Grappling With Preservation Of Claims Post-Confirmation
October 27, 2011, 7:01 PM EDT
Law360, New York (October 27, 2011, 7:01 PM EDT) -- On July 22, 2011, Bankruptcy Judge Craig A. Gargotta of the United States Bankruptcy Court for the Western District of Texas, held that the reasonable expectations of a creditor should determine whether a plan of reorganization effectively preserves claims post-confirmation. While the post-confirmation preservation of claims can be a critical component of a confirmed plan, preserving these claims is not always as straightforward as one might think.
The effectiveness and implementation of this decision is currently stayed pending appeal to the United States District Court for...