FAIR-AND-EQUITABLE REQUIREMENT
fair-and-equitable requirement.Bankruptcy. A Bankruptcy Code standard requiring a forced,
nonconsensual Chapter 11 plan (a “cramdown” plan) to provide adequately for each class of
interests that has not accepted the plan. • In determining whether a cramdown plan is fair and
equitable and thus can be confirmed, a bankruptcy court must apply the Code’s detailed statutory
criteria, consider the plan as a whole, and weigh all the circumstances surrounding the treatment
of each impaired class of interests. In addition to the fair-and-equitable requirement, the Chapter
11 cramdown plan must (1) be accepted by at least one impaired class of claims, and (2) not
discriminate unfairly among impaired classes that have not accepted the plan. 11 USCA § 1129(b).
See CRAMDOWN. [Cases: Bankruptcy 3563. C.J.S. Bankruptcy § 396.][Blacks Law 8th]