Opinion ID: 615296
Heading Depth: 2
Heading Rank: 3

Heading: Bankruptcy-Related Communications with Plaintiffs

Text: On the bankruptcy filing date, July 16, 2001, Sterling sent two letters and a handout communicating with Plaintiffs about the bankruptcy proceedings. The first letter stated: As a routine matter, [Sterling's] various benefit programs are being presented to the Court today for approval. We don't expect to see any changes in these programs, including the pension and retiree medical plans. The second letter stated: As a routine matter, [Sterling's] various employee benefit programs are being presented to the Court for approval. We don't expect to see any changes in these programs, and all plan assets are safe, secure and protected by law. The handout asked and answered: What is happening to the active and retiree medical plans? These plans are expected to continue as is. During the bankruptcy, Plaintiffs also received bankruptcy proof of claim forms. Plaintiff Robert Evans was invited to serve on the creditors' committee but he declined to do so. Evans was, however, included on the bankruptcy pleadings service list and admits to monitoring the bankruptcy case. At least some Plaintiffs were also aware that Sterling filed a motion to reject the APA as an executory contract. On December 9, 2002, ten days prior to Sterling's emergence from bankruptcy and after the bankruptcy court's confirmation of the Plan of Reorganization, Plaintiffs were sent a letter indicating that their benefits and premiums were guaranteed only through March 31, 2003.