# Court Approves Character Technologies Sale Rules With $21.7 Million Minimum Competing Bid By Riza Dagoc Canonical URL: https://www.tokenpost.com/news/regulation/50942 Published: 2026-11-07T16:40:57.000Z Updated: 2026-11-07T16:40:57.000Z Section: Regulation > The threshold applies to specified assets covered by Disney Worldwide Services, Inc.’s proposed $20 million transaction. Bids are due Nov. 24, with an auction scheduled for Dec. 1. A Delaware bankruptcy court approved bidding procedures for Character Technologies, Inc.’s asset sale on Nov. 4, establishing a $21.7 million minimum competing bid for assets tied to Disney’s proposed license deal. Character Technologies operates Character.ai and is pursuing the process in the U.S. Bankruptcy Court for the District of Delaware under Chapter 11. The procedures cover a potential sale, license or other disposition of all or substantially all of the company’s assets under Section 363 of the U.S. Bankruptcy Code. Disney Worldwide Services, Inc. is the stalking-horse bidder for a proposed $20 million transaction involving specified assets called the “Disney Target Assets.” The agreement provides for a $700,000 break-up fee. The $21.7 million threshold applies to a competing bid for those assets, not to Disney’s offer. The [proposed $20 million Disney transaction]() is the starting offer for that portion of the sale process. The procedures also allow additional stalking-horse bidders for other assets, subject to higher or better offers. Interested bidders must submit offers by noon ET on Nov. 24. Objections to the sale, other than contract-related objections, are due by 4 p.m. ET on Nov. 18. An auction is scheduled for Dec. 1 at 10 a.m. ET. The debtor will determine the auction location. A sale hearing is scheduled for Dec. 3 and 4. ## Links in this article - [proposed $20 million Disney transaction](https://www.tokenpost.com/news/business/30912)