United States Fifth Circuit

In an action claiming that defendant drew down a letter of credit in violation of a bankruptcy court order and confirmed reorganization plan that allegedly prevented defendant from taking that action to satisfy pre-confirmation debts, judgment for plaintiffs is reversed where: 1) a debt owed to defendant was neither an "Invoice" nor an "obligation represented by those Invoices" under the district court's injunction, the order did not govern defendant's action regarding the debt; 2) the district court's order still had effect as applied to the actual pre-petition invoices, and thus the court of appeals' interpretation of the order did not render it superfluous; and 3) the plan did not state that the $1.3 million letter of credit at issue must remain the sole and exclusive security for defendant's claim.

Appellate Information

• Decided 05/14/2010
• Published 05/14/2010

Judges

• EDITH H. JONES, Chief Judge:, Before JONES, Chief Judge, and GARZA and STEWART, Circuit Judges.

Court

• United States Fifth Circuit

Counsel