Executory or Not Executory? That is the Question – NJ Bankruptcy Court Rules That Court-Ordered Specific Performance Renders a Contract Non-Executory

In a latest choice, the U.S. Personal bankruptcy Courtroom for the District of New Jersey denied a debtor’s movement to reject a contract as executory under segment 365 of the Personal bankruptcy Code, keeping that the prepetition entry of a court order which needed unique performance of a contract rendered the contract non-executory and, for that reason, non-rejectable.  In re Bennett Enters., Circumstance No. 20-23761 (JNP), 2021 Bankr. LEXIS 625 (Bankr. D.N.J. 2021) (“Bennett Enterprises”)….
By: Weil, Gotshal & Manges LLP