Originally Posted by
cgull
CAL is a 2x chp participant in chp 11 and cant do it again. Ual had another bite at the apple. It would have been chp 7 for CAL.
This is an old wives tail that isn't correct. There is no "3 strikes" rule in Chapter 11. The following quote is from the WSJ:
"Since 1985, at least 240 companies have filed twice, said Edward Altman, a bankruptcy expert and New York University finance professor who tracks repeat bankruptcy filings. About 11 companies have filed three times in that period, he said. Two companies, he said, have filed four times—TransTexas Gas Corp. IEP +0.46% and the various iterations of the casino company that has borne Donald Trump's name."
Full article:
Chapter 55: Five Trips Into Bankruptcy - WSJ.com