Bloomberg Law
Free Newsletter Sign Up
Login
BROWSE
Bloomberg Law
Welcome
Login
Advanced Search Go
Free Newsletter Sign Up

GVS Texas Reaches Deal to Dodge Chapter 11 Trustee Appointment

Nov. 5, 2021, 10:02 PM

GVS Texas Holdings I LLC, a bankrupt self-storage operator, defeated the government’s attempt to name an independent trustee to oversee its Chapter 11 case, after agreeing to keep its former CEO away from management.

The agreement—struck among GVS Texas, its principal lenders, and the former CEO Natin Paul—will allow the Austin-based company to maintain control of its bankruptcy case.

It also resolves the conflicts of interest and management problems that spurred the U.S. Trustee’s bid to appoint a trustee in the case or convert it to Chapter 7, according to the U.S. Bankruptcy Court for the Northern District of Texas ...