AZlawyer
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I posted this in the BK thread, but wondered if one of our wonderful WS attorneys had any insight into this question. Assuming that the Trustee is allowed to auction off KC's rights to "her story", and a bidding war ensues that brings the price up to, let's just say, 2 Million Dollars. Once the Trustee pays OCSO, IRS, OPD, etc, and they realize that she DOES NOT owe JB anything else, who gets the rest of the money? Even paying the court a generous fee, there would still be around a Million Dollars left. Would that go to KC or would it be held for her civil suits? I am wondering because I can't believe that Team KC didn't realize that the court might sell her rights to pay her debts. I CAN, however, picture them realizing that no one in their right mind would pay KCA anything for "her story", and what better way to start a bidding war than to let the courts sell it for her. I know that most of us feel cynical about anything that the DT does because they seem to use every underhanded, backdoor loophole they can find. I am now wondering if this is simply a way of getting KC some money by seliing her story without actually selling it. KWIM? TIA!
Well, no one is going to pay 2 million IMO for a story that Casey may (and probably will if someone else owns the rights) choose not to tell.
Whatever $$ is obtained would be distributed first to Trustee's fees and fees for the Trustee's attorneys, then to GENUINE creditors, which would include ZG and anyone else who has sued her, assuming they can prove their claims.
If the $$ obtained is in excess of the creditors' claims and all costs, fees, etc., then Casey would get the excess funds (assuming that the BK doesn't get dismissed on the ground that Casey isn't really bankrupt at that point).