In re Bataa/Kierland: Bankruptcy Court Denies Motion to Designate Creditor's Vote | Practical Law
The US Bankruptcy Court for the District of Arizona in In re Bataa/Kierland, LLC denied a creditor's motion to designate another creditor's acceptance of the debtor's proposed Chapter 11 plan. The bankruptcy court ruled that it was not an ulterior motive for a creditor to want the debtor's reorganization to succeed so that it could continue to do business with the debtor. It also found that the debtor's creation of a potentially accepting class in contemplation of bankruptcy was permissible and that the debtor did not solicit or procure the creditor's vote in bad faith.