[1] On July 25, 2007, Delta Entertainment Corporation filed a voluntary petition for reorganization under Chapter 11 of the U.S. Bankruptcy Court for the Central District of California, Los Angeles.
[4] From the time of the 2007 Chapter 11 filing until mid-2008, Delta was in the process of formulating a plan of reorganization, which ultimately settled on the liquidation of the company.
[5] One dimension of the liquidation was the sale of over 170 music licenses owned by Delta Entertainment.
The Harry Fox Agency, based on an audit of the 1991-1997 period, claimed $15 million in unpaid royalties from Delta.
Delta had countered with its own audit, whereby it contended that it had overpaid the Harry Fox Agency by over $1 million during the period under review.