US Fidelis and the brothers who own the Wentzville company have tentatively agreed to settle a suit accusing the men -- Darain and Cory Atkinson -- of fraudulently stripping more than $100 million from the firm.

Lawyers for US Fidelis on Friday sought to postpone a trial in the case, which was scheduled to start next week. US Bankruptcy Judge Charles Rendlen III rescheduled the trial for Oct. 21 to allow more time for parties to work out details of the settlement.

US Fidelis billed itself as the nation's No. 1 seller of extended auto-service contracts, and until late last year it was one of St. Charles County's largest employers. Consumer groups and state regulators said its success relied on tricking customers into buying aftermarket coverage of little value.

Eventually, the bad publicity took its toll.

In December, the company laid off several hundred workers in a series of layoffs; on March 1, the business filed for bankruptcy. At that time, the Atkinsons handed over control of the company to an independent management team. On April 28, the company sued the brothers, alleging "a clear pattern of illicit activity."

The suit said the Atkinsons stripped at least $101 million through high salaries, cash distributions and company spending that kept the brothers, and their families, in the lap of luxury.

David Warfield, a lawyer representing a committee of unsecured creditors of US Fidelis, helped negotiate the proposed settlement, which has not yet been made public. He wouldn't discussed terms of the deal, but he said it would require the Atkinsons to surrender to US Fidelis "a very high percentage of their assets."

That money would be used to pay creditors.

The Atkinson brothers and their wives have tentatively approved the settlement, but they still must provide sworn financial statements identifying their assets, Warfield said.

After those documents are provided, the proposed settlement will be filed with the bankruptcy court - possibly as early as next week, Warfield said.

Norman Pressman, a lawyer representing Darain Atkinson, would not comment on the terms of the proposed settlement. In April, he said his client "is willing to fall on his sword" and "surrender virtually all of his assets."

At least 11 states are suing US Fidelis and the Atkinsons for allegedly violating state telemarketing and consumer-protection laws. The Atkinsons had wanted to settle those suits alongside the company's suit as part of a multi-party agreement, according to lawyers involved in the case.

It's not yet clear whether the proposed settlement has the blessings of the attorneys general.

For the settlement to become official, Rendlen must sign off on it. Before that happens, creditors and the attorneys general will have the chance to file objections with the court.