Legal Opinion
In Re SPM Manufacturing Corp.
United States Bankruptcy Court, D. Massachusetts
Decided February 23, 1994No. 19-10696PublishedCited by 13 opinions
1Opinion of the Court
OPINION
JAMES F. QUEENAN, Jr., Chief Judge.
This case raises the following question: If a corporation in sound financial condition delivers a promissory note for the purchase of its own stock, should the balance due on the note be equitably subordinated to other unsecured debt when the corporation later becomes insolvent and goes into bankruptcy years later? The question has particular significance for close corporations because they frequently make such stock purchases at the death or retirement of a principal stockholder. It also involves a conflict between the Bankruptcy Code and…
2Cases cited34 opinions
- Hines v. DavidowitzSupreme Court of the United States · 1941
- Gibbons v. OgdenSupreme Court of the United States · 1824
- Pepper v. LittonSupreme Court of the United States · 1939
- Perez. v. CampbellSupreme Court of the United States · 1971
- In the Matter of Mobile Steel Company, Debtor. Elaine E. Benjamin v. Lester Y. Diamond, as Trustee in Bankruptcy for Mobile Steel, Inc.Court of Appeals for the Fifth Circuit · 1977
29 more not listed; retrieve them via the Exa API.
3Cited by13 opinions
- Pajaro Dunes Rental Agency, Inc. v. Spitters (In Re Pajaro Dunes Rental Agency, Inc.)United States Bankruptcy Court, N.D. California · 1994
- SPC Plastics Corp. v. Griffith (In Re Structurlite Plastics Corp.)Bankruptcy Appellate Panel of the Sixth Circuit · 1998
- Merrimac Paper Co. v. Harrison (In Re Merrimac Paper Co.)Court of Appeals for the First Circuit · 2005
- Ferrari v. Family Mutual Savings Bank (In Re New Era Packaging, Inc.)United States Bankruptcy Court, D. Massachusetts · 1995
- SPC Plastics Corp. v. Griffith (In Re Structurlite Plastics Corp.)United States Bankruptcy Court, S.D. Ohio · 1995
8 more not listed; retrieve them via the Exa API.