ARTICLE: Pushing the Envelope of Creditors' Committee's Powers Skip over navigation
LexisNexis® Browse Law Reviews and Treatises
Skip over navigation
Sign in with your lexis.com® ID to access the full text of this article.
-OR-
Order the full text of this article if you do not have a lexis.com® ID.
 
Price: 
US $22.00 (+ tax)
 
 

Copyright (c) 2006 National Conference of Bankruptcy Judges
The American Bankruptcy Law Journal

ARTICLE: Pushing the Envelope of Creditors' Committee's Powers

Winter 2006

80 Am. Bankr. L.J. 89

Author

by John T. Hansen*

Excerpt



Section 1103(c) of the Bankruptcy Code 1 states what a committee of creditors or equity holders appointed by the United States Trustee in a chapter 11 bankruptcy case may do in order to perform its functions. 2 In some ways, 1103(c) defines a committee's job. In addition, 1109(b) provides that such a committee "may raise and may appear and be heard on any issue in a case under this chapter." 3 These two sections provide creditors' committees with a wide range of permissible (and perhaps mandatory) actions they may take in the interests of their constituencies. 4

Section 1103(c) is the more specific of the two sections. It contains five subsections, the first four of which are fairly precise, although the first half of the third subsection 5 has the potential for authorizing highly diverse activities by a committee. Subsection five, however, has the most potential for empowering a committee because it is so open-ended, providing that a committee may "perform such other services as are in the interest of those represented." 6 Section 1109(b) also contains no specific limitations and has been relied upon as a source of fairly broad authority for committees. This article will explore the outer parameters of the powers of creditors' committees under these two sections in the following contexts. First, the article will address the following issues involving a committee's standing:

A. May a creditors' committee initiate proceedings, particularly adversary proceedings, as the moving party or plaintiff? In other words, to what ...
 
 
If you are interested in obtaining a lexis.com® ID and Password, please contact us at 1-(800)-227-4908 or visit us at http://www.lexisnexis.com/.
Search Documents
 
eg., Environmental Insurance Coverage Under the Comprehensive General Liability Policy
 
 
 
 

Lexis® Web - The only search engine that delivers free web content specifically from legal sites validated by LexisNexis® attorney editors and includes tools for faster research and more relevant results.

 
LexisNexis Store
Research Now - Go to lexis.com
Connect the Dots - Free 1 hour webcast
Share. Network. Discover. - Go to LexisNexis Communities