Competing BK Plan presented by Fujitsu
posted on
Jan 18, 2014 10:50AM
Would this idea presented by Fujitsu (see footnotes 20 & 21, pgs.11-12) be beneficial to PTSC shareholders?
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20 So, what kind of a competing Plan would the Licensee Defenders Committee advocate?
One goal would be to pay off the required priority and administrative claims allowed by the Court, plus the allowed unsecured claims, and cram down the rest at the nothing they deserve under applicable law, all without disturbing the existing license settlements with the Licensee Defenders. That would, (a) avoid the nonproductive and unnecessary defensive litigation that the OCC Plan would otherwise compel from Licensee Defenders, and (b) pay the OCC-favored creditors their estimated $8 million in allowed claims and end any need—or excuse—from them to manage and continue a troll business through the Reorganized Company. How would that be accomplished? By having the Licensee Defender Committee organize and control a business (not troll) settlement process that (1) expressly assures all Licensee Defenders of perpetual peace and the continuing benefit of their bargains under their settlement licenses, and (2) promptly settles all the pending or threatened troll litigation on a fair and reasonable basis sufficient to close out this case. p.11
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21 For example, one of many defensive strategies of legitimate businesses resisting the
objectionable conduct of trolls is illustrated by RPX, where the legitimate target defendants use a “white knight” patent buyer to acquire patents in competition with the trolls for defenses and reasonable license fees. See Exhibits D, F and G. The Licensee Defenders Committee idea is not exactly the same, but the point is to illustrate that target defendants can deal with recognized “good guys” on a business like basis, whereas litigation is the only typical tool of trolls like the Debtor or the Reorganized Company. A better plan could offer a quasi-RPX type of solution, whereby settling legitimate businesses can achieve a fair license defense in a reasonable settlement without “feeding the beast” (i.e., paying ransom to the troll, whether as the Debtor or
the OCC’s imagined Reorganized Company).
http://photos.imageevent.com/banos/tplbk/Motion%20Miscellaneous%20Relief%201-16-14.pdf