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Third Circuit upholds denial of secured creditors’ right to credit bid under reorganization plan

  • Schulte Roth & Zabel LLP
  • -
  • USA
  • -
  • March 25 2010

The U.S. Court of Appeals for the Third Circuit held, in a split decision, on March 22, 2010, that secured creditors do not have a statutory right to credit bid their debt at an asset sale conducted under a “cramdown” reorganization plan