France1348 Posts
January 16 2015 15:59 GMT
#5
The general vagueness of you blog reminds me of MightyAtom's. Anyway, good luck with whatever situation you're in, seems quite serious !
NeThZOR
Profile Blog Joined November 2010
South Africa7387 Posts
January 16 2015 18:52 GMT
#6
Good luck
SuperNova - 2015 | SKT1 fan for years | Dear, FlaSh, PartinG, Soulkey, Naniwa
pheer
Profile Blog Joined July 2004
5391 Posts
January 16 2015 21:04 GMT
#7
SEARS?

Also, renamed thread to add a little less vague-ness.
Moderator
ninazerg
Profile Blog Joined October 2009
United States7291 Posts
January 17 2015 01:18 GMT
#8
When lawyers come after me, I know it's time for some good ol-fashioned street justice.
"If two pregnant women get into a fist fight, it's like a mecha-battle between two unborn babies." - Fyodor Dostoevsky
Jathin
Profile Blog Joined February 2005
United States3505 Posts
Last Edited: 2015-01-19 00:20:17
January 19 2015 00:16 GMT
#9
--- Nuked ---
2primenumbers
Profile Blog Joined February 2014
United States144 Posts
January 19 2015 22:59 GMT
#10
Doesn't mean any guarantees on the outcome, but I'll be in the Bankruptcy Court(Berkshire Courtroom(!)) in Springfield, MA on the 26th to present the case for the business' strength.
o face
Please log in or register to reply.
Live Events Refresh
PiGosaur Monday
00:00
#49
SteadfastSC196
EnkiAlexander 70
davetesta44
Liquipedia
OSC
23:00
OSC Elite Rising Star #16
Liquipedia
[ Submit Event ]
Live Streams
Refresh
StarCraft 2
Nina 196
SteadfastSC 196
RuFF_SC2 137
ROOTCatZ 42
StarCraft: Brood War
Artosis 787
NaDa 31
Icarus 4
Dota 2
monkeys_forever737
LuMiX0
Counter-Strike
semphis_12
Super Smash Bros
Mew2King16
Other Games
summit1g9325
shahzam1075
C9.Mang0238
ViBE132
Maynarde128
NeuroSwarm98
XaKoH 89
Trikslyr58
Organizations
Other Games
gamesdonequick722
StarCraft 2
Blizzard YouTube
StarCraft: Brood War
BSLTrovo
sctven
[ Show 12 non-featured ]
StarCraft 2
• OhrlRock 1
• AfreecaTV YouTube
• intothetv
• Kozan
• IndyKCrew
• LaughNgamezSOOP
• Migwel
• sooper7s
StarCraft: Brood War
• BSLYoutube
• STPLYoutube
• ZZZeroYoutube
Other Games
• Scarra779
Upcoming Events
LiuLi Cup
9h
OSC
17h
RSL Revival
1d 8h
Maru vs Reynor
Cure vs TriGGeR
The PondCast
1d 11h
RSL Revival
2 days
Zoun vs Classic
Korean StarCraft League
3 days
BSL Open LAN 2025 - War…
3 days
RSL Revival
3 days
BSL Open LAN 2025 - War…
4 days
RSL Revival
4 days
[ Show More ]
Online Event
4 days
Wardi Open
5 days
Sparkling Tuna Cup
6 days
Liquipedia Results

Completed

Proleague 2025-09-10
Chzzk MurlocKing SC1 vs SC2 Cup #2
HCC Europe

Ongoing

BSL 20 Team Wars
KCM Race Survival 2025 Season 3
BSL 21 Points
ASL Season 20
CSL 2025 AUTUMN (S18)
LASL Season 20
RSL Revival: Season 2
Maestros of the Game
FISSURE Playground #2
BLAST Open Fall 2025
BLAST Open Fall Qual
Esports World Cup 2025
BLAST Bounty Fall 2025
BLAST Bounty Fall Qual
IEM Cologne 2025
FISSURE Playground #1

Upcoming

2025 Chongqing Offline CUP
BSL World Championship of Poland 2025
IPSL Winter 2025-26
BSL Season 21
SC4ALL: Brood War
BSL 21 Team A
Stellar Fest
SC4ALL: StarCraft II
EC S1
ESL Impact League Season 8
SL Budapest Major 2025
BLAST Rivals Fall 2025
IEM Chengdu 2025
PGL Masters Bucharest 2025
MESA Nomadic Masters Fall
Thunderpick World Champ.
CS Asia Championships 2025
ESL Pro League S22
StarSeries Fall 2025
TLPD

1. ByuN
2. TY
3. Dark
4. Solar
5. Stats
6. Nerchio
7. sOs
8. soO
9. INnoVation
10. Elazer
1. Rain
2. Flash
3. EffOrt
4. Last
5. Bisu
6. Soulkey
7. Mini
8. Sharp
Sidebar Settings...

Advertising | Privacy Policy | Terms Of Use | Contact Us

Original banner artwork: Jim Warren
The contents of this webpage are copyright © 2025 TLnet. All Rights Reserved.