The second day of the hearing in the Diamond Bankruptcy case went the distance, with many many motions and counter-motions deliberated on. The case adjourned with at 4, however, with Judge David E. Rice expected to deliver a decision on Diamond’s plan to liquidate their consignment stock at 2 pm tomorrow.
There have been many twists and turns in the case, but most recently, what we’re calling “Zombie Diamond,” the company run by the bankrutpcy administrators, filed plans to begin a sale of inventory from more than 100 publishers. Diamond claims they can do this because publishers failed to file UCC-1 forms staking their claim to the inventory.
Various groups of publishers and game manufacturers have files…