Plan Confirmation

Texaco’s 1988 Confirmation Didn’t Kill Environmental Suits Decades Later

New York’s Bankruptcy Judge David Jones reopened Texaco’s 1988 bankruptcy to ensure that state courts wouldn’t mistakenly decide that environmental claims were discharged

Purdue Doesn’t Preclude Injunctions from Protecting Nondebtors for the Life of a Plan

New York’s Judge John Mastando saw no reason a Subchapter V plan couldn’t enjoin lawsuits against nondebtors for the life of a five-year plan.

Benchnotes April 2025

April 2025

Getting to Consent: Plan Classification, Voting and Negotiating Strategies Under Subchapter V

Review considerations for designing your classes of claims under a plan when you seek to have all impaired classes accepting the plan. Dealing with government creditor claimants (not inclined to vote). Dealing with other "national" creditors on small cases (where creditor counsel may not be involved). Strategies for encouraging voting and/or dealmaking. Understanding impairment (and when votes are not required). What is a "prompt" cure for purposes of impairment. Risks of artificial impairment. Getting to consent. A review of all of the creative chips that can be traded back-and-forth between creditors and debtor's counsel to negotiate consensual plan. Business David Cox david@coxlawgroup.com Cox Law Group, PLLC

No Second Restructuring of the Same Debt in a Different Venue

Delaware judge wouldn’t allow a chapter 11 debtor to restructure the same secured debt a second time in a different venue.

Barton Halted Third Parties from Suing in an Allegedly Better Forum

When third parties sued a trust created by a confirmed chapter 11 plan, Judge Garrity declined to invent any new exceptions to the Barton doctrine.

In ‘363’ Sales, Three Courts Say Purdue Doesn’t Bar Injunctions Protecting Buyers

For a sale ‘free and clear,’ nondebtors can be enjoined from suing.

Debtors Have a Narrow Window in ‘13’ to Redeem Foreclosed Property, BAP Says

Because a right of redemption does not give rise to a claim, Section 1322(b) doesn’t enable a debtor to redeem foreclosed property when the right of redemption has expired.

Mass Tort Bankruptcy Settlements in Purdue’s Wake

March 2025

The Permissibility of Exculpation Clauses Post-Purdue

March 2025