Allied Holdings, Inc. and related entities , based in Decatur, Georgia, filed Chapter 11 petitions in the Northern District of Georgia on July 31, 2005 (Ch. 11 Case No. 05-12515). Their Joint Plan of Reorganization was confirmed on May 18, 2007. The Final Decree was entered just last week, on June 5, 2012 and the case was closed. I wrote a couple articles about the case, including posts about their key employee retention plan, the requirements of holding an annual shareholders meeting, and several posts about unions, collective bargaining and a possible strike (here, here, and here).
Just one week after the main case closed in Georgia, several Allied entities have filed another Chapter 11 case, but this time in Delaware. In re Allied Systems Holdings, Inc. Involuntary Case No. 12–11564, et al. (D. Del. filed May 17, 2012).
The latest cases started with the filing of Chapter 11 Involuntary Petitions against Allied Holdings Systems, Inc. in Delaware. Ch. 11 Case No. 12-11564 (filed May 17, 2012) (click here for Involuntary Petition) and Allied Systems, Ltd., Ch. 11 Case No. 12-11565 (filed May 17, 2012). The docket reflects that the Allied Holdings case is still an involuntary case, as no order for relied has been entered.
On June 10, 2012, several related entities filed voluntary Chapter 11 petitions in Delaware (see below for entities).
The debtors are being represented in the new case by Mark Collins, Christopher Samis and Marisa Terranova at the Delaware law firm of Richards Layton & Finger, and Jeffrey Kelley and Ezra Cohan at the Atlanta office of Troutman Sanders.
The pleadings filed in the main Allied Holdings case include:
- Motion for Authority to Pay Critical Vendors
- Motion for Authority to Use Cash Collateral
- Supporting Affidavit of Scott Macualay in Support of First Day Motions
- Motion for Joint Administration
- Motion to Transfer Venue to Northern District of Georgia and Order Denying Motion
- Agenda for Matters before the Court.
First day hearings are scheduled for June 12, 2012.
Other Filing entities:
- 12-11768-CSS Allied Automotive Group, Inc.
- 12-11769-CSS Allied Freight Broker LLC
- 12-11770-CSS Axis Group, Inc.
- 12-11771-CSS Logistic Technology, LLC
- 12-11772-CSS Logistic Systems, LLC
- 12-11773-CSS Allied Systems (Canada) Company
- 12-11774-CSS Axis Areta, LLC
- 12-11775-CSS Commercial Carriers, Inc.
- 12-11776-CSS Transport Support LLC
- 12-11777-CSS GACS Incorporated
- 12-11778-CSS RMX LLC
- 12-11779-CSS QAT, Inc.
- 12-11780-CSS Terminal Services LLC
- 12-11781-CSS Cordin Transport LLC
- 12-11782-CSS CT Services, Inc.
- 12-11783-CSS Axis Canada Company
As Chapter 11 cases go, Allied 1.0 was one of the largest cases filed in the district in many years. Allied 2.0 will likely be the same, and it is unfortunate that it was not filed in Georgia.
Scott Riddle’s practice focuses on bankruptcy and litigation. Scott has represented Chapter 7 and 11 debtors, creditors, creditor committees, trustees, court-appointed receivers and other interested parties in bankruptcy cases and bankruptcy litigation. For more information, click here.