In re JZ L.L.C., 371 B.R. 412 (9th Cir. BAP 2007)
Licensing agreement issued by debtor that was neither assumed nor assigned in chapter 11 case rides through the bankruptcy.
In re Pomona Valley Medical Group, Inc., 476 F.3d 665, 670 (9th Cir. 2006)
“. . .[I]n evaluating the rejection decision, the bankruptcy court should presume that the debtor-in-possession acted prudently, on an informed basis, in good faith, and in the honest belief that the action taken was in the best interests of the bankruptcy estate. . . .It should approve the rejection of an executory contract under § 365(a) unless it finds that the debtor-in-possession’s conclusion would be ‘advantageous is so manifestly unreasonable that it could not be based on sound business judgment, but only on bad faith, or whim or caprice.’”
Rejection of the contract does not otherwise affect the parties’ substantive rights under the contract or state law. Claims under California Business and Professions Code survived motion to dismiss.
In re G.I. Industries, Inc., 204 F.3d 1276 (9th Cir. 2000)
Bankruptcy court could adjudicate validity of contract when considering proof of claim under executory agreement rejected by trustee.
In re AEG Acquisition Corp., 161 B.R. 50 (9th Cir. B.A.P. 1993)
Contract is not executory when all that is left for debtor to do is pay. Citing In re Pacific Express, Inc., 780 F.2d 1482 (9th Cir. 1986).
In re Joshua Slocum, Ltd. 922 F.2d 1081 (3d Cir. 1990)
Shopping center defined
In re Qintex Entertainment, Inc., 950 F.2d 1492 (9th Cir. 1991)
Executory k does not become asset of estate until it is assumed (licensing agreement)
In re Aslan, 909 F.2d 367 (9th Cir. 1990)
When debtor secures rejection of non-assumed executory contract under §365(g), date of breach is day immediately prior to filing of bankruptcy petition (definition of executory contract discussed)
In re Westworld Comm. Healthcare, Inc., 95 B.R. 730 (Bankr.C.D. Cal. 1989)
Right to attorney fees as “any pecuniary loss” under 365(b)(1)(B)
In re Sigel & Co., Ltd., 923 F.2d 142 (9th Cir. 1991)
Purchase of joint venture share prior to filing did not terminate agreement - debtor had power to cure default when the contract says nothing about cure of a breach
In re Arizona Appetito’s Stores, 893 F.2d 216 (9th Cir. 1990)
Timely motion to reject does not toll 60 days for motion to assume
In re Elm, Inc., 942 F.2d 630 (9th Cir. 1991)
- Court should order surrender of premises, if appropriate
- Must determine interests if necessary to decide 365(d)(4) issues.
