FERC Cannot Usurp Bankruptcy Court's Power Over Contract Rejection

David Kupetz, Partner in Locke Lord's Los Angeles office, authored an article in Daily Journal outlining the Fifth Circuit's decision in Gulfport Energy Corp. v. FERC, addressing whether the Federal Energy Regulatory Commission (FERC) can override a debtor's bankruptcy-law rights and the bankruptcy court's power to reject executory contracts. "Rejection is merely a breach of the contract," Kupetz wrote. "It transforms the debtor's future performance obligations into the counterparty's unsecured claim for damages."

Read the full article in Daily Journal.