Judge rejects deal from Adams Produce, Pro*Act

05/22/2012 01:33:00 PM
Coral Beach

Then the judge said what the non-Pro*Act group of PACA creditors had been theorizing.

The deal behind the settlement

The deal would have benefitted PNC Bank because it would get other creditors off the books, clearing the way for it to receive payment on a $5 million lien it claims to have against Adams Produce. Although Pro*Act and 17 other produce companies were in favor of the deal, many other PACA creditors were not willing to sign away future rights.

Judge Mitchell agreed with the non-Pro*Act group. She repeated that no one in the case has seen all of the financial records of PNC Bank and Adams Produce and until they do, she’s not interested in the settlement.


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Craig    
Houston  |  May, 23, 2012 at 09:20 AM

Good luck with those PACA claims. We have filed claims in the past 8 years against three companies that have filed Chapter 11. All forms and deadlines were done correctly, as well as having an attorney involved. Total settlement to date: $0. It sounds like a good system but it's not.

Michael    
Atlanta, GA  |  May, 25, 2012 at 07:45 AM

Have you folks looked at Euler Hermes - world's oldest and largest credit insurer? They write many trade credit protection policies for produce and foodservice companies around the world - and you get paid right away on past due and bankrupt trade debts you're owed... not a bad deal. Give me a call - 770-820-7409.

tom obrien    
bradenton fla.  |  May, 23, 2012 at 01:55 PM

I agree with Craig PACA has become another way for lawyers to make money and the producers get the shaft When there is no threat of punishment why not rob the grower or shipper

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