Camp Bowie Empowers Debtors In Ch. 11 Confirmation
February 28, 2013, 6:03 PM EST
Law360, New York (February 28, 2013, 6:03 PM EST) -- Deepening a circuit court split and giving debtors more power to manipulate the Chapter 11 confirmation process, the Fifth Circuit rejected the concept of artificial impairment in Western Real Estate Equities LLC v. Village at Camp Bowie I LP (Matter of Village at Camp Bowie I LP), Case No. 12-10271 (Feb. 26, 2013).
Although the single asset real estate debtor in Camp Bowie had impaired a small class of unsecured creditors in a trivial way solely for the purpose of cramming down its oversecured real estate...