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IN RE APPALACHIAN FUELS, LLC

BAP No. 12-8026.

493 B.R. 1 (2013)

In re APPALACHIAN FUELS, LLC, et al., Debtors.

United States Bankruptcy Appellate Panel of the Sixth Circuit.

Decided: April 19, 2013.

Rehearing Denied May 20, 2013.

Attorney(s) appearing for the Case

ARGUED: Mark J. Rudolph, West Virginia Department of Environmental Protection, Charleston, WV, for Appellant. T. Kent Barber, Delcotto Law Group PLLC, Lexington, KY, for Trustee Appellee. Donald R. Rose, Miller, Griffin & Marks, PSC, Lexington, KY, for Committee Appellee. ON BRIEF: Mark J. Rudolph, West Virginia Department of Environmental Protection, Charleston, WV, for Appellant. T. Kent Barber, Delcotto Law Group PLLC, Lexington, KY, for Trustee Appellee. Donald R. Rose, Miller, Griffin & Marks, PSC, Lexington, KY, for Committee Appellee.

Before: HARRIS, HUMPHREY, and PRESTON, Bankruptcy Appellate Panel Judges.

OPINION

ARTHUR I. HARRIS, Bankruptcy Judge.

This appeal requires us to explore the complex intersection between environmental law and bankruptcy. At issue is whether the bankruptcy court abused its discretion when it denied an application for administrative expenses filed by the West Virginia Department of Environmental Protection (WVDEP) against two affiliated Chapter 11 debtors. The bankruptcy court denied WVDEP's administrative expense claims in their...

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