United States Sixth Circuit

There is a presumption that default interest should be paid to unsecured claim holders in a solvent debtor bankruptcy case. Further, unsecured creditors can collect attorneys' fees, costs and expenses from solvent debtors where they are permitted to do so by the terms of their contract and applicable non-bankruptcy law.

Appellate Information

• Decided 07/26/2006
• Published 07/26/2006

Judges

• Before:  MOORE and COLE, Circuit Judges;  WISEMAN, District Judge.

Court

• United States Sixth Circuit

Counsel

• For Appellees:
  
• ARGUED:  Donald S. Bernstein, Davis, Polk & Wardwell, New York, New York, Glenn E. Siegel, Dechert, New York, New York, for Appellants.  David M. Bernick, Kirkland & Ellis, Chicago, Illinois, for Appellees.   ON BRIEF:  Donald S. Bernstein, Ogden N. Lewis, Michael S. Flynn, Davis, Polk & Wardwell, New York, New York, Glenn E. Siegel, Dechert, New York, New York, Sheryl L. Toby, Dykema Gossett, Detroit, Michigan, Annette W. Jarvis, Salt Lake City, Utah, Robert S. Hertzberg, Pepper & Hamilton, Detroit, Michigan, Andrew N. Rosenberg, Paul, Weiss, Rifkind, Wharton & Garrison, New York, New York, Patrick A. Murphy, Murphy, Weir & Butler, San Francisco, California, Stephen Blauner, Milbank, Tweed, Hadley & McCloy, New York, New York, Robert M. Novick, Kasowitz, Benson, Torres & Friedman, New York, New York, for Appellants.   David M. Bernick, Douglas Geoffrey Smith, Kirkland & Ellis, Chicago, Illinois, for Appellees.