Dura Defends $500K Fee, Citing Ch. 11 Exit

Law360, New York (July 23, 2007, 12:00 AM EDT) -- Auto parts maker Dura Automotive Systems Inc. has called on a bankruptcy court to ignore objections to a proposed $500,000 payment to a private equity firm offering to buy one of its units, saying the fee ensured a swift Chapter 11 exit.

In its reply to the limited objection of the U.S. Trustee, filed Friday in the U.S. Bankruptcy Court in Delaware, the company said the trustee misconstrued the purpose and effect of the fee, saying it would be paid to the proposed buyer only if...
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