Excerpt from Practical Guidance

How 9th Circ. Views The 'Substantive Consolidation' Debate

By Daniel Merrett and Mark Douglas (December 4, 2019, 6:44 PM EST) -- This article discusses the disagreement among courts over whether the creditors of a nondebtor must be given advance notice of a motion to substantively consolidate the nondebtor with the bankruptcy estate of a debtor. In an apparent matter of first impression among the circuits, the U.S. Court of Appeals for the Ninth Circuit ruled in Leslie v. Mihranian[1] that such notice is required....

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