Chase Cambria
  • Log in
  • Not a member yet?
go
  • Contact
  • Webmail
  • Archive
 
  • Home
  • Overview
  • Journal Issues
  • Special Issues
  • Subscriptions
  • Editorial Board
  • Author Guidelines

International Corporate Rescue

Journal Issues

  • Vol 1 (2004)
  • Vol 2 (2005)
  • Vol 3 (2006)
  • Vol 4 (2007)
  • Vol 5 (2008)
  • Vol 6 (2009)
  • Vol 7 (2010)
  • Vol 8 (2011)
  • Vol 9 (2012)
  • Vol 10 (2013)
  • Vol 11 (2014)
  • Vol 12 (2015)
  • Vol 13 (2016)
  • Vol 14 (2017)
  • Vol 15 (2018)
  •         Issue 1
  •         Issue 2
  •         Issue 3
  •         Issue 4
  •         Issue 5
  •         Issue 6
  • Vol 16 (2019)
  • Vol 17 (2020)
  • Vol 18 (2021)
  • Vol 19 (2022)

Vol 15 (2018) - Issue 2

Article preview

The US Supreme Court Puts an End to Non-Consensual PrioritySkipping Structured Dismissals

Maja Zerjal, Associate, and Elliot Stevens, Law Clerk, Proskauer Rose LLP, New York, USA

A long-standing requirement of U.S. bankruptcy law demands that, for the successful confirmation of a chapter 11 plan over the objection of an impaired class of creditors, the 'absolute priority' rule must be respected, which generally means that no class of claims or interests junior to the impaired class receives any distribution. But the question that was presented to the U.S. Supreme Court in the case of Czyzewski v. Jevic Holding Corp., 137 S. Ct. 973 (2017), ('Jevic') touched on a slightly different issue. Do the courts have the power to order a distribution that violates this absolute priority rule, not in a plan, but, rather, in a chapter 11 dismissal? In an important holding, the Supreme Court, reversing the uniform decisions of the courts below, said no. According to the justices, a bankruptcy court could not authorise such 'structured dismissals' that violated the absolute priority rule. The decision, however, may have wide-ranging implications outside the context of structured dismissals. It remains unclear, though, precisely what the shape and effect of those implications will be.

Buy this article
Get instant access to this article for only EUR 45 / USD 55 / GBP 40
Buy this issue
Get instant access to this issue for only EUR 165 / USD 220 / GBP 145
Buy annual subscription
Subscribe to the journal and recieve a hardcopy for
EUR 730 / USD 890 / GBP 520
If you are already a subscriber
log In here

International Corporate Rescue

"International Corporate Rescue is truly unique in its concept and an indispensable read."

Neil Cooper, Consultant at INSOL International

Join our mailing list

Join our mailing list to receive regular updates on latest issues and content.

Copyright 2006 Chase Cambria Company (Publishing) Limited. All rights reserved.