The court has approved Diamond Trustee Morgan W. Fisher‘s motion to borrow money from JPMorgan Chase Bank. Fisher’s plan involves litigation in hopes that by winning, Diamond would gain enough money to help pay down its loans and obligations. The court modified Fisher’s request slightly, and as can be seen in the document, Fisher’s plan would mostly pay back the bank JPMorgan Chase and consultants hired during Diamond’s chapter 7 process while leaving creditors with little after.

Fishers plan includes:

• Litigation involving Alliance Entertainment
• Litigation involving Consigned Goods
• Avoidance Litigation

You can get a deeper dive into all of that here.

The decision is a blow to publishers as it increases the amount the Trustee and Diamond owes to JPMorgan Chase Bank and signals litigation will continue, dragging out this process further.

You can read the full motion below.