Chem Rx Liquidation Plan Wins OK After Amendments

Law360, New York (April 12, 2011, 1:54 PM EDT) -- A Delaware bankruptcy judge on Monday approved Chem Rx Corp.'s Chapter 11 liquidation plan after the debtor agreed to remove releases it had granted to some of its unsecured creditors.

Judge Mary L. Walrath of the U.S. Bankruptcy Court for the District of Delaware called the plan reasonable — now that Chem Rx had nixed the provision protecting certain creditors from lawsuits — and signed off on a global settlement between the company and its committee of unsecured creditors and first-lien lenders, led by agent Canadian...
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