Congress Should Rewrite The Bankruptcy Examiner Mandate
Law360 (October 15, 2020, 4:02 PM EDT) -- Originally enacted in 1978, and largely unmodified since, Section 1104(c)(2) of the Bankruptcy Code mandates the appointment of an examiner when a debtor has over $5 million of unsecured debt.
Today, that threshold is routinely met, particularly in the context of the large retail bankruptcies that have been filed since the onset of the COVID-19 pandemic.
While the appointment of an examiner in Chapter 11 cases is not an extraordinary remedy, it is certainly not a common one. This infrequency is likely caused by two factors: (1) Courts have inconsistently interpreted the mandate contained in Section 1104(c)(2); and (2) creditors' committees,...
Stay ahead of the curve
In the legal profession, information is the key to success. You have to know what’s happening with clients, competitors, practice areas, and industries. Law360 provides the intelligence you need to remain an expert and beat the competition.
Access to case data within articles (numbers, filings, courts, nature of suit, and more.)
Access to attached documents such as briefs, petitions, complaints, decisions, motions, etc.
Create custom alerts for specific article and case topics and so much more!