Abstract
The question of the appropriate rate for post-petition interest under section 506(b) of the Bankruptcy Reform Act of 19781 ("Bankruptcy Code" or "Code") has been the subject of many, cases decided by courts ranging from the bankruptcy courts to United States Courts of Appeals. In the last few years these courts have applied widely differing analyses and have reached widely disparate results. Because the issue of the rate of post-petition interest concerns the vast majority of all business bankruptcy cases and can have a significant impact on some reorganizations, Congress or the United States Supreme Court needs to resolve this matter in the near future. The question of the appropriate interest rate raises fundamental questions about both bankruptcy policy and the relationship between bankruptcy law and state law. These larger concerns currently are the focus of vigorous debate.
Recommended Citation
Heidt, Kathryn R.
(1991)
"Interest Under Section 506(b) of the Bankruptcy Code: The Right, the Rate and the Relationship to Bankruptcy Policy,"
Utah Law Review: Vol. 1990:
No.
2, Article 2.
Available at:
https://dc.law.utah.edu/ulr/vol1990/iss2/2