The Deposit Holders Committee
A Committee of Deposit Holders was appointed in bankruptcy proceedings of Levitt & Sons early last year. This Committee consisted of people who posted deposits, had not closed the sales and had not been refunded. The good thing about having a Committee such as this is that the fees and other charges incurred by legal counsel can be paid out of the estate of Levitt & Sons. Also, having a Committee meant pooling together resources to seek alternative routes of payment, e.g., filing claims with the Florida Homeowners’ Construction Recovery Fund. Of course, Levitt & Sons is a unique case where there is a large number of deposit holders who have put down at least 5 figures in deposits.
