Thaxton Class Action

The Plan

You should be receiving a Disclosure Statement that describes Thaxton's situation, and that includes a copy of the plan that has been proposed. There is a ballot, which you should return to indicate your vote for or against the plan.

The plan is a complex legal document and it would be impossible for us to summarize its provisions here. However, we think it would be fair to say that the parties proposing the plan have done do in an attempt to give effect to the settlement. Under the settlement, it is estimated noteholders will receive at least 85% of their money back.

The plan has been proposed by Thaxton's management, who are charged with paying back as much as possible to the company's creditors and noteholders. The Creditors' Committee, made up of noteholders, has joined with Thaxton in proposing the plan. As the attorneys for the Class Action Plaintiffs, we also support the plan.

If you support the settlement and the plan, it is important to vote for it. If you oppose them, you should vote against them.

Read the Disclosure Statement carefully because it is the best source of information concerning the plan. Feel free to call us or to consult your own attorney if you have any questions. (Note that we cannot advise you on how to vote, but we may be able to clarify some information).