Psystar Bankruptcy Case Dismissed, Apple Legal Blocks Upheld

Recently, The Mac Observer provided a thorough breakdown of the ongoing legal drama involving Psystar. After returning from a break, it took me some time to digest the complex legal jargon, but here’s a simpler explanation of the recent developments.

A Florida judge has approved Psystar’s request to dismiss its Chapter 11 bankruptcy case.

The judge seems to believe that Psystar might either opt for Chapter 7 bankruptcy or attempt to delay the ongoing California lawsuit against them by Apple, which is set to commence on January 11, 2010. The judge has specifically stated that if Psystar files for Chapter 7, they will not receive an automatic stay, and has also barred them from filing for Chapter 11 again for the next six months.

Essentially, the judge has told Psystar that bankruptcy cannot be used as a shield against Apple’s lawsuit.

It remains unclear whether Psystar has been successful in selling its Mac clones or if there’s a mysterious benefactor supporting them.

However, by lifting the Chapter 11 protection, creditors can now pursue legal action to recover debts. Among those creditors is Psystar’s former legal firm, Carr & Farrell, which claims approximately $88,000 in unpaid fees.

Share This Article
Dan

Donald is a dedicated writer for TUAW, bringing readers the latest insights and updates on all things Apple. With a keen eye for detail and a love for technology, Donald covers everything from the newest iPhone releases to the latest macOS updates. His articles are known for their clarity and depth, making complex topics accessible to all. When he’s not writing, Donald enjoys exploring the capabilities of his MacBook Pro and capturing moments with his iPhone camera.