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3rd Circ. OKs Nonconsensual Ch. 11 Liability Releases

By Jeff Montgomery ( December 20, 2019, 4:08 PM EST) -- The Third Circuit has affirmed rulings in Delaware's bankruptcy and federal district courts allowing the 2015 confirmation of a troubled laboratory company's $1.8 billion Chapter 11 plan over "Opt-Out" creditor objections, which say the plan unconstitutionally shielded, or released, key parties from damage claims without the creditors' consent....

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