Originally Posted by
FriendlyPilot
ChatGPT mostly agrees with me.
Also I never said asset would sell for "par". Just that the encumbrances would be fulfilled.
Please show me where lease assets can be transferred to another entity without the leases being in place still because that is what you are proposing.
Additionally your ChatGPT response even states its for "free and clear assets" and Spirit doesn't have any of those.
So you are just going to blow past all the other you said that were wrong? Three strikes and you are out my friend.
• In a §363 sale,
liens don’t have to be paid at par at closing—they
attach to the cash, and secureds can
credit-bid to prevent a low price. [11 U.S.C. §363(f), §363(k)]. [url alt="https://www.law.cornell.edu/uscode/text/11/363?utm_source=chatgpt.com"=https://www.law.cornell.edu/uscode/text/11/363?utm_source=chatgpt.com]Legal Information Institute[/url][url alt="https://www.crowell.com/en/insights/client-alerts/credit-bidding-a-sword-and-a-shield?utm_source=chatgpt.com"=https://www.crowell.com/en/insights/client-alerts/credit-bidding-a-sword-and-a-shield?utm_source=chatgpt.com]Crowell & Moring - Home[/url]
• You
don’t transfer leased assets; you
assume/assign the lease under
§365 (cure + adequate assurance), notwithstanding anti-assignment clauses. Aircraft add
§1110 timing/rights. [url alt="https://www.law.cornell.edu/uscode/text/11/365?utm_source=chatgpt.com"=https://www.law.cornell.edu/uscode/text/11/365?utm_source=chatgpt.com]Legal Information Institute+1[/url]
• “Free-and-clear assets” isn’t the standard—
§363(f) lets you sell
encumbered assets
free and clear if a statutory condition is met;
liens ride to proceeds (see
TWA).