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This would decide how much a country could afford to pay and adjudicate between different classes of creditor.
The judge asked Phillips to enumerate his justifications for why some specific classes of creditor are deemed as integral to competitive balance and not others – such as HMRC.
Similar(58)
Sweden won leeway for even more flexibility to make exemptions to certain classes of creditors in exchange for other commitments.
For much of the day, ministers were divided over how, and whether, to allow countries discretion to protect certain classes of creditors.
At the session last week in Luxembourg, ministers were divided sharply over how, and whether, to give countries discretion to protect certain classes of creditors.
Mutual funds that hold the threatened bonds, and the insurers that guarantee them, have cried foul, citing the principle that in bankruptcy, similar classes of creditors must be treated the same way.
Those private equity firms are now grappling with several classes of creditors, largely made up of hedge funds and debt investors, over a prearranged restructuring plan that would shorten Energy Future's stay in Chapter 11.
Punch Taverns lost nearly 10% to 11.75p after the pub group said it would table new restructuring plans in December, following disagreement among the various classes of creditors about the first proposals.
The Treasury Department and the White House have done enormous damage to the housing industry by muddying the distinction between various classes of creditors who lend money.
Another issue discussed in the literature is the conflict of interest among multiple creditors (Blazy and Chopard 2004) or the problems due to multiple classes of creditors (Bulow and Shoven 1978; White 1989; Gertner and Scharfstein 1991).
As well as issuing unsecured bonds, Meridian had borrowed around $485m in first- and second-lien loans.For a restructuring deal to go through, it has to be approved by a majority (defined differently in different countries) of each "class" of creditor.
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Justyna Jupowicz-Kozak
CEO of Professional Science Editing for Scientists @ prosciediting.com