Page 21 - A Practical Guide to Chapter11 Bankruptcy Publication Notice

Bar Date website, which combined, resulted in • 89.3% of Men 55+ in the United States, an
14,617 impressions and 2,673 clicks to the Bar average of 3.5 times each
Date website.
• 89.0% of Adults 45+ in the United States, an
The successful notice efforts for In re: Energy average of 3.5 times each
Future Holdings Corp. resulted in a combined • 85.2% of Adults 18+ in the United States, an
measurable reach, accounting for the national average of 3.2 times each
publications and national digital media only, of
approximately: These reach and average frequency of exposure
results indicate that the notice campaign was highly
• 89.5% of Men 65+ in the United States, an successful and provided notice to the target audience.
average of 3.3 times each

Litigation Claims

Similar to asbestos liability, litigation resulting action notice program. This is due to the need
from massive tort or contract liabilities takes a to ensure that potential claimants are provided
huge toll on a company. Handling the litigation is adequate notice of their rights and how to
complicated, financially draining and detrimental participate in the settlement.
in many other ways. Often times, companies Notice efforts in environmental, mining and
with no other recourse seek protection through manufacturing related cases often require
a bankruptcy filing. Often the litigation involves notice that is geographically targeted to
allegations of damage to property, personal parties in the area surrounding the mine
injury, death, latent disease, etc., and pertains or manufacturing plant. This includes, but
to a massive number of potential claimants and is not limited to employees and property
unknown future claimants – those whose injury owners who suffered damages as a result of
has not yet manifested as a result of the debtor’s environmental toxins being released into the
alleged activities. Similar to asbestos cases, the environment. In the Chemtura bankruptcy, the
concept of future claimants is a major issue in company faced pending litigation regarding
these cases. Some of the most notable categories allegations of personal injury as a result of
which are often carved out and settled as part exposure in the workplace to synthetic diacetyl,
of the bankruptcy reorganization process are a butter flavoring ingredient. As a result, a
environmental, mining, manufacturing and more extensive bar date notice effort was
product liability cases.
implemented; with plain language notices
To address such potential liability, payment trust published in local newspapers, covering more
funds and other settlement mechanisms are than a hundred locations specifically targeting
often created after extensive negotiations as a where diacetyl was likely used or where there
way to address the issues, manage resolution was a cluster of related plaintiffs. This notice
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and release the debtor from liability without effort was deemed to be reasonably calculated
leaving future creditors without a remedy. Like to provide notice to unknown creditors and
asbestos cases, these cases typically involve withstood challenges by plaintiffs. 46
more in-depth notice efforts, similar to a class

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