Bgi creditors liquidating trust
(“BGI”) and its affiliated debtors and debtors in possession (collectively, the “Debtors”) filed voluntary petitions for relief under Chapter 11 of the United States Bankruptcy Code (the "Chapter 11 cases") in the United States Bankruptcy Court for the Southern District of New York (the "Bankruptcy Court").These Chapter 11 cases were jointly administered under case number Case No. On December 21, 2011, the Bankruptcy Court entered an order (“Confirmation Order”) confirming the First Amended Joint Plan of Liquidation Pursuant to Chapter 11 of the Bankruptcy Code Proposed by the Debtors and the Official Committee of Unsecured Creditors (the "Plan"), and on January 12, 2012, the Plan became effective. CONCLUSIONFor the reasons set forth above, we conclude that the District Court correctly applied the doctrine of equitable mootness in the context of this Chapter 11 liquidation and that it committed no abuse of discretion in determining that Appellants' claims are equitably moot. This figure did not include the 0.5 million in unredeemed balances associated with approximately 17.7 million gift cards then outstanding. In particular, the Bankruptcy Court required Borders to disseminate by November 16, 2011, notice of the confirmation hearing to the following groups: (1) persons or entities identified in Borders' schedule of liabilities; (2) parties that had filed proofs of claim; (3) registered holders of Borders' debt and equity securities; and (4) any other “known holders of claims against” or equity interests in Borders.4.
On review, the District Court accepted the Bankruptcy Court's determination that the Plan was substantially consummated and accordingly found Appellants subject to a presumption that their appeals were equitably moot.
at 483, under which we examine conclusions of law de novo and findings of fact for clear error, see Highmark Inc.
Carter, Jr., Judge ) dismissing as equitably moot Appellants' challenges to three Bankruptcy Court orders.
and its affiliates (“Borders” or “Debtors”) seek to vacate a May 28, 2013 judgment of the District Court (Andrew L.
In the three challenged orders, the Bankruptcy Court (Martin Glenn, Bankruptcy Judge) denied motions filed by Appellants after Borders—which had earlier filed for protection under Chapter 11—obtained confirmation of its liquidation plan (the “Plan”).