Bankruptcy Court Demolishes Baseless Lender Liability Complaint

A Delaware bankruptcy court held on Nov. 16 that a secured lender with a $128 million claim could credit bid at a judicial sale of a Chapter 11 debtor's assets, after dismissing the expansive complaint filed against the lender by the creditors' committee in the debtor's case (claims for recharacterization of debt as equity; equitable subordination; breach of fiduciary duty; invalid loans; voidable liens; and preference liability).

11 minute read January 30, 2007 at 10:12 AM
By
Michael L. Cook And Lawrence V. Gelber
Bankruptcy Court Demolishes Baseless Lender Liability Complaint

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