Cerberus Capital Management LP and Chatham Lodging Trust will pay $1.02 billion for 64 hotels of Innkeepers USA Trust after settling a dispute over whether the deal could be called off because of the U.S. economic slump.
Cerberus Capital Management LP reached a tentative settlement with Innkeepers USA Trust over claims that it breached an agreement to buy the hotel company, according to two people with knowledge of the discussions.
Dallas Stars attorney Martin A. Sosland spurned Texas courts when he put the hockey team into bankruptcy this month, partly because of the way the Texas Rangers baseball club was treated by a hometown judge.
Innkeepers USA Trust, an operator of Residence Inns, Marriott hotels and Hampton Inns, sued Cerberus Capital Management LP and Chatham Lodging Trust, saying its agreement to sell 64 hotels to Cerberus and Chatham can’t be called off due to market conditions or a change in its business.
A group of Tribune Co. lenders dropped its reorganization plan for the newspaper publisher “unilaterally,” without settling their differences with the hedge funds behind competing proposals, its lawyer said.
Ambac Financial Group Inc. , a holding company for the bond insurer being restructured by state regulators in Wisconsin, filed for bankruptcy with liabilities of $1.68 billion as of June 30 on an unconsolidated basis.