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General Information

On June 1, 2009, Motors Liquidation Company (formerly General Motors Corporation) and certain subsidiaries filed voluntary petitions for relief under chapter 11 of the Bankruptcy Code in the United States Bankruptcy Court for the Southern District of New York.  An order was entered approving the sale of substantially all of Motors Liquidation Company’s assets to a new and independent company under section 363 of the Bankruptcy Code on June 5, 2009.  The sale closed on July 10, 2009.

Environmental Corporate Remediation Company, Inc. and Remediation And Liability Management Company, Inc., two direct subsidiaries of Motors Liquidation Company, filed voluntary petitions for relief under chapter 11 of the Bankruptcy Code on October 9, 2009.  Their chapter 11 cases are being jointly administered with Motors Liquidation Company’s chapter 11 proceedings for procedural purposes only under case number 09-50026 (REG).

On August 31, 2010, Motors Liquidation Company filed its Joint Chapter 11 Plan with the Federal Bankruptcy Court for the Southern District of New York. On December 8, 2010, the Motors Liquidation Company filed an Amended Joint Chapter 11 Plan.  On March 18, 2011, Motors Liquidation Company filed a Second Amended Joint Chapter 11 Plan.

For Court documents, a list of scheduled hearings, and other information related to Motors Liquidation Company’s bankruptcy proceedings please visit http://www.motorsliquidationdocket.com.

Confirmation of Chapter 11 Plan

On March 29, 2011, The United States Bankruptcy Court for the Southern District of New York entered an order confirming the Second Amended Joint Chapter 11 Plan of Motors Liquidation Company et al. (f/k/a General Motors Corporation).

To view the press release and related information regarding the confirmation of Motors Liquidation Company's Second Amended Joint Chapter 11 Plan, please click here.

Effectiveness of Chapter 11 Plan

On March 31, 2011, Motors Liquidation Company issued a press release stating that all conditions to the effectiveness of the Second Amended Joint Chapter 11 Plan were satisfied or waived, making the Plan effective.

To view the press release and related information regarding the effectiveness of Motors Liquidation Company's Second Amended Joint Chapter 11 Plan, please click here.

Distributions to General Unsecured Claimants


Wilmington Trust Company has been selected as the Trust Administrator and Trustee for the Motors Liquidation Company GUC Trust that has and will make distributions to holders of Allowed Class 3 General Unsecured Claims under the Second Amended Joint Chapter 11 Plan of Motors Liquidation Company et al and will continue to make distributions to holders of GUC Trust Units.  These distributions consist of common stock of General Motors Company, warrants to purchase General Motors Company common stock, and cash.  To see the Bondholder Distribution Allocation by Indenture please click here.

Motion of the Motors Liquidation Company GUC Trust Administrator to Authorize Entry into Forbearance Agreement with General Motors LLC

On September 12, 2017, Wilmington Trust Company, as Trust Administrator and Trustee, filed a motion with the Bankruptcy Court for the Southern District of New York (the “Bankruptcy Court”) seeking entry of an order authorizing the GUC Trust to enter into a Forbearance Agreement with General Motors LLC (“New GM”). In general terms, the Forbearance Agreement requires the GUC Trust to refrain from (i) seeking entry of an order estimating the purported claims of certain plaintiffs (the “Potential Plaintiffs”) who allegedly suffered personal injuries or economic losses related to cars manufactured by General Motors Corporation or (ii) seeking the issuance of additional shares of New GM common stock (the “Adjustment Shares”) related thereto until certain events have transpired in the Bankruptcy Court and in a related proceeding in the District Court for the Southern District of New York. In exchange, New GM is required to reimburse the reasonable fees and expenses of the GUC Trust incurred in connection with certain legal proceedings related to the Potential Plaintiffs, and has agreed to discuss in good faith potential compensation for any related delays in future distributions from the GUC Trust.


A copy of the motion can be found here.


The forbearance agreement expired by its own terms as of 11:59 p.m. February 28, 2018.


Bankruptcy Court Approval of the Motion of the Motors Liquidation Avoidance Action Trust to Enter into a Settlement to Fully Resolve the Term Loan Litigation

O
n May 13, 2019, Wilmington Trust Company, as Trust Administrator and Trustee of the Avoidance Action Trust, filed a motion (the “Motion”) with the Bankruptcy Court seeking approval of a global settlement agreement (the “Settlement Agreement”) that will resolve all pending claims and cross-claims among all parties to the Term Loan Avoidance Action.  Under the Settlement Agreement, the Avoidance Action Trust will receive $231 million (the “Settlement Payment”) in consideration for which the Avoidance Action Trust will dismiss with prejudice the Term Loan Avoidance Action and release any potential claims against defendants and certain other entities.  A hearing on the Motion was held on June 12, 2019, during which the Court approved the Global Settlement Agreement from the bench for the reasons stated on the record.  The following day the Court entered the Settlement Approval Order granting the Motion.  The Avoidance Action Trust anticipates that the Settlement Payment will be received in early July, after which time the Avoidance Action Trust will file a motion with the Court seeking approval of the plan of distribution to its beneficiaries.  Please check back in July for additional information regarding distributions to Avoidance Action Trust beneficiaries.


A copy of the Settlement Approval Order is located here.


Distribution of the Motors Liquidation Company Avoidance Action Trust

On June 13, 2019, the Bankruptcy Court granted the motion of Wilmington Trust Company, as Trust Administrator and Trustee of the Avoidance Action Trust (the “Avoidance Action Trust Administrator”), approving a global settlement agreement (the “Settlement Agreement”) that resolved all pending claims and cross-claims among all parties to the Term Loan Avoidance Action.  Pursuant to the Settlement Agreement, on July 1, 2019, the Avoidance Action Trust received $231 million and, in exchange, dismissed with prejudice the Term Loan Avoidance Action and released its claims against defendants and certain other entities.    


On July 8, 2019, the Avoidance Action Trust Administrator filed a motion with the Bankruptcy Court seeking approval to distribute the Avoidance Action Trust proceeds to its beneficiaries (the “Distribution Motion”).  The hearing on the Distribution Motion is scheduled for August 5, 2019 at 2:00 p.m.


Copies of the papers filed in support of the Distribution Motion are located below

ECF No. 14551 - Notice of Hearing on Motion of the AAT for Entry of an Order Approving the Distribution Plan

ECF No. 14552 - Motion of the AAT for Entry of an Order Approving the Distribution Plan

ECF No. 14552-1 - Exhibit A to Distribbution Motion

ECF No. 14552-2 - Exhibit B to Distribution Motion

ECF No. 14552-3 - Exhibit C to Distribution Motion

ECF No. 14552-4 - Exhibit D to Distribution Motion


If you are the holder of Allowed General Unsecured Claims, you may be entitled to receive a pro rata share of cash distributions from the Avoidance Action Trust.  Please note that the Avoidance Action Trust is separate from the Motors Liquidation Company GUC Trust (“GUC Trust”) and entitlement to distributions from the GUC Trust does not necessarily translate to an entitlement to distributions from the Avoidance Action Trust.


Please note that no distributions will be made until the Bankruptcy Court approves the Distribution Motion.



About This Site

This site contains public information about the Motors Liquidation Company GUC Trust, its activities and the methods by which the common stock of General Motors Company, and warrants to purchase General Motors Company common stock will be distributed to holders of Allowed Class 3 General Unsecured Claims.  This site will be updated as necessary to explain ongoing activity and to report status, including summary distribution updates.


  





Disclaimer: The material and information disclosed on this site is for informational purposes only and is not intended to be legal advice or indicative of future performance.    Please consult an attorney for advice specifically relating to your legal matter.    Do not send confidential information without express consent of one of our case professionals.    The MLC General Unsecured Creditors Trust and AlixPartners are not responsible for and make no representations about the content, completeness, or accuracy of any other web sites that are accessible through this site.