Sears Holdings Corporation Creditors' Committee
Case and Site Information
On October 15, 2018, Sears Holdings Corporation and certain of its affiliates (the "Initial Debtors") filed voluntary petitions for relief under Chapter 11 of the Bankruptcy Code in the U.S. Bankruptcy Court for the Southern District of New York. Subsequently, three additional affiliates filed voluntary petitions on October 18, 2018, October 22, 2018 and January 7, 2019 (together with the Initial Debtors, the "Debtors"). The cases of the Debtors are pending before the Honorable Robert D. Drain, and are jointly administered under Case No. 18-23538.
This website was established and is maintained by the Official Committee of Unsecured Creditors of Sears Holdings Corporation (the "Committee") and Prime Clerk LLC. This site was created to assist creditors in understanding the bankruptcy process and their rights under the United States Bankruptcy Code. It is maintained for informational purposes only and does not contain official court records.
Chapter 11 Overview
The United States Trustee
The Office of the United States Trustee is a branch of the Department of Justice. Its duties include, among others, monitoring the chapter 11 cases, monitoring the debtor-in-possession's operation of the business, ensuring that each debtor properly files its schedules, statements, and reports, reviewing applications for compensation and reimbursement of professionals, and monitoring for abuse and other illicit behavior by debtors, creditors, or other parties participating in the cases. Near the onset of a case, the United States Trustee appoints a committee to represent general unsecured creditors.
On October 24, 2018, the United States Trustee appointed the Committee to represent the interests of general unsecured creditors. The Notice of Appointment is available here. The United States Trustee’s selection of members is generally based upon the size of the members’ claims as listed by the debtors on their petition for relief and, occasionally, on the United States Trustee’s desire to appoint members from multiple constituencies (e.g. vendors, customers, unions, etc.). The Committee serves as a monitor of the Debtors' activities and an advisor to its creditor constituents. The Committee's role in the chapter 11 process is multifaceted and includes, among other responsibilities, analyzing and reviewing information about the Debtors, monitoring the Debtors' activities and financial condition, and participating in the development and negotiation of a chapter 11 plan. The Committee is authorized to hire counsel and financial advisors to assist it in fulfilling its duties. It is important to note that counsel to the Committee does not represent individual unsecured creditors.
Meeting of Creditors
The United States Trustee conducts a meeting of creditors, referred to as the "Section 341" meeting. The meeting was held on December 13, 2018 at 2:30 p.m. (ET) in Room 511 of the U.S. Bankruptcy Court, at One Bowling Green, New York, New York 10004.
Creditors are not required to attend this meeting, but have the right to do so. Attendance at the meeting does not impact a creditor's rights and benefits in any way. Debtors' counsel and the United States Trustee are both present at this meeting to provide information about the chapter 11 case along with a brief summary of the case's status. Both parties are available to answer creditors' questions. A representative of the Debtors also appears and testifies under oath. No judge is present and no decisions about the case is made during this meeting. Those who attend may ask questions regarding the company's finances.
Deadline to file Claims
In general, a creditor must file a "proof of claim" by the applicable "bar date" (i.e. deadline) in order to share in any recoveries for pre-petition liabilities pursuant to the terms of a chapter 11 plan.
The Bankruptcy Court has not yet set a deadline for filing proofs of claim against the Debtors. When a deadline is established, this website will be updated and creditors will receive notice by mail of the deadline to file a proof of claim, often referred to as the "Bar Date Notice". The Bar Date Notice will specify which parties do and do not need to file a proof of claim. Where applicable, creditors also will receive a customized proof of claim form.
Should you choose to file a proof of claim form at this time, you may visit Submit a Claim on the Debtors' Case Information Website for instructions.
A complete listing of all important dates is maintained on the Debtors' Case Information Website. Below is a partial listing of certain milestone dates.
Plan and Disclosure Statement
On April 17, 2019, the Debtors filed their Joint Chapter 11 Plan of Reorganization and the Disclosure Statement related thereto. The Bankruptcy Court will hold a hearing to consider approval of the Disclosure Statement on May 16, 2019.
Please click below to view all documents related to the Plan and Disclosure Statement:
Deadline to File Claims
The Bankruptcy Court has set the following deadlines for filing proofs of claim against the Debtors:
- General Bar Date (all creditors other than Governmental Units): April 10, 2019 at 5:00 p.m. (Eastern Time)
- Governmental Unit Bar Date: September 3, 2019 at 5:00 p.m. (Eastern time)
A copy of the Notice of Deadline for Filing Proofs of Claim (the “Bar Date Notice”) is available here.
- The Bar Date Notice was mailed to all known parties with a relationship to the Debtors, including shareholders, customers, and current and former employees.
- The fact that you have received the Bar Date Notice does not mean that you have a claim or that the Debtors believe that you have a claim.
- The Bar Date Notice lists who must file a proof of claim, and who need not file a proof of claim.
- Please read the Bar Date Notice carefully. You should consult an attorney if you have any questions, including whether you should file a proof of claim.
- Prime Clerk is not permitted to provide legal advice, including advising as to whether or not you should file a proof of claim.
Click on "Submit a Claim" above to download a proof of claim form and for more information regarding filing a claim against the Debtors.
Answers to FAQs are available here.
Unsecured Creditors' Committee Counsel
Akin Gump Strauss Hauer & Feld LLP
One Bryant Park
New York, NY 10036
Ira S. Dizengoff
Philip C. Dublin
Sara L. Brauner
Weil, Gotshal & Manges LLP
767 Fifth Avenue
New York, NY 10153
Ray C. Schrock, P.C.
Garrett A. Fail
United States Trustee and Court Information
United States Bankruptcy Court
Southern District of New York
300 Quarropas Street, Room 248
White Plains, NY 10601
United States Trustee
U.S. Federal Office Building
201 Varick Street, Suite 1006
New York, NY 10014