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A comment on Busted retailers use bankruptcy to break leases by the thousands. Parent comment

Re:Busted retailers use bankruptcy to break leases by the th... by WanderPanda on Thursday August 06, 2020 @04:29PM (#24075118)
Germany is proving that you can do that. Businesses are not required to file for bankruptcy anymore (because of covid), they can just pretend everything is fine and their banks do not need do depreciate their debt. Bubble alert is buzzing louder every day. If that exemption law will not be prolonged after end of September interesting things will probably follow
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Re:Busted retailers use bankruptcy to break leases by the th... by marcosdumay on Thursday August 06, 2020 @05:06PM (#24075462)
Pausing debt collection on a temporary disruption is a best practice, not some shady number-hiding.

If the disruption happens to not be temporary, then it will be a problem (retroactively, so a huge one). But in that case, there are more pressing issues.

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Re:Busted retailers use bankruptcy to break leases by the th... by JumpCrisscross on Thursday August 06, 2020 @05:08PM (#24075474)
> Pausing debt collection on a temporary disruption is a best practice

Pausing collections is fine. Pretending those loans are still performing is an exercise in fantasy.

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Re:Busted retailers use bankruptcy to break leases by the th... by munk-a on Thursday August 06, 2020 @05:45PM (#24075815)
A large proportion of those debt collectors are gigantic soulless corporations that nobody would mind watching suffering somewhat - but that's the same as every industry. There are a lot of smaller property owners that are really hurting here and pausing debt collection might free those owners from debts but it won't put food on their table.

This is, unfortunately, a very complicated problem.

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Re:Busted retailers use bankruptcy to break leases by the th... by WanderPanda on Thursday August 06, 2020 @06:39PM (#24076183)
- A large proportion of those debt collectors are gigantic soulless corporations that nobody would mind watching suffering somewhat

I would argue that in Germany this is not the case. Everyone minds the gigantic soulless corporations suffering, because only they have the unions deeply intertwined with politics and the sympathy of the media (for whatever reason, ad money maybe?).

The Lufthansa bailout was clearly made to benefit the workforce and not the general population.

This crises lifts the high-level corruption here in Germany to the next level it seems.

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Re:Busted retailers use bankruptcy to break leases by the th... by marcosdumay on Thursday August 06, 2020 @06:23PM (#24076063)
Property owners will suffer anyway.

Government help was supposed to alleviate that pain, but I doubt they'll receive any - another point for UBI. But forcing the debtors into liquidation when they could otherwise survive won't help anybody.

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