Overview

• Professional Bull Riders filed an August 6 motion in the Northern District of Texas bankruptcy court seeking to convert Merit Street’s Chapter 11 case to Chapter 7 and accusing Dr. Phil of orchestrating the filing to shift assets into Envoy Media Co.
• Merit Street Media opposed the motion on August 7, arguing that PBR’s request is premature while document discovery discussions continue between the parties.
• Trinity Broadcasting Network, the company’s former majority shareholder, has separately moved to dismiss the bankruptcy case instead of allowing a reorganization to proceed.
• PBR, holding a $181 million unsecured claim, is pushing for Merit Street and Peteski Productions to produce internal communications and financial records to substantiate allegations of fraudulent transfers.
• A hearing is set for August 19 to resolve PBR’s conversion request, TBN’s dismissal motion and Merit Street’s bid for debtor-in-possession financing.