United States: Delaware Bankruptcy Court Limits Credit Bidding in Fisker Automotive – Herrick, Feinstein LLP

Credit bidding has been a source of lively controversy in recent years. In In re Fisker Automotive Holdings, Inc., Judge Kevin Gross of the United States Bankruptcy Court for the District of Delaware ruled that a secured creditor with a partially disputed claim would only be allowed to credit bid its claim in an amount equal to the purchase price it had paid for it.