[ThrustVectoring]

> They don't have a judgement of ownership in infowars they have a debt and the court is forcing Alex to sell all assets to cover the debt.

It's a chapter 7 bankruptcy, the bankruptcy estate already owns the infowars assets.

> There are rules around this process for a reason. If you allowed someone who has a debt judgement to just take over a company what is it's true value. Alex could try to value infowars at a trillion. So they put it up for an auction to get the real value. That's the fairest way for all cases.

Specifically, the reason is protecting minority and junior creditors (including the debtor when assets are in excess of debts). If nobody offered up enough cash to pay off the debts in full and there is only one creditor who would rather have the business than the best cash offer, I don't think there'd be any reason for the courts to object. The big issue is, again, minority creditors getting less than their "fair share" of the assets, along with over-compensating senior claims with junior ones outstanding.

Neither are at issue here - The Onion's offer paid more cash to the minority creditors, the majority creditor opted into the deal, and the assets are clearly worth less than the debts.

[pclmulqdq]

"Cash to minority creditors" doesn't matter. "Cash to the estate" is all that matters. The Onion's offer carried $1.75 million in cash to the creditors. Alex Jones's vitamin company offered $3.5 million in cash.

[Retric]

Onions offer was 1.75 million in cash and one party forgiving the estate enough money for the minority creditors to be better off. Which mathematically requires the offer to be worth more than 3.5 million in cash to his estate.

[ReflectedImage]

The Onion bid was legally the correct bid to accept. It's got nothing to do with the cash amount, totally irrelevant.