Recently, a Delaware bankruptcy judge guided mortgage lender AmeriFirst Financial and its creditors to embark on a mediation process. The purpose of this mediation is to reach an understanding for a financing order. The creditors are of the belief that such an order may deter them from contesting any releases of claims against the AmeriFirst’s Chapter 11 lender.
This direction from the bankruptcy judge came on Monday, with the resolution process set to take off within the week. The case carries significant weight for both AmeriFirst Financial and its creditors, who are engaged in an intense discussion facilitated by this court-ordered mediation.
Further details about the dispute and the potential impact of the mediation are available on the original Law360 article.