No Premium Recovery Guarantees For 5th Circ. Lenders

By Christopher Harris, Richard Levy, Mitchell Seider and Matthew Warren (February 11, 2019, 2:38 PM EST) -- On Jan. 17, 2019, the U.S. Court of Appeals for the Fifth Circuit issued its opinion in In re Ultra Petroleum Corp.[1] reversing the conclusion of the U.S. Bankruptcy Court for the Southern District of Texas that certain unsecured creditors of Ultra Petroleum Corp. were "impaired" creditors under the Bankruptcy Code. Ultra was insolvent at the commencement of its Chapter 11 case but ultimately became solvent during the case....

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