Bankruptcy Rule 2019 Alert Memo

On March 13, 2007, the New York office authored an Alert memorandum entitled, “Bankruptcy Rule 2019 Alert Memo.” The alert memo discusses the second of a pair of rulings the United States Bankruptcy Court for the Southern District of New York issued in the Chapter 11 case involving Northwest Airlines. Those rulings hold that it is a requirement of Rule 2019(a) of the Federal Rules of Bankruptcy Procedure that members of ad hoc committees and other entities acting as groups in Chapter 11 cases must file with the Bankruptcy Court a verified statement disclosing “the amounts of claims or interests owned by … the members of the committee... the times when acquired, the amounts paid therefore, and any sales or other dispositions thereof.” The memorandum summarizes key points of the rulings.