Power Purchase Agreements in Bankruptcy: Concurrent Interests Under the Bankruptcy Code and Federal Power Act
Recording of a 90-minute CLE video webinar with Q&A
This CLE course will discuss the divergent law on whether an energy industry debtor can reject its power purchase agreements (PPAs) and provide bankruptcy counsel with an understanding of how this issue might be resolved in bankruptcy proceedings.
- Recent developments
- Comparison of the conflicting federal laws
- The Federal Energy Regulatory Commission
- Section 365 of the Bankruptcy Code and the jurisdiction of federal bankruptcy courts
- Prior precedents
- Practical considerations and best practices
The panel will review these and other key issues:
- What can happen to a PPA in bankruptcy?
- How long does a debtor have to decide whether to reject or assume its PPAs?
- What considerations are likely to factor into a debtor's decision whether to assume or reject its PPAs?
- What happens to a PPA during the period when the debtor is deciding whether to assume or reject?
- To the extent power is provided to a debtor during the pendency of its bankruptcy, is the PPA counterparty's claim for payment afforded priority status?
- What must a debtor show to convince the bankruptcy court to grant a motion to reject a PPA?
- If a debtor moves to reject a PPA, what grounds would a counterparty have for opposing that motion?
- If a debtor prevails in its motion to reject, either by overcoming an opposition or because the counterparty does not object, what happens then?
- What concerns relate to any debt financing or other investments in projects where the offtaker under a PPA became a debtor in bankruptcy?
Robert J. Gayda
Seward & Kissel
Mr. Gayda is a partner in Seward & Kissel’s Corporate Restructuring & Bankruptcy Group. He represents... | Read More
Mr. Gayda is a partner in Seward & Kissel’s Corporate Restructuring & Bankruptcy Group. He represents creditors’ committees, court-appointed examiners, lenders, lender groups, directors, special committees, distressed investors, and individual creditors in restructurings, whether in or out of court.Close
Lorraine S. McGowen
Orrick Herrington & Sutcliffe
Ms. McGowen has practiced in the areas of creditors' rights and bankruptcy for over 20 years, focusing on... | Read More
Ms. McGowen has practiced in the areas of creditors' rights and bankruptcy for over 20 years, focusing on enforcement of creditors' rights and remedies in out-of-court workouts and bankruptcy proceedings. She represents formal and ad hoc creditors' committees, secured and unsecured creditors and other significant parties in complex bankruptcy cases, corporate restructurings and other insolvency matters.Close