Common use of Setoffs and Recoupments Clause in Contracts

Setoffs and Recoupments. Each Reorganized Debtor, or such entity’s designee as instructed by such Reorganized Debtor, may, pursuant to section 553 of the Bankruptcy Code or applicable non-bankruptcy law, set off and/or recoup against any Allowed Claim, and the distributions to be made pursuant to the Plan on account of such Allowed Claim, any and all claims, rights and causes of action that a Reorganized Debtor or its successors may hold against the holder of such Allowed Claim after the Effective Date; provided, however, that neither the failure to effect a setoff or recoupment nor the allowance of any Claim hereunder will constitute a waiver or release by a Reorganized Debtor or its successor of any and all claims, rights and causes of action that a Reorganized Debtor or its successor may possess against such holder.

Setoffs and Recoupments. Each Reorganized Debtor, or such entity’s designee as instructed by such Reorganized Debtor, may, pursuant to section 553 of the Bankruptcy Code or applicable non-bankruptcy nonbankruptcy law, set off and/or or recoup against any Allowed Claim, Claim and the distributions to be made pursuant to the this Plan on account of such Allowed Claim, any and all claims, rights rights, and causes Causes of action Action of any nature whatsoever that a Reorganized Debtor or its successors may hold against the holder of such Allowed Claim after the Effective Date; provided, however, that neither the failure to effect a setoff or recoupment nor the allowance of any Claim hereunder will shall constitute a waiver or release by a Reorganized Debtor or its successor of any and all claims, rights and causes rights, or Causes of action Action that a Reorganized Debtor or its successor or assign may possess against the holder of such holderClaim.