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Thursday, September 28, 2006

Comments

Laser Haas

Any effort to "bypass" the system of justice is an effort to cause heart anxiety by arresting justice.

One of the pioneers of the current bankruptcy and liquidation business pulled a coup de gra when he suggested to a creditors committee, we need an inventory and to show our good faith we will pay half the cost.

Do you really believe a buyer seeks someone else to count the goods? Has it occurred to anyone that the "arms length" counting agency will never again be working for the liquidating entity that is now defunct but will always be competing for the right to be requested to count? When both parties are paying the bill, buyer and seller, who is the employer of the counting entity? Was the intent of the buyer in offering to pay for half the counting bill a willingness to pay "more" for the goods or less?

Now that sweet deal has found its way into the system of justice. District appeals courts actually seek to force binding arbitration upon us. What is worse is that both sides must pay a fee to the arbitrator which is well beyond the fee the appealling party paid. When the average citizen goes against an entity and is forced to utilize an arbitration process, where does the arbitrator come from? A neutral law firm? Is there such a thing?

There is a conflict of interest issue, as they all belong to the same Bar Association!

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