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Jones Day

Fifth Circuit Rules on the "Solvent-Debtor Exception" and Make-Whole Premiums

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In Short - The Situation: Courts have disagreed over whether a make-whole premium triggered by a borrower's bankruptcy filing must be disallowed as unmatured interest. They have also disputed whether the "solvent-debtor...more

Jones Day

Texas Bankruptcy Court Allows Make-Whole Premium as Liquidated Damages and Requires Solvent Chapter 11 Debtor to Pay Postpetition...

Jones Day on

On October 26, 2020, the U.S. Bankruptcy Court for the Southern District of Texas issued a long-awaited ruling on whether natural gas exploration and production company Ultra Petroleum Corp. ("UPC") must pay a make-whole...more

Holland & Knight LLP

Texas Bankruptcy Court Enforces Make-Whole Premiums and Postpetition Default Interest

Holland & Knight LLP on

The U.S. Bankruptcy Court for the Southern District of Texas awarded on Oct. 26, 2020, a make-whole premium and post-petition interest at the contractual default rate (as opposed to the materially lower federal judgment rate)...more

Patterson Belknap Webb & Tyler LLP

SDNY Bankruptcy Court Reaffirms the Low Bar of the Property Requirement for Filing a Chapter 15 Case

Last year, we discussed a decision by Judge Sean Lane of the United States Bankruptcy Court for the Southern District of New York concerning section 109(a) of the Bankruptcy Code. In a recent cross-border case, In re PT...more

Perkins Coie

Fifth Circuit Rules on “Impairment” Under Chapter 11 Plan, Provides Guidance on Make-Whole Payments and Default Interest

Perkins Coie on

A recent decision clarified the concept of impairment when a plan of reorganization provides for creditors to receive 100% of their allowed claims. The U.S. Court of Appeals for the Fifth Circuit held that creditors are...more

King & Spalding

Fifth Circuit Vacates Bankruptcy Court’s Order Requiring Payment of Make-Whole Premium and Interest in Ultra Petroleum Bankruptcy

King & Spalding on

On January 17, 2019, the U.S. Court of Appeals for the Fifth Circuit delivered a much-awaited opinion with respect to whether Ultra Petroleum Corporation (“UPC”) was required to pay its noteholders contractual make-whole...more

Jones Day

Chapter 11 Plan Not Providing for Payment of Make-Whole Premium Impaired Noteholders

Jones Day on

In In re Ultra Petroleum Corp., 2017 BL 335015 (Bankr. S.D. Tex. Sept. 21, 2017), the U.S. Bankruptcy Court for the Southern District of Texas ruled that certain private-placement noteholders were entitled to receive a...more

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