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Seventh Circuit holds that bankruptcy court improperly reduced oversecured lenders’ claim

  • Schulte Roth & Zabel LLP
  • -
  • USA
  • -
  • May 13 2009

The U.S. Court of Appeals for the Seventh Circuit held on May 5, 2009, that a group of secured lenders were fully secured and “entitled to a full recovery” from the debtor despite the bankruptcy court’s improper valuation of the collateral (improved airport terminal space) securing the lenders’ underlying $60 million loan