In a comprehensive report issued last week, the American Bankruptcy Institute Commission on Consumer Bankruptcy proposed recommendations that would allow student loans to be easier to discharge in bankruptcy, citing the staggering $1.5 trillion in student loan debt held in the United States and the current difficulties with discharging this type of debt in bankruptcy.

On January 31, 2013, the Bankruptcy Court for the District of Delaware confirmed the debtors’ proposed plan of reorganization in In re Indianapolis Downs, LLC,¹ declining to “designate” or disallow the votes of several substantial creditors that had entered into a plan support or “lockup” agreement with the debtors after the bankruptcy filing. In a written decision,² the Bankruptcy Court provided important guidance concerning the permissibility of post-petition plan support agreements entered into before the court approves a disclosure statement.