This website uses cookies. By using this website, you agree to our Cookie Policy.
Houston District Court Further Clarifies “Equal Treatment” Rule, Supporting “Minority” Creditors in ConvergeOne Bankruptcy
Reprinted from: Pratt’s Journal of Bankruptcy Law | 03/10/2026Cadwalader attorneys Douglas Mintz, Casey Servais and Diarra Edwards authored an article, “Houston District Court Further Clarifies ‘Equal Treatment’ Rule, Supporting ‘Minority’ Creditors in ConvergeOne Bankruptcy,” published in the February–March 2026 edition of Pratt’s Journal of Bankruptcy Law.
In the article, the authors review a U.S. District Court for the Southern District of Texas decision that overturned ConvergeOne’s Chapter 11 plan confirmation for violating the Bankruptcy Code’s “equal-treatment” rule. The opinion relies heavily on the Fifth Circuit’s Serta decision to hold that plans cannot provide unequal treatment to similarly situated creditors by offering some, but not all, lenders equity and backstop rights.
Pratt’s Journal of Bankruptcy Law is published eight times a year and “features analysis, practical guidance, and commentary exploring bankruptcy legal developments and decisions.” Learn more here (subscription required).
