Ninth Circuit Affirms BAP Ruling That Rule 60(B) Cannot Overturn Settlement

The Ninth Circuit Court of Appeals just today affirmed the Bankruptcy Appellate Panel, which had previously held that an adverse debtor could not use Rule 60(b) to overturn a confirmed chapter 11 plan (based on a settlement agreement), when an underlying Chinese judgement we had enforced in the U.S., which drove the debtor into bankruptcy, was overturned in China via Debtors' post-Plan, post-settlement efforts. This ends nearly five years of procedural and other shenanigans and reemphasizes the power and importance of settlement (that uses bankruptcy-appropriate language).

Morrow Ni LLP partner Angus F. Ni briefed the appeal.