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obtained those rights by foreclosure of its collateral assignment, it did not do so. Accordingly, the creditor was entitled only to an assignment of the partner's economic interests, and did not have the power to file an involuntary petition.
Among the beneficiaries of special interest amendments to § 365 are savings and loan regulators, who are entitled to require the debtor to cure deficits arising under any commitment to maintain savings and loan capital and capital reserve requirements. The statute provides that the trustee is deemed to have assumed and is required to immediately cure any deficit under a capital maintenance agreement. The debtor's choices are to honor the agreement or to dismiss the bankruptcy case. A claim for breach of the capital commitment is entitled to priority under § 507. In the absence of the ability to cure, the debtor must dismiss or convert, as § 365(o) does not apply in chapter 7. Although the case had been pending for 5 years, the matter was remanded for consideration of the debtor's defenses to the capital maintenance obligation. If the regulators won, the bankruptcy court would be required to create a remedy using all of the bankruptcy estate's assets to satisfy the debtor's obligations.
In a Kansas case, where the chapter 11 debtor had not cured the capital maintenance obligation, the district court found that the Office of Thrift Supervision had an expense of administration equal in priority with other expenses of administration under § 507(a)(l).
Section 1113 limits the ability of a trustee or DTP to modify a collective bargaining agreement
