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Would <b><i>Jevic</i></b> Have Come Out Differently with Gorsuch?
Very few bankruptcy cases climb all the way up the judicial ladder to the United States Supreme Court. Sure, celebrity appeal might help; see, e.g., Stern v. Marshall, 564 U.S. 462 (2011) (the “Marshall” better known as “Anna Nicole Smith”), but barring that, SCOTUS has granted cert on just a handful of petitions originating from a bankruptcy court. Most often, the Court grants cert when there is a split in the courts of appeals.
That said, at the tail end of 2016, SCOTUS was treated to oral arguments in Czyzewski v. Jevic Holding Corporation, a case that, according to The New York Times, had the potential to “upend” the absolute priority scheme that serves as the backbone of the United States Bankruptcy Code. Jevic involved a dispute over the validity of a structured dismissal pursuant to a settlement agreement between the debtors and some — but not all — secured, priority, and general unsecured creditors.
The Issue
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