In re Qimonda AG, 2011 WL 5149831 (Bankr. E.D.Va. 2011)
Date:
Fri, 10/28/2011 (All day)
Foreign proceeding:
German insolvency proceeding
Summary:
On remand from the District Court, the Bankruptcy Court held that the failure of German insolvency law to afford patent licensees the protections they would enjoy under section 365(n) of the Bankruptcy Code (a) is “manifestly contrary” to the public policy of the United States, and (b) did not ensure that licensees of the debtor’s United States patents are “sufficiently protected.” The Bankruptcy Court accordingly denied the foreign representative’s motion to remove reference to section 365(n) of the Bankruptcy Code from the order granting relief in favor of the foreign proceeding, and clarified that section 365(n) applies in the chapter 15 case with respect to the foreign debtor’s US patents.
Key Issues:
- 11 U.S.C. § 1521 -- scope of discretionary relief
- 11 U.S.C. § 1522 – sufficient protection of creditor interests
- 11 U.S.C. § 365 – assumption and rejection of executory contracts
- 11 U.S.C. § 1506 – public policy exception
Circuit:
1