In an adversary proceeding brought by the trustee of a corporation and the subsidiaries it had acquired in related leveraged buy-outs, seeking to recover payments the shareholders of the acquired corporations had received for their shares on the grounds that the payments to them had been fraudulent transfers avoidable under Delaware law and the Bankruptcy Code, grant of shareholders' motion to dismiss is affirmed as, in accordance with prior case law, the payments were exempt settlement payments under section 546(e).
On Appeal from the United States District Court for the District of Delaware
Opinion Filed December 22, 2009
Opinion by Circuit Judge Greenberg
For Appellant: Charles R. Bennett, Hannity & King; Kevin S. Mann, Christopher P. Simon, Cross & Simon
For Appellee: William P. Bowden, Ashbty & Geddes; Mark C. Fleming, WIlliam Cutler Pickering Hale & Dorr; Gabriel R. MacConaill, Potter Anderson & Corroon