While the Tribune Co.'s creditors fight over the company's bankruptcy, the Chicago Tribune's reporters looked to UW Law professor Jonathan Lipson B.A. '86, J.D. '90 to help explain the complicated situation.
Among the more contentious issues in the bankruptcy are payments to former Tribune Co. executives made in conjunction with the company's December 2007 sale to a Sam Zell. Some 200 employees received various types of compensation, ranging from $10,000 to more than $28 million.
Some creditors have described those payments as a fraudulent conveyance, and argue that they should be returned to the company to be divided among the creditors.
Professor Lipson told the Tribune that this attempt to "claw back" payments from top executives could spill over into lower-level managers, both those who left the company and those still employed.
The full article is available here.
Submitted by UW Law School News on December 14, 2010