• Think Global Electric Car Company Files for Bankruptcy

    Electric carmaker Think Global AS, who launched its North American operations in Elkhart, Indiana, filed for bankruptcy on June 22, 2011. The company filed in its home country of Norway.

    Think North America unit is not affected by the bankruptcy. It will remain a separate legal entity with offices in suburban Detroit and the plant in Indiana. The bankruptcy trustee will determine the future of the North American operations.

    Think Global’s exclusive battery supplier Ener1 released a statement that Think Global plans to liquidate its assets. Ener1 filed notice with the U.S. Securities and Exchange commission that it expected its customer to liquidate.

    The filing states Think is liquidating after an “extended and ultimately unsuccessful search for long-term financing.”

    Ener1 notified investors that the company is taking a charge of over $32 million on unpaid loans and accounts receivables from Think Global. The company does not anticipate much of a recovery from the liquidation.

    Think’s only model, the City, had modest successes in California and Europe. However, an unknown price tag and competition from the Chevy Volt and Nissan Leaf made selling the cars a difficult task. Not even a government contract to supply electric vehicles could keep Think Global AS from filing for bankruptcy.

    Benjamin Brand Services – Chicago bankruptcy attorney

  • Cancer Survivors Face Rising Odds for Filing Bankruptcy

    A study compared federal bankruptcy court records to cancer registry data from almost 232,000 adult cancer cases in Western Washington over a 14-year period has found that survival has a hidden cost. The longer a cancer patient survives, insolvency rates increase.

    Scott Ramsey, MD, PhD, who led the study said, “Patients diagnosed with cancer may face significant financial stress due to income loss and out-of-pocket costs associated with their treatment. On average, bankruptcy rates increased fourfold within five years of diagnosis.” He presented the findings June 6 at the 2011 annual meeting of the American Society of Clinical Oncology in Chicago.

    The study found that bankruptcy rates were nearly twice as high among cancer patients one year after diagnosis when compared to the general population. The median time to bankruptcy is two and a half years after diagnosis.

    Researchers linked Washington state cancer registry data with federal bankruptcy court records from 13 western Washington counties.

    Ramsey and colleagues found that bankruptcy risks vary widely across cancer types. Those at the highest risk for filing are lung, thyroid, and leukemia/lymphoma patients. Patients over 65, who usually are on Medicare, have a much lower risk of bankruptcy. The researchers also found that bankruptcies filed by cancer patients have increased significantly since the U.S. recession began.

    Benjamin Law Firm – Chicago bankruptcy attorney