In Re Physician Health Corp.

OPINION 1

MARY F. WALRATH, Bankruptcy Judge.

Before the Court is the Motion of HHC Medical Group, Inc. (“HHC”) to compel Physician Health Corporation and its affiliates (“the Debtors”) to Assume or Reject the Practice Management Agreement between the Debtors and HHC. The Motion is opposed by the Debtors, the pre- and post-petition lenders, and the Official Committee of Unsecured Creditors (“the Committee”). For the reasons set forth below, we deny the Motion.

I. FACTUAL BACKGROUND

The Debtors filed voluntary petitions under chapter 11 on December 7, 2000. The Debtors are in the business of…