In a recent decision of interest to the leasing community, the U.S. District Court of Maryland has held that a Chapter 11 debtor could assume a software license agreement (SLA), as an executory contract, although the agreement contained a clause that the debtor could not “assume or assign” the agreement, and even though the assignability of the SLA was clearly precluded by federal copyright law.
Debtor May Assume License as Executory Contract Despite Anti-Assignment Language
In a recent decision of interest to the leasing community, the U.S. District Court of Maryland has held that a Chapter 11 debtor could assume a software license agreement (SLA), as an executory contract, although the agreement contained a clause that the debtor could not "assume or assign" the agreement, and even though the assignability of the SLA was clearly precluded by federal copyright law.
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Cherie S. RaidyThis premium content is locked for LawJournalNewsletters subscribers only
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