Loretta Hunt reported this on Sherdog on Wednesday, but I realized it hadn't been posted on BE yet. 

Eddie Alvarez had originally lined up two fights in three weeks against dangerous Japanese submission experts, but the result of the first fight against Shinya Aoki has left him unable to to compete against Naoyuki Kotani at an Extreme Challenge event in Atlantic City on 1/23:

In clear pain, Alvarez tapped to a heel hook from Aoki at 1:33 of the fight at K1 Dynamite 2008 on New Year's Eve, but apparently sustained some moderate damange from the dangerous leg lock:

Though an MRI has revealed no tears or other substantial damage to Alvarez’s knee, the popular Philadelphia-bred fighter said ligaments are "looser than they should be" and he will take the time to recuperate properly, he told Sherdog Radio’s "Beatdown" on Wednesday.

Alvarez (15-2) said if the bout had come a month later he would have been ready to compete.

Extreme Challenge promoter Monte Cox, who also manages Alvarez, said the bout between Alvarez and Kotani will likely be rescheduled for a later date at the same venue. Cox is currently making final arrangements for a new main event.