Executory Contracts/Leases

Invoking Mirant, Fifth Circuit Permits Rejection of a Gas Pipeline Contract

Unsuccessfully attempting to punch homes in Mirant, FERC emerged from the Fifth Circuit with no power to stop bankruptcy courts from rejecting contracts otherwise within FERC’s jurisdiction.

Creating a Split, Second Circuit Says that Section 363(m) Is Jurisdictional

The new decision from the Second Circuit is based on prior opinions where the appeals court said there was no “jurisdiction” when it would have been correct to say there was no “power.”

Arbitration Clause Not Enforceable When the Contract Itself Was Rejected

Judge Jernigan in Dallas differs with a judge in Delaware by declining to enforce an arbitration agreement that was part of a rejected contract.