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IN RE W.R. GRACE & CO.

Civil Action No. 08-250. Bankruptcy Case No. 01-1139.

412 B.R. 657 (2009)

In re W.R. GRACE & CO., et al., Debtors. State of New Jersey, Department of Environmental Protection, Appellants, v. W.R. Grace & Co., et al., Appellees.

United States District Court, D. Delaware.

March 12, 2009.

Attorney(s) appearing for the Case

James E. O'Neill, III, Pachulski, Stang, Ziehl & Jones, LLP, Wilmington, DE, for Debtors.

MEMORANDUM

BUCKWALTER, Senior District Judge.

I. INTRODUCTION

A Chapter 11 bankruptcy filing triggers an automatic stay halting actions against the debtor while providing an orderly procedure for recovery of funds. An exception to the automatic stay1 permits governmental units to file actions to enforce their "police or regulatory power." The New Jersey Department of Environmental Protection (NJDEP) presently...

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