Sample output: Distressed Asset Sale Checklist
This is an illustrative sample of what the Distressed Asset Sale Checklist skill produces. Every party, date, document, and fact is fictional — invented for illustration only.
The fictional scenario
Sample Request — distressed-asset-sale-checklist
Fictional illustration. All parties, facts, figures, and documents below are invented for this example.
Please run distressed-asset-sale-checklist and build the sale checklist and trackers for our deal team.
Matter facts
- Our client: Summit Industrial Holdings, a prospective buyer.
- Seller / debtor: Northgate Tooling Inc., in a Chapter 11 case.
- The user's role: buyer-side deal counsel.
- Court: a U.S. Bankruptcy Court is named in the motion; the district is legible.
- Sale process: a proposed sale of substantially all operating assets, with our client interested in serving as stalking-horse bidder.
Materials provided
- Sale Motion excerpt (fictional), §2 (assets) and §5 (proposed bid procedures).
- Asset schedule (fictional), 3 pages.
- Draft stalking-horse Asset Purchase Agreement excerpt (fictional), §3 (price) and §6 (assumed contracts).
Stated facts
- The assets include equipment, inventory, intellectual property, and one owned facility.
- The draft APA lists assumed contracts but the cure-cost column is blank.
- The bid procedures reference an auction and a sale hearing; specific dates are in a separate notice we have not yet received.
- The asset schedule notes existing liens but does not quantify them.
- There are employees at the facility; treatment is not addressed in the excerpts provided.
Please: build a sale checklist and the trackers; cite the fictional documents; use unknown / not provided / ambiguous for gaps; do not conclude that the assets can be sold free and clear or that the bid procedures are sufficient, and do not calculate cure amounts or deadlines.
What the skill produced
Sample Output — distressed-asset-sale-checklist
Draft work product for attorney review. Not legal advice. Every party, fact, figure, document, and citation below is fictional and illustrative. This example contains no real or invented legal authority. It shows the shape of the skill's deliverable — not a model answer for any matter.
Capability and Reliance Notice
This is a draft distressed asset-sale checklist for a qualified, licensed attorney. It does not provide legal advice, conclude that assets may be sold free and clear of liens, claims, or interests, conclude that bid or sale procedures are sufficient, determine cure amounts or lien priority, or calculate any deadline. A qualified attorney must review it before any bid, sale, or closing.
Gates Table
| Gate | Status | Source |
|---|---|---|
| Asset | Substantially all operating assets of Northgate Tooling Inc. | Sale Motion §2 |
| Sale process | Proposed §363-style sale; client interested as stalking horse | Sale Motion §2, §5 |
| User's role | Buyer-side deal counsel | User request |
| Court | U.S. Bankruptcy Court (district provided) | Sale Motion |
Sale Checklist
| Process step | Status | Source | Note |
|---|---|---|---|
| Asset identification | Partial | Sale Motion §2; Asset schedule | IP and owned facility listed |
| Stalking-horse terms | In progress | Draft APA §3 | Client evaluating stalking-horse role |
| Bid procedures | Provided (draft) | Sale Motion §5 | Auction and sale hearing referenced |
| Liens / encumbrances | Incomplete | Asset schedule | Liens noted but not quantified |
| Cure costs | Incomplete | Draft APA §6 | Cure-cost column is blank — not provided |
| Assigned contracts | Partial | Draft APA §6 | Contract list provided; cure detail missing |
| Employee matters | not provided | — | Not addressed in the excerpts |
| IP / real estate / taxes | Partial | Asset schedule | IP and one owned facility listed; taxes not provided |
| Closing deliverables | not provided | — | To be developed |
| Sale-order issues | Open | Sale Motion | For attorney review |
Diligence Request List
| Request | Workstream | Priority | Owner |
|---|---|---|---|
| Lien and encumbrance detail with amounts | Liens / collateral | High | Buyer counsel |
| Cure-cost detail for each assumed contract | Contracts / cure | High | Seller / debtor |
| Employee census and benefit/WARN information | Employees | High | Seller / debtor |
| Title and tax status for the owned facility | Real estate / taxes | Medium | Buyer counsel |
| The sale notice with auction and hearing dates | Process | High | Seller / debtor |
Contract / Cure Tracker
| Contract | Cure amount as provided | Status | Source |
|---|---|---|---|
| Contracts listed in draft APA §6 | not provided (column blank) | Cure detail outstanding | Draft APA §6 |
Closing-Deliverables Tracker
| Deliverable | Responsible party | Status |
|---|---|---|
| Executed asset purchase agreement | Buyer / seller | Draft in progress |
| Sale order | Seller / debtor counsel | not provided |
| Assignment and assumption documents | Buyer / seller | not provided |
Missing Information
- Quantified liens and encumbrances —
not provided. - Cure costs for assumed contracts —
not provided. - Employee treatment and any related obligations —
not provided. - Auction, objection, and sale-hearing dates —
not provided(separate notice not yet received); any such dates are[deadline verification required].
Attorney Verification Items
- [ ] Confirm the asset perimeter and the sale process.
- [ ] Confirm the lien, cure, and employee information once produced.
- [ ] Confirm the sale timeline once the notice is received.
- [ ] Review bid procedures and sale-order issues before any bid.
Assumptions
- Assumed the client's interest is limited to the operating assets in Sale Motion §2 —
[CONFIRM]. - No conclusion that assets may be sold free and clear, that procedures are sufficient, or on cure amounts or lien priority is drawn; all open items are for the attorney.