Borders 'Getting Raped' On Lender Fees, Judge Says

Law360, New York (June 22, 2011, 3:39 PM EDT) -- A bankruptcy judge in New York on Wednesday grudgingly put Borders Group Inc. on track to be sold by the end of July, criticizing the $1 million fee charged by lenders for amending the terms of a credit agreement to allow for the deal.

“I think you're getting raped, that's the best way I can describe it. These fees are out of sight,” U.S. Bankruptcy Judge Martin Glenn told lawyers for the bookstore chain during the hearing. But “with some reluctance,” he said he would grant...
To view the full article, register now.
Law360 Pro Say Podcast
Check out Law360's new podcast, Pro Say, which offers a weekly recap of both the biggest stories and hidden gems from the world of law.