Adam Rogoff Anupama Yerramalli

April 04, 2017 | Corporate Counsel

In the hotly-awaited decision Czyzewski v. Jevic Holding Corp., the U.S. Supreme Court held that "structured dismissals" of bankruptcy cases cannot distribute estate assets to certain creditors in derogation of the Bankruptcy Code's priority rules. This decision disrupts an existing practice in Chapter 11 cases with unconfirmable bankruptcy plans where parties negotiated settlements inconsistent with the code's priority scheme.

By Adam Rogoff, Anupama Yerramalli and Alana Katz, Kramer Levin Naftalis & Frankel

10 minute read