|WINE EXECUTIVE NEWS |Sullivan Vineyards Bankruptcy: Napa Valley’s Chapter 11 From Hell | Premium Member Briefing | September 14, 2017
You are receiving this email because you are a premium VIP subscriber to Wine Executive News Premium Member.
If you do not wish to receive this, please click the following link: >>>> [UNSUBSCRIBE] <<<<
VIP Wine Executive News Member Briefing
The premium, VIP service of Wine Industry Insight
From editor & publisher, Lewis Perdue
September 14, 2017
Sullivan Vineyards Bankruptcy: Napa Valley's Chapter 11 From Hell
The wildest Falcon Crest episode ever made pales by comparison with Napa Valley's Sullivan Vineyards bankruptcy.
The Chapter 11 proceeding is one of the messiest, most convoluted, and personally vicious winery insolvencies ever to hit a financial rock bottom in Napa Valley without ending in murder suicide.
The Sullivan saga features corporate boardroom skullduggery, a divorce battle playing out in Colorado and in a California federal district court, a disputed nuptial agreement being slugged out in two states, dueling security loan interests, and a handful of legal side battles -- both real and threatened -- in Napa Superior court.
Complicating matters further are two corporations involved, Sullivan Vineyards Corporation, Inc. (SVC - winery operations) and Sullivan Vineyards Partnership (SVP - vineyard operations). On top of all that, we find Stephen Finn -- former SVC/SVP CEO turned senior secured creditor -- who holds all the financial cards and refuses to trust any of the financial information the SVC/SVP presents in court. Finn is the Founder and Chairman of the Trust Company of America Inc.
Photo credit: Sullivan Vineyards web site
Trustee appointed to forestall Chapter 7
With all those moving slug fests and the inability of Sullivan Vineyards to overcome numerous creditor objections to three versions of a reorganization plan, it is not a surprise that on August 29, Judge Roger L. Efremsky of the U.S. Bankruptcy Court for the Northern District of California, ordered the appointment of a court trustee to bring coherence to the process.
Experienced trustee Timothy W. Hoffman has been nominated as trustee and is expected to be approved by the court at a hearing in Santa Rosa scheduled for 11 a.m., September 18. The trustee appointment is a last-ditch effort to forestall a March 24, 2017 order by the Court to convert the Chapter 11 reorganization to a Chapter 7 liquidation if a plan had not been confirmed by August 31, 2017.
The remainder of this 2,000+ word article is available to Wine Executive News Premium Subscribers.
Premium Subscribers Log-In Here
Also in this article:
Controversy also takes a toll on wine price
The prenup, the stock purchase, new groom Finn bails out loan, gets stock
Finn buys majority of stock in exchange for a lifetime annuity to seller, Joanna Sullivan
Marriage hits the rocks. Groom Finn loses stock, lists winery for sale
Joanna Sullivan Sues Finn For Money He Paid for Her Stock That May No Longer Be His Because of Prenup. He settles
A blizzard of lawsuits swirl
Colorado court, issues divorce, decides Colo marital agreement trumps Calif stock purchase
Sullivan Vineyards ousts Finn, triggers loan default
Finn makes good on personal guarantee, becomes senior secured debt holder
Senior secured debt holder Finn drops the big debt hammer, puts winery in default, announces sale
SVC, SVP File Chapter 11
The Sullivan Vineyards Chapter 11 Financial details. Dispute triggers trustee appointment
Not a Wine Executive News subscriber?
Subscribe to Wine Executive News now, and get the rest of this original article along with everything else on the site every day, including original documents, spreadsheets,and source materials for just $29.99 per month or $209 per year/
Court Documents Available to Premium Subscribers
Third Disclosure Statement
U.S. District Court Judge Statement Corrick Decision
Sullivan Vineyards Corporation, Initial Chapter 11 Petition
Sullivan Vineyards Corporation, Bankruptcy Schedules
Sullivan Vineyards Corporation, Largest unsecured creditors
Sullivan Vineyards Corporation, Creditor Matrix
Sullivan Vineyards Partnership, Initial Chapter 11 Petition
Sullivan Vineyards Partnership, Bankruptcy Schedules
Sullivan Vineyards Partnership, Creditor Matrix
Sullivan Vineyards Consolidated, Trustee's Statement
Finn objection to use of secured collateral
To access the premium articles, please log into your account with the appropriate link, below:
Because our billing company of the past nine years was bought by a company that does not accept American Express, we have had to change our subscription process, and the method of accessing premium content. (Here's more about that.)
PREMIUM SUBSCRIBER LOG-IN
Below are two links that lead to the same premium content:
(1) Long-time subscribers billed by CCBill should click this link.
(2) Stripe account subscribers should click this link.
Not a Wine Executive News subscriber? Subscribe to Wine Executive News now, and get the rest of this original article along with everything else on the site every day, including original documents, spreadsheets,and source materials for just $29.99 per month or $209 per year
New Subscriber Info
For those of you who read our free daily News Fetch email links, some of the following may be redundant.
However -- especially for new subscribers -- it's important to know that I don't send you a separate email every time an article contains premium content. That would be spamming ... especially for folks who read News Fetch every day.
This is because most Wine Executive News subscribers usually have subscribed to News Fetch prior to joining the premium content site.
When you sign up for premium, I always check to see if you are also getting the free News Fetch. If not, I sign you up so you will get the news quickly.
Where can you find premium content?
Every article that contains premium content will usually be the top link in the News Fetch unless some monumental news bumps it to #2.
For your convenience and future reference, all of the News Fetch emails are automatically converted to web pages and can be found here: NewsFetch Newsletter Archives.
In addition, articles that contain premium content will also be in the "Features" category on the Wine Industry Insight web site:
================= CONTACT DATA ====================
670 W. Napa St., Suite H, Sonoma, CA 95476
Phone: 707-326-4503, fax: 707-940-4146