Date of Decision:
June 19, 2007
Whether the trustee's proposed settlement of a large claim should be approved?
The settlement was approved based on the application of the four factors set forth in Drexel Burnham Lambert Inc. v. Flight Transportation Corp. (In re Flight Transportation Corp. Securities Litigation), 730 F.2d 1128, 1135-36 (8th Cir. 1984).
Full Bankruptcy Court Decision:
The district court reversed and set aside the bankruptcy court’s approval of the trustee’s proposed settlement and remanded the matter to the bankruptcy court for the consideration of issues specified by the district court.
Full Bankruptcy Appellate Panel/District Court Appeal Opinion: