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Termination Premiums Under ERISA Held To Be Dischargeable Prepetition Claims
The Bankruptcy Strategist
May 2008


William J.F. Roll III, Michael H. Torkin, Solomon J. Noh


In a matter of first impression, the United States Bankruptcy Court for the Southern District of New York held that the termination premiums assessed against Oneida Ltd. as a result of the termination of one of Oneida’s pension plans during its Chapter 11 case were prepetition “claims” (as defined in § 101(5) of title 11 of the United States Code) that were discharged under Oneida’s confirmed plan of reorganization.


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