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Expert Analysis

In Re Zota's Place In The 363 Sale Debate

Law360, New York (January 15, 2013, 6:10 PM EST) -- The ability of a trustee or Chapter 11 debtor in possession to sell bankruptcy estate assets "free and clear" of competing interests in the property has long been recognized as one of the most important advantages of a bankruptcy filing as a vehicle for restructuring a debtor's balance sheet and generating value. Still, section 363(f) of the Bankruptcy Code, which delineates the circumstances under which an asset can be sold free and clear of "any interest in such property," has generated a fair amount of controversy. This is so in part because the statute itself does not define "interest."...

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