National Heritage Foundation, Inc. v. Behrmann et al

Filing 25

MEMORANDUM OPINION re: 1 Notice of Appeal from Bankruptcy Court. Signed by District Judge Anthony J Trenga on 04/03/2013. (kbro)

IN THE UNITED STATES DISTRICT COURT
FOR THE EASTERN DISTRICT OF VIRGINIA
Alexandria Division

NATIONAL HERITAGE FOUNDATION
INC.,

Appellant,
No. l:12-cv-1329(AJT/JFA)

v.

JOHN BEHRMANN, et. al

Appellees.

MEMORANDUM OPINION

National Heritage Foundation, Inc. (hereinafter "NHF" or "appellant") appeals the
August 27,2012, decision of the United States Bankruptcy Court for the Eastern District of
Virginia [Doc. No. 1]. In that decision the Bankruptcy Court held that certain non-debtor release

provisions of NHF's Fourth Amended Plan of Reorganization (the "Reorganization Plan" or the
"Plan") were not warranted and severed those provisions from the Reorganization Plan. On
appeal, NHF raises three issues:

1. Whether, on remand, the Bankruptcy Court overstepped the Fourth Circuit's
mandate;

2. Whether the Bankruptcy Court erroneously concluded that the rejected releases
were not essential to NFH's reorganizations, and
3. Whether the Bankruptcy Court otherwise "misconstrued undisputed record
evidence and otherwise misapplied the law in rejecting the Releases...."
See Appellant Br. at 1.

After reviewing the record, the Court finds and concludes that (1) the Bankruptcy Court
did not exceed the mandate on remand; (2) the findings of fact that formed the factual basis for

its decision were not clearly erroneous and are, in fact, fully supported by the record; and (3)