Common use of Termination of Liquidating Trust Clause in Contracts

Termination of Liquidating Trust. The Liquidating Trustee shall be discharged, the Liquidating Trust shall be terminated, and the Liquidating Trustee shall begin to take action to dissolve the Liquidating Debtors, upon the earlier to occur of: (i) all of the Liquidating Trust Assets having been distributed under the Plan or (ii) the Liquidating Trustee determining, in its sole discretion, that the administration of the Liquidating Trust Assets is not likely to yield sufficient additional proceeds to justify further pursuit and taking the steps set forth herein to terminate the Liquidating Trust and dissolve the Liquidating Debtors; provided, however, that in no event shall the Liquidating Trust be terminated later than the term of the Liquidating Trust under Section 10.2 of this Liquidating Trust Agreement, as such term may be extended pursuant to Section 10.2. If at any time the Liquidating Trustee determines, in reliance upon such professionals as the Liquidating Trustee may retain, that the expense of administering the Liquidating Debtors’ assets, including the making of a final Distribution to Holders of Allowed Claims against the Liquidating Debtors, is likely to exceed the value of the Liquidating Trust Assets remaining in the Liquidating Trust, the Liquidating Trustee may apply to the Bankruptcy Court for authority to reserve any amounts necessary to terminate the Liquidating Trust and dissolve the Liquidating Debtors. Article V(M) of the Plan shall apply to any undistributed funds of the Liquidating Trust.