As the courts work with EDM conglomerate SFX Entertainment to iron out the details of their chapter 11 bankruptcy filing, official documents have continued to surface from the proceedings. The courts inadvertently leaked partial event lineups to the public a couple weeks ago, and this time around they’ve revealed that SFX must set aside $15 million to pay back artists whom it owes money.
U.S. Bankruptcy Judge Mary Walrath made the ruling in favor of booking agencies WME, AM Only, Windish and Paradigm Talent Agency. In addition, moving forward SFX must pay 100% of each artist’s booking fee up front, where typically payments are made in three-part installments leading up to the event.
Of course, $15 million wouldn’t even cover the debts SFX owes to its two biggest creditors. Even after the corporation sells off its assets to improve liquidity, it will still take drastic measures for it to meet its financial obligations.
Check back for further developments from SFX Entertainment‘s chapter 11 bankruptcy filing as more documents trickle out to the public, and in the meantime, be sure to leave a comment below with your thoughts on the matter.
