Law360, New York (March 3, 2017, 2:36 PM EST) -- In Metropolitan Government of Nashville & Davidson County v. Hildebrand, the U.S. Court of Appeals for the Sixth Circuit explains how to read the phrase "applicable nonbankruptcy law" as it is used in the United States Bankruptcy Code. The case — a Chapter 13 individual bankruptcy case — discussed the phrase in the context of Section 511(a) of the Bankruptcy Code, which deals with the appropriate rate of interest applicable to tax claims. However, the issue is relevant to other circumstances as well (including Chapter 11 corporate reorganization cases), and bankruptcy practitioners should take note because the phrase is also used elsewhere in the Bankruptcy Code, including in sections dealing with a debtor's power to sell assets free and clear of liens under certain circumstances (Section 363(f)), a debtor's inability to assume certain kinds of contracts and leases (Section 365(c)), and the enforceability of a subordination agreement in the context of a bankruptcy (Section 510(a))....