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ZACHARY v. CALIFORNIA BANK & TRUST

No. 13-16402.

811 F.3d 1191 (2016)

David K. ZACHARY; Annmarie S. Snorsky, Debtors-Appellants, v. CALIFORNIA BANK & TRUST, Respondent-Appellee.

United States Court of Appeals, Ninth Circuit.

Filed January 28, 2016.

Attorney(s) appearing for the Case

Gregg W. Koechlein (argued), Reno, NV, for Debtors-Appellants.

Matthew D. Murphey (argued), Penelope Parmes , Martin W. Taylor , Meghan Canty Sherrill , Troutman Sanders LLP, Irvine, CA, for Respondent-Appellee.

Before: RICHARD A. PAEZ, MARY H. MURGUIA, and ANDREW D. HURWITZ, Circuit Judges.

OPINION

This case presents an arcane but important question of first impression in this Circuit: Does the absolute priority rule continue to apply in individual chapter 11 reorganizations after the amendments to the Bankruptcy Code enacted as part of the Bankruptcy Abuse Prevention and Consumer Protection Act of...

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