FAQs

On August 4, 2008, WCI Communities, Inc. and certain of its affiliates (collectively, the "Debtors") filed voluntary petitions (the "WCI Cases") for relief under chapter 11 of title 11 of the United States Code, 11 U.S.C. §§ 101 et seq. (as amended, the "Bankruptcy Code").

The questions and answers that follow provide general information concerning the WCI Cases, the Official Committee of Unsecured Creditors (the "Committee") of WCI Communities, Inc., et al., and various topics related to the WCI Cases and the Committee.

What is the Committee?

Pursuant to the Bankruptcy Code, the United States Trustee (the "UST") is authorized to appoint a committee of creditors holding unsecured claims as soon as practicable after the filing of a case. Generally, a creditors committee is a group (typically seven) of general unsecured creditors appointed to represent, in a fiduciary capacity, the interests of all general unsecured creditors. In such role, creditors committees act to protect and promote the interests of general unsecured creditors by, among other things, monitoring a debtor's business operations, investigating its business and financial affairs, and negotiating the terms of a plan of reorganization. The overarching goal of a creditors committee is to maximize value for general unsecured creditors.

In accordance with this authority, on August 13, 2008, the UST appointed the Committee.

What is the Committee's role in the WCI Cases?

Pursuant to the Bankruptcy Code, the Committee may: (1) consult with the trustee or debtor in possession concerning the administration of the cases; (2) investigate the acts, conduct, assets, liabilities, and financial condition of the debtor, the operation or the debtor's business and the desirability of the continuance of such business, and any other matter relevant to the case or to the formulation of a plan; (3) participate in the formulation of a plan, advise those represented by such committee of such committee's determinations as to any plan formulated, and collect and file with the court acceptances or rejections of a plan; (4) request the appointment of a trustee of examiner under section 1104 of the Bankruptcy Code; and (5) perform such other services as are in the interest of those represented.

Who are the members of the Committee?

  • The Bank of New York Mellon
  • iStar Financial Inc.
  • AQR Capital Management
  • Law Debenture Trust Company of New York
  • The Signal Group, Inc.
  • Taberna Capital Management (ex officio member)
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    Who represents the Committee?

    The Committee retained Akin Gump Strauss Hauer & Feld LLP and Bayard, P.A. to act as its counsel.

    Which WCI entities are in bankruptcy?

    Click here to view a list of the Debtors and case numbers.

    Who is the United States Trustee?

    The United States Trustee for the WCI Cases is Andrew R. Vara. The Trial Attorney assigned to the WCI Cases is Jane M. Leamy.

    What role does the United States Trustee Play?

    The United States Trustee Program is a component of the Department of Justice responsible for overseeing the administration of bankruptcy cases. For further details on the United States Trustee's role, please visit the web page for the UST at www.usdoj.gov/ust/r03/de.htm.

    Does the Committee represent individual creditors?

    No. The Committee represents the interests of all unsecured creditors through oversight of and negotiations with the Debtors. Neither the Committee nor its counsel represent individual creditors that may have claims in the WCI Cases.

    What is the deadline for filing proofs of claims?

    The deadline for the filing of proofs of claims against the Debtors in this case was February 2, 2009 at 4:00 p.m. Prevailing Eastern Time.

    Do I need to file a proof of claim?

    If you believe that you or an entity you represent has a claim arising prior to August 4, 2008 against one or more of the Debtors, you may wish to file a proof of claim to protect your rights. You should consult your own counsel in deciding to file a claim in the WCI Cases. For additional information regarding proofs of claim, please refer to the Debtors' website.

    Have the Debtors filed any chapter 11 plan(s) or disclosure statement(s)?

    The Debtors' Second Amended Joint Plan of Reorganization, dated July 16, 2009, and their Second Amended Disclosure Statement, dated July 16, 2009, were filed with the Bankruptcy Court. A hearing to consider confirmation of the Second Amended Joint Plan of Reorganization was scheduled for August 26, 2009 at 11:00 a.m. (prevailing Eastern Time). On August 26, 2009, the Bankruptcy Court entered an Order confirming the Second Amended Joint Plan of Reorganization. To view these documents, please click on the Plan of Reorganization and Disclosure Statement link on the left side of the page.

    How long will the WCI bankruptcy cases take?

    There is no specific time estimate for the WCI Cases. Large bankruptcy cases, such as these, can take several months (and in some cases years) to complete.

    Who is the judge presiding over the WCI Cases?

    The WCI Cases are assigned to the Honorable Kevin J. Carey, United States Bankruptcy Judge for the District of Delaware.

    For additional frequently asked questions regarding the Debtors, please visit the WCI website at http://chapter11.epiqsystems.com.