Bankruptcy

Another Industry Where Bankruptcy Will Happen: Newspapers!

By Joseph McDaniel, Esq.

Even if there were no other issue, the simple fact is that all businesses are off about 50% in revenues from the period prior to this depression.

Here's an article about one such newspaper which will be filing because negotiations broke down. That's the same sort of thing that happens with my consumer cases when I ask creditors if they'd rather get something or nothing (although I'm never confrontational, because that never works).

So why are newspapers filing bankruptcy cases, in addition to the obvious fact that when hair salons go broke, they can't pay for advertising?

Well, technology giveth and technology taketh away.

And clearly, most people would rather get their information from a different source than newspapers. I certainly would.

The advantage of using the internet is that you can read and article, and then do searches to figure out whether you are being fed a bunch of horse hockey, or the straight and narrow stuff.

That makes the internet a better source.

So the technology of movable type, which gave us the printing press, made newspapers possible and necessary.

And the technology of the internet made newspapers obsolete.

It happens.

The same thing happened to companies that created big blocks of ice to be delivered to all the houses on the block as soon as modern refrigerators were available.

And the same thing happened to buggy whip manufacturers when cars became the norm, and horses were unusual, instead of the other way around.

So it's business as usual for technology and progress.

NOTHING HERE CONSTITUTES LEGAL ADVICE RE A CHAPTER 7, CHAPTER 13, CHAPTER 11, OR CHAPTER 12. FIND AN ARIZONA BANKRUPTCY LAWYER WHO IS BOARD CERTIFIED IN BANKRUPTCY LAW, AV RATED, AVVO 10 RATED, ON SUPERLAWYERS, OR JUST VERY EXPERIENCED AND A FORMER CHAIR OF SOME BANKRUPTCY SECTION OR COMMITTEE. NOTHING HERE MAY BE USED AS LEGAL ADVICE IN CONNECTION WITH ANY BANKRUPTCY, WHETHER THAT BANKRUPTCY IS IN PHOENIX, GLENDALE, TEMPE, MESA, SCOTTSDALE, OR ANYWHERE ELSE.

Full post as published by Arizona Bankruptcy Attorney Blog on June 17, 2010 (boomark / email).