Friday, May 16, 2008

bankruptcy motion to compel trustee to assume 3rd party contract

Recent court of appeals bankruptcy decision:

7th Circuit Cases

Civil - Bankruptcy
Chiplease, Inc. v. Steinberg, No. 07-1879 (5/15/08). Appeal, N.D. Ill., E. Div. Aff?d.
Dist. Ct. did not err in affirming Bankruptcy Ct. order that denied plaintiff's motion to compel Trustee to assume debtor's contract with third-party and to assign debtor's rights in contract to plaintiff. Record showed that debtor's right to renew terms of contract had expired, and thus Trustee's assumption of contract would have subjected Trustee to sanctions under Fed. R. Bankr. P. 9011.