Opinion ID: 152242
Heading Depth: 2
Heading Rank: 2

Heading: Salient Features of the 2000 Plan the OEDA and Ericsson Claims

Text: The 2000 Plan provided treatment of two creditors' claims that are of consequence to this appealthe Oneida Enterprise Development Authority (OEDA) and Ericsson, Inc. (Ericsson). The claims of each were to be paid under the 2000 Plan, and they were to be financed by loans provided by TDS. Both of the claims have since been assigned to TDS. The claims were to be given different treatment depending on whether the 2000 Plan's Primary Plan or Back-up Plan applied. Article V of the 2000 Plan detailed the treatment of the claims under the Primary Plan. If the FCC denied reinstatement of all the licenses or failed to act on Airadigm's petition in a timely manner, then Article X, the Back-up Plan, would apply to OEDA's claim. Here is how OEDA's claim would shake out: under the Primary Plan, OEDA would receive $49 million, [p]rovided that the FCC grant[ed] reinstatement of at least the Minimum Licenses, a term of art. [1] The $49 million was to be paid when the FCC's order reinstating the license became final. 2000 Plan § 5.3. Under the Back-up Plan in Article X, however, OEDA's claim was to be slashed. The Back-up Plan stated: On the Back-up Transfer Date    BuyersTDS shall pay OEDA $2 million in full satisfaction of its secured Claims. 2000 Plan § 10.7. The Back-up Transfer Date was ten days after the date on which TDS no longer had to fund one of the loans that TDS made as part of the 2000 Planthe so-called Funding Termination Date. See 2000 Plan §§ 2.5, 2.24, 6.7. Section 6.7 of the 2000 Plan gave TDS the option to extend the Funding Termination Date beyond that which was spelled out in the plan. Ericsson filed the other important claim that was to be paid under the 2000 Plan. Under the 2000 Plan's Primary Plan, Ericsson would receive $41 million [p]rovided that the FCC grant[ed] reinstatement of at least the Minimum Licenses. [2] The $41 million was to be paid when the FCC's order reinstating the license became final. If fewer than the Minimum Licenses were reinstated, the amount owed to Ericsson would be reduced pursuant to a formula based on the number of licenses that were reinstated. See 2000 Plan §§ 5.2(b), 6.12. Under the Backup Plan, Ericsson generally was not entitled to any payments but was entitled to keep the liens securing the claim. 2000 Plan §§ 10.2, 10.5, 5.2. Payment of OEDA's and Ericsson's claims would be financed by a loan provided by TDS. 2000 Plan §§ 6.4-6.5. The holders of allowed claims were entitled to go to court to force payment of the loans that would pay their claims. 2000 Plan § 12.6 ([T]he holder of an Allowed Claim shall be entitled to take any steps necessary to enforce this Plan against the Debtor, the assets of Debtor or [TDS].).