Wednesday, March 9, 2011

Nortel US Claims- NUSRPC email

The NUSRPC has sent out an email regarding the offers to purchase claims that some people have received. They are cautioning everyone to examine the fine print closely. There is the possibility of a clawback in many of these offers if the payout is less than expected, so be careful what you agree to.

Here is the email content:

The NUSRPC is a volunteer organization. Nothing in this e-mail is intended to be, nor should be construed to be, legal or financial advice.

Status Update

Many of us have received a letter offering to purchase our claims and this letter has prompted a number of questions to the NUSRPC. The NUSRPC has attempted to contact one firm but has not received a response to our inquiries.

However there are some general comments we can make to our members:

-There are legitimate companies who operate in this field. Their business is to provide cash for paper assets that ordinarily are illiquid, such as claims in a court case which is still in process.

-These companies may decide to offer to purchase your claim now at some percentage of its face value hoping that the claim will be resolved by the court later for a higher percentage, thus yielding a profit for themselves.

-Should you be interested in accepting such an offer, the NUSRPC strongly advises you to seek legal advice regarding the terms and conditions outlined on the document you will be asked to sign. Under certain circumstances you may be asked to pay back some or all of the money you have been paid, perhaps with an added penalty. It is important that you clearly understand those circumstances and be prepared for the possibility that you may be asked for repayment.

-We have asked Akin Gump, the court appointed attorney for the unsecured creditors for an opinion on how long it may take before the Nortel bankruptcy case is concluded. In their opinion it would not be unusual for the case to last another 12-18 months.

-If any member has specific knowledge, experience or advice related to doing business with one of these companies and would like to share it with others you may wish to join the Yahoo group and post your input at:

The NUSRPC will continue to provide you with updates as developments occur regarding our benefits or affecting the claims we have already filed.


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