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IN RE WBQ PARTNERSHIP

Bankruptcy No. 93-10586-AB. Adv. No. 95-1246.

189 B.R. 97 (1995)

In re WBQ PARTNERSHIP t/a Brookwood Nursing Home, Debtor-in-possession. WBQ PARTNERSHIP, Plaintiff, v. COMMONWEALTH OF VIRGINIA DEPARTMENT OF MEDICAL ASSISTANCE SERVICES, Defendant.

United States Bankruptcy Court, E.D. Virginia, Alexandria Division.

October 3, 1995.

Attorney(s) appearing for the Case

Madeline A. Trainor, Tyler, Bartl, Burke & Albert, P.L.C., Alexandria, VA, for the debtor.

Henry C. Su, Williams, Mullen, Christian & Dobbins, P.C., Richmond, VA, for DMAS.

Robert K. Coulter, Assistant United States Attorney, Alexandria, VA, for the IRS.

MEMORANDUM OPINION

MARTIN V.B. BOSTETTER, Chief Judge.

The case at bar presents two questions for decision: whether the Chapter 11 debtor may sell nearly all its assets under 11 U.S.C. § 363(f) before filing a disclosure statement and liquidation plan, and if the sale is permissible under § 363(f), whether the Court can enjoin a creditor of the debtor from initiating a collection action against the third-party buyer. As to the first question...

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