Patriot National (a/k/a Old Guard Risk Services) and 18 affiliated Debtors filed for Chapter 11 protection with the U.S. Bankruptcy Court in the District of Delaware, lead case number 18-10189. The Company, which provides agency underwriting and policyholder services, is represented by Laura Davis Jones of Pachulski Stang Ziehl & Jones.
Concurrent with the Chapter 11 petition, the Company also filed a Joint Chapter 11 Plan of Reorganization and related Disclosure Statement. The Disclosure Statement notes, “The Plan is supported by 100% percent of the Debtors’ First Lien Lenders (the ‘Consenting Lenders’) who possess security interests on substantially all of the Debtors’ assets….The Debtors and the Consenting Lenders believe that transactions reflected in the Plan and related documents will provide the Debtors with liquidity to achieve the financial restructuring contemplated by the Plan, implement the Debtors’ long-term business plan, and lead to an overall healthier, restructured company, which will benefit all creditors doing business with the Reorganized Debtors.”
The Disclosure Statement continues, “Additionally, the Plan provides for the creation of a Litigation Trust and for the transfer free and clear into the Litigation Trust of all of the Debtors’ Litigation Claims, which include avoidance actions, commercial tort claims, including claims against certain of the Debtors’ current and former officers and directors, claims against certain of the Debtors’ former professionals, and other claims against third parties held by the Debtors.”
Read more Patriot National bankruptcy news.