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David M. Banker and Elie J. Worenklein of Lowenstein Sandler write: The Bankruptcy Court for the Southern District of New York recently issued an opinion that expands the authority and flexibility for a debtor to determine whether (and when) to assign executory contracts and unexpired leases.
Damian S. Schaible and Darren S. Klein of Davis Polk & Wardwell write: Two recent bankruptcy court decisions have increased uncertainty over the right of secured creditors to credit bid in sales of debtors’ assets. Relying on and expanding a rarely used “for cause” limitation on a secured creditor’s right to credit bid under §363(k) of the Bankruptcy Code, these decisions may ultimately affect credit bidding rights in a broad swath of cases.
J. Eric Ivester and Raquelle L. Kaye of Skadden, Arps, Slate, Meagher & Flom explore the extent to which intercreditor agreement waiver provisions are enforceable in bankruptcy and, if so, the type of conduct by a junior lienholder that may be prohibited.
Christopher Kiplok and Dustin Smith of Hughes Hubbard & Reed write: Even before the Supreme Court’s decision last Monday, the Argentina litigation had resulted in changes to the terms of sovereign bonds and renewed discussion about the establishment of multinational approaches to sovereign restructurings. These trends will continue, if not accelerate, as sovereigns and bond market participants digest the impact and significance of the Supreme Court’s recent rulings.