On June 9, 2014, the U.S. Supreme Court issued the latest installmentin the jurisdictional saga of bankruptcy courts. As the highly anticipatedsequel to Stern v.

Generally, license agreements are “executory contracts” in bankruptcy. Executory means performance is due from both sides. When a party to an executory contract becomes a debtor in bankruptcy, it may either reject or assume the contract. However, non-debtor parties (or “counterparties”) enjoy some protections, especially when the contract is a license agreement for intellectual property.

The basics.