Linked by Thom Holwerda on Fri 14th Sep 2007 21:36 UTC, submitted by dylansmrjones
SCO, Caldera, Unixware Yahoo reports that SCO has filed [.pdf] for bankruptcy in order to protect assets. "The SCO Group today announced that it filed a voluntary petition for reorganization under Chapter 11 of the United States Bankruptcy Code. SCO's subsidiary, SCO Operations, Inc., has also filed a petition for reorganization. The Board of Directors of The SCO Group have unanimously determined that Chapter 11 reorganization is in the best long-term interest of SCO and its subsidiaries, as well as its customers, shareholders, and employees." Groklaw has a story on it, too.
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RE[5]: Wrong chapter
by Geoff Gigg on Sat 15th Sep 2007 17:23 UTC in reply to "RE[4]: Wrong chapter"
Geoff Gigg
Member since:
2006-01-21

Check Groklaw. The trial won't go ahead until the bankruptcy is concluded. Ergo the bankruptcy can't properly include SCO's obligations to Novell because it hasn't been adjudicated. It's a Catch-22 that allows SCO to continue as long as they can keep the bankruptcy in place. Given the state of their business, that could be a long time.

Note that their to-be-determined obligations to Novell are not on list of 20 largest unsecured creditors or list of debts. It just doesn't exist in legal reality yet.

I don't know what sort of miracle they might be expecting in order to use the time this gives them - perhaps an appeal of the August 10 ruling to a higher, more favourable court.

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