Tenth Circuit BAP Decision Authorizes Claim for Postpetition Interest Under 506(b): Read the Fine Print! | Weil, Gotshal & Manges LLP
In a recent decision, Twiford Enters. v. Rolling Hills Bank & Trust ( In re Twiford Enters.), 2020 Bankr. LEXIS 2964, 2020 WL 6075691 (10th Cir. BAP 2020), the Tenth Circuit Bankruptcy Appellate Panel affirmed the lower court’s decision awarding postpetition interest pursuant to section 506(b). The disputed issue was whether a reference in the variable rate promissory notes to an internal rate index maintained by the bank was sufficiently clear and specific to support a claim for postpetition interest. The court held that it was. Background Twiford Enterprises, Inc. (the “Debtor”) ow...
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