By-Passing the Jury Through Mediation or Arbitration - Venable LLP

much more difficult (and more expensive)
to file for Chapter 11. The new
rules virtually eliminate the ability to
give retention bonuses to keep key
employees, allow utility companies to
charge huge up-front deposits and
management will be unable to block
creditors from submitting re-org plans
after 18 months. The sector most likely
to see a spate of filings? Retail chains.
Chapter 11 is already common in
retail, because of the high number of
creditors and, most especially, because
of the ability to use the period to tease
out troubled locations. Now, thanks to
the new law, retailers will have to decide
very quickly which locations are closing,
a difficult proposition if a company
is studying 1,000 individual leases.
So if you are on the creditor side of
the equation and have some customers
that you have doubts about, don’t take
September off.
HEADING FOR FALL II
Another trend worth watching as
we head into late summer is hurricanes.
Remember last year’s “once in a
lifetime” season? Suddenly I’m feeling
old. This year has already broken the
record for the earliest Category 4 storm
and the earliest that four named storms
have hit the Atlantic. Scientists now
say a confluence of factors, including
some of the warmest July waters ever
seen in Hurricane Alley are leading to
what looks to be a ferocious season.
There’s no sure predicting these things,
but so far, the forecast is grim. If July is
any indication, August and September
could bring some real monsters. It’s
something worth keeping in mind,
especially if you have a business connected
to the Gulf states. Contingency
planning is an often overlooked chore,
but now seems like a good time revisit the
looseleaf binders. Even if your business is
only in downtown Baltimore, memories
of Isabel’s flooding ought to be enough to
keep low-lying landowners thinking
about their “just-in-case” planning.
REVERSE RUSH HOUR
What is the difference between a
city and a county? A city is defined as
containing the region’s financial or
commercial district. But last month,
we learned that the number of jobs in
Baltimore County surpassed the
number in Baltimore City. Meanwhile,
the hot topic “downtown" is residential
real estate. Most of the bayside cranes
seem to be building condos. Increasingly,
it seems, the difference between
city and county is decreasing.
Come out and meet your husband’s true love.
SEPTEMBER 12–18
HAYFIELDS COUNTRY CLUB
Make a date for golf at its best.
Join Tom Watson, Peter Jacobsen, Raymond Floyd
and other legends on the Champions Tour.
Kids 16 and under admitted free with an adult.
BENEFITTING MARYLAND CHARITIES
Call 410-234-7225 or visit ceclassic.com
for $5 off advance tickets.
www.smartceo.com August 2005 Baltimore SmartCEO 13