What I read is that company has to be reasonable in there request, I won’t even answer that statement. She also goes on and says BK is not the preferred course for a union contract but under our circumstances why does she add that. I thought she was just explaining the workings of BK not giving advice.700UW said:Well if am wrong then the labor bankruptcy attorney Sharon Levine, who handled the TWA, Hawaiian, US Airways and United for the the IAM is the one who you should say is wrong, and I believe she knows more then you or I in the matter, because she is the one who gave me the information.
To this date, no company that has had an 1113 letter negotiated has ever asked the court to abrogate it.
Companies that request abrogation of the labor agreement but it must meet the following nine (9) distinct requirements:
1. The debtor in possession must have made a proposal to the union.
2. The proposal must be based upon the most complete and reliable information available at the time of the proposal.
3. The modification must be necessary to permit reorganization.
4. The modification must provide that all affected parties be treated fairly and equitably.
5. The debtor must provide the union with such relevant information as is necessary to evaluate the proposal.
6. The debtor must have met with the collective bargaining representative at the reasonable times subsequent to making the proposal.
7. The debtor must have negotiated with the union concerning the proposal in good faith.
8. The union must have refused to accept the proposal with good cause.
9. The balance of the equities must clearly favor rejection of the agreement.
Levine also noted that bankruptcy is not the preferred course for your contract.
Her presentation was excellent and the IAM has someone knowledgeable keep an eye on our interests, and I personally want to thank her for her time.
Can you honestly say that this company has met all of these requirements; I say they haven’t and I think they know they haven’t. I don’t think a judge would look at all the facts and abrogate a 1113 letter and slash wages to 45% of their pay knowing all the facts.
To this date, no company that has had an 1113 letter negotiated has ever asked the court to abrogate it.
Companies that request abrogation of the labor agreement but it must meet the following nine (9) distinct requirements:
1. The debtor in possession must have made a proposal to the union.
2. The proposal must be based upon the most complete and reliable information available at the time of the proposal.
3. The modification must be necessary to permit reorganization.
4. The modification must provide that all affected parties be treated fairly and equitably.
5. The debtor must provide the union with such relevant information as is necessary to evaluate the proposal.
6. The debtor must have met with the collective bargaining representative at the reasonable times subsequent to making the proposal.
7. The debtor must have negotiated with the union concerning the proposal in good faith.
8. The union must have refused to accept the proposal with good cause.
9. The balance of the equities must clearly favor rejection of the agreement.