Bankruptcy Law Article: Feasibility
10/23/2006
Written by Mintz Levin attorneys Richard E. Mikels and Charles W. Azano for the American Bankruptcy Institute Conference 2006, "A Plan Too Far" and Other Confirmation Controversies
One of the requirements that must be met before a Chapter 11 plan can be confirmed is that the bankruptcy court must find that the plan "is not likely to be followed by the liquidation, or the need for further financial reorganization of the debtor or any successor to the debtor under the plan, unless such liquidation or reorganization is proposed in the plan." 11 U.S.C. § 1129(a)(11). This requirement is commonly referred to as a plan's feasibility.
