Can the Claims of Individual Creditors Be Assigned to a Litigation Trust for Prosecution?

Last month, we asked the question: Can a plan provide that the securities claims ' which are not estate causes of action because they belong to the bondholders individually, not to the company ' will be assigned to a trust so that the trust can efficiently litigate these claims and distribute the proceeds thereof to the bondholders? Herein, a continuation of our discussion.

8 minute read January 28, 2009 at 10:03 AM
By
Russell C. Silberglied And Cory D. Kandestin
Can the Claims of Individual Creditors Be Assigned to a Litigation Trust for Prosecution?

Last month, we asked the question: Can a plan provide that the securities claims ' which are not estate causes of action because they belong to the bondholders individually, not to the company ' will be assigned to a trust so that the trust can efficiently litigate these claims and distribute the proceeds thereof to the bondholders?

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