Prof. Edward Adams Interviewed on KAAL-TV News About Legal Process to Pay Creditors from Closed Poultry Plant

Professor Edward Adams, Howard E. Buhse Professor of Finance and Law, was interviewed by KAAL-TV News about a Charles City, Iowa, poultry plant that closed last month and the hundreds of creditors who haven't been paid. The poultry company, Pure Prairie Poultry, filed in court on Oct. 21 to enter into an assignment with Light House Management Group to allow Light House to act on their behalf in order to liquidate, sell, or operate the property. Under an assignment, there is typically a 30-day window where creditors are prevented from taking certain actions against their debtor such as commencing or continuing a judicial, administrative, or other action to recover a claims. In a hearing this week, the management firm is seeking to extend the time frame to March 31 in order to identify all the creditors. Prof. Adams said, “There’s only so many fish in the pond, and everyone’s trying to catch the most fish, which is the most money, so on some level they’re trying to sort of elbow out all of the other creditors.”