Sixth Circuit Considers Rejection of a Filed Power Purchase Agreement

Chairman and CEO Andrew Kassner and senior attorney Joseph Argentina co-authored the article “Sixth Circuit Considers Rejection of a Filed Power Purchase Agreement” in the January 6, 2020 edition of The Legal Intelligencer. Kassner and Argentina write that because the provisions of the Bankruptcy Code sometimes conflict with other federal laws and regulations, certain debtors may find themselves facing additional hurdles when administering a bankruptcy case. Conversely, a regulated debtor might find the Bankruptcy Code enables it to avoid an otherwise inevitable regulatory consequence. In their article, the authors highlight a recent case where the U.S. Court of Appeals for the Sixth Circuit considered whether an energy company debtor could reject a power purchase agreement as an executory contract that had been filed with the Federal Energy Regulatory Commission (FERC), in the case of In re FirstEnergy Solutions, Case Nos. 18-3787/3788/4095/4097/4107/4110.