Baker O'Neal Holdings, Inc., and American Public Automotive Group, Inc. v. Donald E. Massey

Baker O’Neal Holdings and its subsidiary American Public Automotive Group (collectively APAG) were formed to operate “auto malls” in which dealers selling many different brands of automobiles would congregate. These would be established near suburban shopping malls, so that customers could buy everything from kitchen blenders to SUVs in one stop. The business did not succeed, and a bankruptcy proceeding has been under way since 1998. One adversary proceeding against James O’Neal, the subsidiary’s CEO, ended in a judgment for more than $5 million after the bankruptcy judge concluded that he…