In Re Ironsides, Inc.

MEMORANDUM

MERRITT S. DEITZ, Jr., Bankruptcy Judge.

The question here is whether to permit the continuation of a Chapter 11 proceeding for the sole purpose of preserving a substantial but remotely contingent asset in the form of a tax attribute, an $840,000 net operating loss carry-forward.

Ironsides, Inc., once a manufacturer of high-quality steel-belted automobile tires, filed its Chapter 11 petition in October, 1982. Largely due to successful post-petition efforts of secured creditors to foreclose on corporate properties, Ironsides presently has no plant or equipment, no inventory or accounts…