Profit Sharing Ruled an Unenforceable Anti-Assignment Restriction
(World News USA)

Reprinted with permission from the September 14, 2017 issue of The Legal Intelligencer. © 2017 ALM Media Properties, LLC. Further duplication without permission is prohibited. All rights reserved. A fundamental benefit of Chapter 11 is a debtor`s ability to assume and assign executory contracts and unexpired leases over the objection of a nondebtor counterparty, even when the contract contains otherwise valid ­anti-assignment provisions. Moreover, as demonstrated in a recent decision by the U.S. District Court for the District of Delaware, this statutory tool can be used despite its negative ­impact upon the underlying economics of the original contract, as in Antone v. Haggen Holdings (In...