Iridium LLC could end up becoming the Timex of the mobile satellite industry – it takes a licking and keeps on ticking. In the latest news, the debtors of Iridium gained and extension from U.S. Bankruptcy Court to finalize a potential sale of the company. The decision will keep the constellation in-orbit until Aug. 31.

Additionally, the debtors were given until Oct. 2 to maintain the exclusive right to develop and file a plan of reorganization to arrange a sale of Iridium assets as part of a plan of reorganization, said an attorney involved in the proceedings.

The extension, Iridium’s seventh, comes on the heels of reports of a lawsuit filed by Chase Manhattan Bank against the 17 financial backers of Iridium LLC.

According to reports, the bank has filed a $242.7 million suit against the backers, accusing them of reneging on an agreement to continue to add capital into the failing company last year.