Bankruptcy

GM Appeals (update)

By Stephen Lubben

A second appeal has been filed, this one by the "Ad Hoc Committee of Asbestos Personal Injury Claimants." The Ad Hoc Committee -- whose standing to appeal I doubt (although the members could appeal, so perhaps I'm being pedantic) -- has moved for a stay pending appeal.  Both appellants have moved to certify the case directly to the 2d Circuit. A hearing before the bankruptcy court is scheduled for tomorrow night, to be followed, no doubt, by activity Wednesday morning at either the District or Court of Appeals, as appropriate.

Absent a stay, the appellants will have to deal with the inevitable mootness and 363(m) arguments -- something they appear ready to address.  As for the direct appeal to the 2d Circuit, I wonder if there is much reason for such an appeal in this instance -- the panel that heard the Chrysler appeal did address the §363(f) issue already, so the appeal in this case is essentially a request for an en banc review of that decision. Of course, for that very reason having the case proceed first to the District Court seems to be an exercise in extreme futility, but I don't see a "waste of time" clause in 28 U.S.C. §158(d)(2).

Full post as published by Credit Slips on July 07, 2009 (boomark / email).