Document Type
Article
Publication Date
3-30-1988
Abstract
Judge Miner's concurring opinion begins on page 650.
This appeal challenges the lawfulness of the reorganization plan of the Johns-Manville Corporation ("Manville"), a debtor in one of the nation's most significant Chapter 11 bankruptcy proceedings. Lawrence Kane, on behalf of himself and a group of other personal injury claimants, appeals from an order of the District Court for the Southern District of New York (Whitman Knapp, Judge) affirming an order of the Bankruptcy Court (Burton R. Lifland, Chief Judge) that confirmed a Second Amended Plan of Reorganization (the "Plan"). Kane and the group of 765 individuals he represents (collectively "Kane") are persons with asbestos-related disease who had filed personal injury suits against Manville prior to Manville's Chapter 11 petition. The suits were stayed, and Kane and other claimants presently afflicted with asbestos-related disease were designated as Class-4 creditors in the reorganization proceedings. Kane now objects to confirmation of the reorganization Plan on several grounds: it discharges the rights of future asbestos victims who do not have "claims" within the meaning of 11 U.S.C. § 101(4) (1982), it was adopted without constitutionally adequate notice to various interested parties, the voting procedures used in approving the Plan violated the Bankruptcy Code and due process requirements, and the Plan fails to conform with the requirements of 11 U.S.C. § 1129(a) 639*639 and (b) (1982 & Supp. IV 1986). We determine that Kane lacks standing to challenge the Plan on the grounds that it violates the rights of future claimants and other third parties, and we reject on the merits his remaining claims that the Plan violates his rights regarding voting and fails to meet the requirements of section 1129(a) and (b). The order of the District Court affirming the Bankruptcy Court's confirmation of the Plan is affirmed.
Recommended Citation
Miner '56, Roger J., "Kane v. Johns-Manville Corp., 843 F. 2d 636 - Court of Appeals, 2nd Circuit 1988" (1988). Circuit Court Opinions. 132.
https://digitalcommons.nyls.edu/circuit_opinions/132
Comments
Judge Miner's concurring opinion begins on page 650.
843 F.2d 636 (1988)
Lawrence KANE, a Class-4 creditor and asbestos-health claimant, on his own behalf and on behalf of individual Class-4 creditors and asbestos-health claimants, Appellants,
v.
JOHNS-MANVILLE CORPORATION, Manville Corporation, Manville International Corporation, Manville Export Corporation, Johns-Manville International Corporation, Manville Sales Corporation, f/k/a Johns-Manville Sales Corporation, successor by merger to Manville Buildings Materials Corporation, Manville Products Corporation, and Manville Service Corporation, Manville International Canada, Inc., Manville Canada, Inc., Manville Investment Corporation, Manville Properties Corporation, Allan-Deane Corporation, Ken-Caryl Ranch Corporation, Johns-Manville Idaho, Manville Canada Service Inc., and Sunbelt Contractors, Inc., Appellees.
In re JOHNS-MANVILLE CORPORATION, et al., Debtors.
No. 412, Docket 87-5032. United States Court of Appeals, Second Circuit.
Argued October 30, 1987. Decided March 30, 1988