Originally Posted by
Theonemarine
I was reading some of the earlier posts winglet and I'm DEFINATELY no lawyer and know that you're not either but you seem to be grasping the jist of most of this stuff, does that above quote from the BK laws prevent CX of the contract PERIOD, or just while MESA is under the protection of CH11? i.e. Can Delta potentially CX the contract after Mesa emerges? Thx.
It looks like DL cannot cancel the contracts solely based on the fact that mesa filed BK without the courts approval. Based on the wording that would appear to apply after they exit BK (if they don't liquidate).
However, this is not magic invulnerability...it does nothing for cancellations for OTHER reasons, such as the performance problems which DL has already documented in the past.
Also if the DL contract is going to get cancelled for past performance or when it expires naturally in a couple of years anyway the court might not see any point in forcing DL to continue the contract and basing mesa's restructuring on that DL flying knowing full well it will go away in short order, probably triggering ANOTHER bankruptcy filing. The court might be inclined to let DL out now so MAG can restructure accordingly.
Anybody know exactly when that DL contract runs out?