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District Court without Jurisdiction over Calpine Efforts to Reject Power Contracts



by Thomas M. Byrne
Sutherland Asbill & Brennan LLP - Atlanta Office

B. Knox Dobbins
Sutherland Asbill & Brennan LLP - Atlanta Office

Jacob Dweck
Sutherland Asbill & Brennan LLP - Houston Office

Richard G. Murphy
Sutherland Asbill & Brennan LLP - Washington Office

Paul Turner
Sutherland Asbill & Brennan LLP - Atlanta Office

March 27, 2006

Previously published on March 23, 2006

A January 27, 2006 opinion by the U.S. District Court for the Southern District of New York in the bankruptcy case of Calpine Corporation raises potential difficulties for future bankrupt energy companies' efforts at restructuring. Moreover, if not overturned on appeal, the ruling establishes a conflict with the U.S. Court of Appeals for the Fifth Circuit that could affect where energy companies choose to file their bankruptcies.


 

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Thomas M. Byrne
B. Knox Dobbins
Jacob Dweck
Richard G. Murphy
 
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