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IN RE FAGERDALA USA-LOMPOC, INC.

No. 16-35430.

891 F.3d 848 (2018)

IN RE FAGERDALA USA — LOMPOC, INC., Debtor, Pacific Western Bank; Coastline re Holdings Corp., Appellants, v. Fagerdala USA — Lompoc, Inc., Appellee.

United States Court of Appeals, Ninth Circuit.

Filed June 4, 2018.

Attorney(s) appearing for the Case

Teresa H. Pearson (argued) and David W. Hercher , Miller Nash Graham & Dunn LLP, Portland, Oregon; David K. Eldan , Parker Milliken Clark O'Hara & Samuelian, Los Angeles, California; for Appellants.

Douglas R. Pahl (argued), Perkins Coie LLP, Portland, Oregon, for Appellee.

Before: N. Randy Smith, Morgan Christen, and Andrew D. Hurwitz, Circuit Judges.

OPINION

Under 11 U.S.C. § 1126(e), a bankruptcy court may not designate claims for bad faith simply because (1) a creditor offers to purchase only a subset of available claims in order to block a plan of reorganization, and/or (2) blocking the plan will adversely...

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