‎‎The Court may disqualify a creditor’s vote if irrational and motivated by extraneous considerations

A bankrupt filed a motion to approve a proposed creditors' settlement under which the creditors would be repaid in full. One of the creditors, the ex-wife of the debtor, objected to the arrangement.

The Court rejected the objection of the debtor's ex-wife, disqualified her vote, and held that in exceptional circumstances in which a creditor misuses the right to vote in the matter of the outline of a proposed creditors' arrangement for irrelevant and unreasonable reasons, and the objection may cause damage to other creditors, the court may disqualify the creditor's vote or see it, in certain cases, as agreeing to the proposal.