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Corinne Ball, a partner at Jones Day, analyzes an appellate ruling that reversed an order of the bankruptcy court selling property "free and clear" of a junior lien under section 363(f) of the Bankruptcy Code. Despite the safe harbor provisions associated with bankruptcy sales under section 363, she explains, the appellate ruling resulted in the property remaining subject to the junior lien after the sale, when the negotiations, asset purchase agreement and the bankruptcy court's sale order all contemplated that the sale would be "free and clear" of all liens, claims and encumbrances.
April 23, 2009 at 12:00 AM
1 minute read
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