Ford's Colony Country Club Bankruptcy Update

Tuesday, February 08, 2011

The judge in the Ford’s Colony Country Club bankruptcy case made two important decisions last week, and also set a firm date for the entities involved to come up with a reorganization plan.

Ford’s Colony Country Club filed for Chapter 11 bankruptcy protection last spring. The Club, Prudential and the Creditors Committee are now working on a reorganization plan, but haven't yet been able to come to an agreement on what the plan will look like.

Last week, the judge presiding over the case decided not to grant Prudential’s motion for Relief from Stay (which would have allowed Prudential to proceed with foreclosing on the property) and carried over the request until March. The judge also denied the debtor’s request to consolidate the country club and the Marsh Hawk Golf Club into one entity.

According to an update by the Creditors Committee, during the recent hearing the judge reemphasized that a viable club is vital to the members and the community as a whole, and he was disappointed the parties couldn’t reach an agreement on a reorganization plan.

The judge set a new deadline of February 28 for any party to file a plan of reorganization.