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The Third Circuit made more rules to decide whether an insurance company can be insulated from failure-to-warn claims by the channeling injunction in a chapter 11 ‘asbestos’ plan.

Lack of authority on point is no defense to a willful violation of the automatic stay, according to the Third Circuit.

Third Circuit also holds that turnover in Section 542(a) is not automatic. The debtor must mount an adversary proceeding to obtain a turnover of property.

Court retains adjudicatory power unless the arbitration agreement applies to all disputes.

Third Circuit relies on a Seventh Circuit opinion to understand Illinois law.