Welcome to the twenty-fourth Pari Passu newsletter,

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Today, we will learn more about:

1. Diamond Sports Group Chapter 11

2. Four Tips for Better Communication

Diamond Sports Group Chapter 11

Today we will be covering the recent Diamond Sports Group (DSG) chapter 11 proceeding. In this unusual restructuring transaction, the unsecured administrative priority claimants have significant leverage over the feasibility and outcome of the proposed plan of reorganization. As pointed out by Kevin Eckhardt, Deputy Managing Editor at Reorg in a recent podcast, this situation is in stark contrast to the recent position of most administrative priority creditors in Chapter 11 cases. Bankruptcy Judges have been very willing to trample the rights of administrative priority creditors during the covid era. Such was the fate of most landlords during the wave of retail restructurings as well as that of vendors in the Sears bankruptcy.

Background – Sinclair Broadcast Group and the formation of DSG

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