CHARLESTON, W.Va. -- Attorneys say all court proceedings in the chemical spill lawsuits are in "time out" because of Freedom Industries' filing for Chapter 11 bankruptcy.
Pittsburgh law firm McGuire Woods LLP-the same law firm listed on the confirmatory deed- filed on behalf of Freedom Industries Friday afternoon.
In Chapter 11 bankruptcies, generally the company plans to reorganize, according to information from the United States Courts. McGuire Woods LLP has not yet responded to calls from the Charleston Daily Mail.
According to the filing, the company has in a range of 200-999 creditors, up to $10 million in estimated assets and up to $10 million in estimated liabilities.
Freedom's top five creditors, according to bankruptcy documents, are Advantage Technical Resourcing, in Boston; AKJ Industries, in Fort Myers, Fla.; Archer Daniels Midland, in Duluth, Ga.; BASF Corporation, in Pittsburgh; and Chemstream Inc. out of Stoystown, Pa.
Documents state the company's board of directors adopted resolutions in a special Jan. 17 meeting. The board decided it would be in the best interest of the corporation to file for relief under Chapter 11 bankruptcy
Attorney Harry Bell with the Bell Law Firm said this filing means all lawsuits involving the company are in time-out.
U.S. Attorney Booth Goodwin clarified this filing does not affect the federal investigation.