John Q. Hammons creditor asks court to terminate exclusive periods

By Caroline Salls

Pittsburgh, Nov. 17 – John Q. Hammons Hotels and Resorts creditor JD Holdings, LLC asked the U.S. Bankruptcy Court for the District of Kansas to terminate the company’s exclusive periods for filing and soliciting votes on a Chapter 11 plan to allow JD Holdings to file and solicit votes on a creditor plan for the John Q. Hammons cases, according to a motion filed Friday.

JD Holdings said John Q. Hammons’ exclusivity should be terminated because “(i) the creditor plans would move these Chapter 11 cases forward; (ii) the debtors’ exclusivity periods are effectively serving to delay reorganization needlessly to the detriment of all creditors; and (iii) the filing of the creditor plans would not be prejudicial to the debtors or any other party in interest – to the contrary, it would benefit the parties in interest.”

According to the motion, John Q. Hammons abandoned its asset sale efforts this summer “in favor of debtor plans that have yet to be proposed or filed – even though these Chapter 11 cases are nearly 17 months old.”

In addition, JD Holdings said the company has favored some creditors over others and some potential buyers of the John Q. Hammons assets over other would-be bidders.

John Q. Hammons is a Springfield, Mo.-based hotel operator. It filed for bankruptcy on June 26, 2016. The Chapter 11 case number is 16-21142.

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