Abstract

http://ssrn.com/abstract=1518613
 
 

Footnotes (38)



 


 



Multiple Claims, Ivanhoe and Substantive Consolidation


Daniel J. Bussel


University of California, Los Angeles (UCLA) - School of Law

December 4, 2009

American Bankruptcy Institute Law Review, Vol. 17, 2010
UCLA School of Law, Law-Econ Research Paper No. 09-23

Abstract:     
The Supreme Court's 1935 Ivanhoe decision created the specter of undue multiplication of claims, particularly in bankruptcies that involve large business enterprises conducted through many separate legal entities. Ivanhoe should be overruled on its own facts, but even if it is not, its extension to other situations is indefensible. Until overruled, Ivanhoe is properly limited to creditors secured by nondebtor collateral, foreclosure of which does not give rise to reimbursement or subrogation claims against the bankruptcy estate. While even in that case Ivanhoe overcompensates the creditor, such cases are rare and do not entail large-scale multiplication of claims against bankruptcy estates. If Ivanhoe is so limited, co-debtor liability among insolvent estates can be dealt with through a form of marshaling described in this Article. Otherwise, the practical second-best solution to the multiple claims problem is likely to remain liberal reliance on the substantive consolidation doctrine.

Number of Pages in PDF File: 16

Keywords: Bankruptcy

Accepted Paper Series


Download This Paper

Date posted: December 8, 2009  

Suggested Citation

Bussel, Daniel J., Multiple Claims, Ivanhoe and Substantive Consolidation (December 4, 2009). American Bankruptcy Institute Law Review, Vol. 17, 2010; UCLA School of Law, Law-Econ Research Paper No. 09-23. Available at SSRN: http://ssrn.com/abstract=1518613

Contact Information

Daniel J. Bussel (Contact Author)
University of California, Los Angeles (UCLA) - School of Law ( email )
385 Charles E. Young Dr. East
Room 1242
Los Angeles, CA 90095-1476
United States
310-206-7977 (Phone)
310-825-6023 (Fax)
Feedback to SSRN


Paper statistics
Abstract Views: 783
Downloads: 118
Download Rank: 138,975
Footnotes:  38

© 2014 Social Science Electronic Publishing, Inc. All Rights Reserved.  FAQ   Terms of Use   Privacy Policy   Copyright   Contact Us
This page was processed by apollo8 in 0.328 seconds