Contact:
Hartgen
(703) 739-0800
color='#0000ff'>jhartgen@abiworld.org
ABI POLL:
CLOSELY DIVIDED RESPONSE ON WHETHER REORGANIZATION PLAN PROPOSALS TO
DISALLOW PUNITIVE DAMAGES VIOLATE BEST-INTERESTS TEST
size='3'>May 12, 2006, Alexandria, Va. —
Nearly half of the respondents (46 percent) to the most recent American
Bankruptcy Institute (ABI) online poll did not agree that chapter 11
reorganization plans proposing to disallow punitive damages across the
board are a violation of the best-interests test under §1129(a)(7)
of the Bankruptcy Code. Twenty-five percent of the respondents strongly
disagreed, and 21 percent “disagreed somewhat” that plans
proposing to disallow punitive damages were a violation of the
best-interests test.
However, the largest category
out of the 158 respondents (27 percent) weighed in that they
“strongly agreed” that plans proposing to disallow punitive
damages were a violation of the best-interests test. Another 16 percent
“agreed somewhat” that it was a violation of the
best-interests test for reorganizations plans to propose excluding
punitive damages. Eleven percent of respondents did not have an opinion
or did not know enough about the issue.
ABI membership and
members of the public were welcome to submit their response to the
statement “A Ch. 11
reorganization plan that proposes to disallow punitive damage claims
across the board violates the best interests test under sec.
1129(a)(7)” for
the recent poll that was open for voting from April 28 – May
10.
The ABI Quick Poll is posted on
ABI’s home page,
face='Times New Roman' color='#800080'
size='3'>www.abiworld.org
size='3'>. ABI members and the public are invited to respond to a
question on a timely bankruptcy or insolvency issue.
Visit
href='http://www.abiworld.net/quickpoll/'>
color='#0000ff' size='3'>http://www.abiworld.net/quickpoll/
to access the results of previous
ABI’s Quick Poll.
###
ABI is the largest multi-disciplinary, nonpartisan organization
dedicated to research and education on matters related to insolvency.
ABI was founded in 1982 to provide Congress and the public with unbiased
analysis of bankruptcy issues. The ABI membership includes more than
11,500 attorneys, accountants, bankers, judges, professors, lenders,
turnaround specialists and other bankruptcy professionals providing a
forum for the exchange of ideas and information. For additional
information on ABI, visit www.abiworld.org. For additional conference
information, visit
href='/Content/NavigationMenu/MeetingsEvents/UpcomingEvents/Events_Intro_Page1.htm'>
color='#0000ff'>http://www.abiworld.org/conferences.html.