Federal Case

How courts have described this case

Verbatim parenthetical descriptions written by other courts when citing this decision. Ranked by citation-network relevance.

• noting that a “good faith” petition “must seek to create or preserve some value that would otherwise be lost ... outside of bankruptcy”
• emphasizing that debtor “was highly solvent and cash rich at the time of the bankruptcy filing” despite some contingent claims
• stating that the provisions of the Bankruptcy Code are to be invoked only after a case has been filed with a legitimate bankruptcy purpose
• noting how one of two bankruptcy purposes, preservation of going-concern value, was not implicated where such value did not exist on the filing date anyway
• finding no “authority that the Code can be used to effectuate a liquidation that has no hope of maximizing the value of the Company ... but simply facilitates dissolution on terms favorable to equity interests”
• “The absence of an insolvency requirement encourages companies to file for Chapter 11 before they face a financially hopeless situation.”

Source: CourtListener parenthetical corpus (CC0).