Court Shoots Down 12th Congoleum Ch. 11 Plan

Law360, New York (June 16, 2008, 12:00 AM EDT) -- A bankruptcy judge ruled Friday that Congoleum Corp.'s 12th proposed reorganization plan could not legally be confirmed despite support from two large creditors committees, and cast doubt on whether the company will be allowed to remain in Chapter 11.

Congoleum, which makes sheet and tile flooring, filed the plan in the U.S. Bankruptcy Court for the District of New Jersey on Feb. 5. The proposed plan enjoyed the support of the committee representing the company's bondholders and the committee representing claimants allegedly made ill by exposure...
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