The Supreme Court yesterday declined to hear a dispute from the AMR Corp. bankruptcy over whether the former American Airlines parent owes its bondholders a penalty fee in connection with the prepayment of more than $1.3 billion in debt, Dow Jones Daily Bankruptcy Review reported today. The high court's decision not to take the case means a controversial topic in corporate restructurings, so-called make-whole payments, won't get its day in court. However, restructuring experts have said that the case is very specific to AMR's bankruptcy and likely wouldn't have invited a ruling on the general allowance of make-whole payments.
