A recent ruling in the American Airlines bankruptcy case enforcing an automatic acceleration upon bankruptcy provision serves as a reminder that the enforceability of so-called ipso facto provisions in debt instruments remains an unsettled, forum-dependent question.
USA, New York, Aviation, Insolvency & Restructuring, Litigation, Mintz, Bankruptcy, Debtor, Debt, American Airlines, United States bankruptcy court
Summary
A recent court decision confirmed that transparent pre-pack sales can be used where they are in the best interests of the creditors as a whole. The court ruled that:
United Kingdom, Insolvency & Restructuring, Litigation, Freshfields Bruckhaus Deringer, Unsecured debt, Debt, Liquidation, Precondition, HM Revenue and Customs (UK), UK Department of Trade and Industry, Department for Business, Enterprise and Regulatory Reform