Dynamic and Diamond’s Agreement and Diamond’s Chapter 11 Heading to Dispute Resolution Approved

Friday delivered two orders from the court in the case surrounding Diamond’s chapter 11 process.

Last week, we brought the news that Diamond, the Official Committee of Unsecured Creditors, JPMorgan Chase Bank, the Consignment Group, the Ad Hoc Committee of Consignors, and Sparkle Pop all agreed to send multiple issues in Diamond’s chapter 11 process to the Court’s Bankruptcy Dispute Resolution Program.

Instead of a bunch of hearings were lawyers argue it out. Everything this presented to a judge who quickly makes a decision. A decision is expected to be made by October 29, 2025.

The approval by the court also gave the Resolution Advocate the “same immunity he has as a judge under federal law and common law from liability for any act or omission in connection with the mediation and from compulsory process to testify or produce documents in connection with the mediation.”

The other order was a deal between Dynamic Forces and Diamond concerning their issue over administrative expenses Dynamic felt it was owed by Diamond. That is resolved with “old” Diamond. Dynamic Forces fight with “new” Diamond is ongoing.