In re Circle K Corp

In In re Circle K Corp. (Bankr. D. Ariz. 1995) 181 B.R. 457, the bankruptcy court dismissed creditors' motion to revoke a confirmed plan for fraud as moot, but concluded "plaintiffs may proceed on a damages claim theory." (Id. at pp. 459-460.) The creditors then amended their suit against the debtor and affiliated companies to claim damages for fraud during the confirmation process. (Id. at p. 463.) The bankruptcy court held that the amended claims were not barred by 11 United States Code section 1144 and refused to dismiss the action because the remedies sought did not require revocation of the plan, indicating the court could fashion a damage remedy that did not upset the plan if the plaintiffs were successful. (In re Circle K Corp., at p. 462.)