MRC/Marathon Balk At Bank's $200M Claim

Law360, New York (June 30, 2008, 12:00 AM EDT) -- Fresh off winning approval for Pacific Lumber's reorganization plan, Marathon and Mendocino Redwood Co. are fighting back against an effort by the Bank of New York to collect a $200 million superpriority claim that the duo says is a “last-ditch” attempt to derail confirmation of the proposal.

On Monday, MRC and Marathon asked the U.S. Bankruptcy Court to reject the Bank of New York's administrative expense request, arguing that the bank, acting as the indenture trustee, had overstepped its bounds and threatened the entire confirmation process....
To view the full article, register now.