Tag Archives: sale procedures

Bankruptcy Sale Offers: Highest Is Not Always Best

In re Diplomat Construction, Inc., 481 B.R. 215 (Bankr. N.D. Ga. 2012) – Is there an obligation to sell to the highest bidder in a bankruptcy sale?  In Diplomat Construction, the court approved a sale to a bidder that offered less … Continue reading

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Bidders Beware: Collusion to Control Sale Price Is Subject to Sanctions

Boyer v. Gildea, 475 B.R. 647 (N.D. Ind. 2012) – In Gildea, the bankruptcy trustee claimed that a group of insiders colluded with the purchaser of the debtor’s assets at a Section 363 auction to control the sale price.  Consequently … Continue reading

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Challenging a Bankruptcy Sale: You Snooze, You Lose

Reynolds v. Rushton, 473 B.R. 436 (D. Utah 2012) – Reynolds involves a challenge to a Chapter 7 trustee’s Section 363 sale of an underground coal mine together with an adjoining scale house located on leased land.  The scale house contained … Continue reading

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RadLAX: Supreme Court Speaks On Credit Bidding

RadLAX Gateway Health Co. v. Amalgamated Bank, __ U.S. __, 132 S. Ct. 2065, 182 L. Ed. 2d 967 (2012) – Undersecured lenders jealously guard their ability to credit bid in a sale of collateral (i.e. lender offsets the amount that … Continue reading

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