IN RE PACIFIC LUMBER CO.

No. 08-40746.

584 F.3d 229 (2009)

In the Matter of: THE PACIFIC LUMBER CO.; Scotia Pacific Company, LLC, Debtors. Bank of New York Trust Company, NA, as Indenture Trustee for the Timber Notes; Angelo Gordon & Co., LP, Aurelius Capital Management, LP, and Davidson Kempner Capital Management, LLC; Scotia Pacific Company, LLC; CSG Investments; Scotia Redwood Foundation, Inc., Appellants, v. Official Unsecured Creditors' Committee; Official Unsecured Creditors' Committee Appellee, Marathon Structured Finance Fund, LP; Mendocino Redwood Company, LLC; The Pacific Lumber Co.; United States Justice Department; California State Agencies, Appellees.

United States Court of Appeals, Fifth Circuit.

September 29, 2009.


Attorney(s) appearing for the Case

Oscar Rey Rodriguez, Toby L. Gerber, Ryan E. Manns, Louis Raymond Strubeck, Jr., Greg Michael Wilkes, Fulbright & Jaworski, L.L.P., Dallas, TX, R. Andrew Black, Zack A. Clement, William Richard Greendyke, Fulbright & Jaworski, L.L.P., Houston, TX, Roy Theodore Englert, Jr. (argued), Robbins, Russell, Englert, Orseck & Untereiner, Washington, DC, for Bank of New York Trust Co., NA, Appellant.

Isaac M. Pachulski, Jeffrey H. Davidson, Eric D. Winston, Stutman, Treister & Glatt, Los Angeles, CA, for Angelo Gordon & Co., LP, Aurelius Capital Management, LP and Davidson, Kempner Capital Management, LLC, Appellants.

Eric J. Fromme, Gibson, Dunn & Crutcher, L.L.P., Irvine, CA, for Scotia Pacific Co., LLC, Appellant.

Murry B. Cohen, Akin, Gump, Strauss, Hauer & Feld, Roger Dale Townsend, Alexander, Dubose & Townsend, LLP, Houston, TX, Joseph Carl Cecere, Charles R. Gibbs, Akin, Gump, Strauss, Hauer & Feld, L.L.P., Dallas, TX, for CSG Investments and Scotia Redwood Foundation, Inc. Appellants.

Maxim Boris Litvak, Pachulski, Stang, Ziehl, Young, Jones, San Francisco, CA, for Official Unsecured Creditors Committee, Appellee.

Steven M. Schwartz, David Neier, Winston & Stawn, New York City, John David Penn, Haynes & Boone, L.L.P., Fort Worth, TX, for Marathon Structured Finance Fund, LP, Appellee.

Allan S. Brilliant (argued), Brian D. Hail, Goodwin Procter, New York City, Frederick Craig Schafrick, Richard Michaels Wyner, Goodwin Procter, Washington, DC, for Mendocino Redwood Co., LLC, Appellee.

Nathaniel Peter Holzer, Jordan, Hyden, Womble, Culbreth & Holzer, Corpus Christi, TX, for Pacific Lumber Co., Appellee.

Bradford T. McLane, James C. Kilbourne, Alan S. Tenenbaum, U.S. Dept. of Justice, Environment & Natural Resources Div., Washington, DC, for U.S. Justice Dept., Appellee.

Paul J. Pascuzzi, Felderstein, Fitzgerald, Willoughby & Pascuzzi, LLP, Sacramento, CA, Michael W. Neville, San Francisco, CA, for California State Agencies, Appellee.

Hugh Matthew McDonald, Thacher, Proffitt & Wood, New York City, for The American Securitization Forum, Amicus Curiae.

Before JONES, Chief Judge, and OWEN and SOUTHWICK, Circuit Judges:


EDITH H. JONES, Chief Judge:

In this direct appeal from the bankruptcy court, The Bank of New York ("Indenture Trustee") and certain Noteholders1 challenge the legality of a confirmed Chapter 11 reorganization plan ("plan"). Neither the bankruptcy court nor a motions panel of this court stayed plan confirmation pending appeal. In the brief interval between confirmation and oral argument in this court, the plan was substantially consummated...

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