- 5 - liquidation, were believed to be worth less than the obligations that Pacer owed NAC. The settlement agreement states: Pacer is presently selling its assets to Venco for an agreed upon purchase price of $614,000. Such purchase price is to be paid in monthly installments * * *. Pacer shall retain a Security Interest in its assets as sold to Venco until Venco has made payment in full of such purchase price, plus interest. The purchase of the assets by Venco is subject to the existing liens and security interest in or covering such assets * * *. Under the settlement agreement, Venco’s monthly installment payments for Pacer’s assets were required to be paid to the various creditors involved in the lawsuit. The settlement agreement specifies the amounts of the monthly installment payments and the manner in which they are to be divided among the creditors. The settlement agreement also provides that petitioner will not be released from his personal obligations until the various creditors have received payments totaling at least $162,735.2 Under the settlement agreement, in the event a default occurred in the payment of any payment from Venco, NAC was entitled to file a previously executed consent judgment in favor of NAC and against Pacer and petitioners for the sum of their debts to NAC. 2 This total comprises required installment payments totaling $36,920 to NAC and installment payments totaling $24,494 to the State of Alabama Department of Economic and Community Affairs, as well as satisfaction in full of petitioner’s $101,321 Federal tax liability.Page: Previous 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 Next
Last modified: May 25, 2011