Bankruptcy

  • August 26, 2016

    SunEdison Wants Class Actions Consolidated In New York

    SunEdison, TerraForm and other defendants in 15 lawsuits brought against the bankrupt solar company urged the Judicial Panel on Multidistrict Litigation on Thursday to consolidate the cases in New York because they share common factual issues, but non-class action plaintiffs countered that the transfer would unnecessarily delay their litigation.

  • August 26, 2016

    High Court Asked To Revisit Bankruptcy Code's Safe Harbor

    A litigation trustee has asked the U.S. Supreme Court to overturn a Second Circuit ruling that the Bankruptcy Code preempted her suit attempting to claw back $143 million Barclays PLC received ahead of SemGroup LP's bankruptcy, saying the ruling wrongly trampled state law.

  • August 26, 2016

    SEC, IRS Say Wyly Ch. 11 Plan Flawed By Isle Of Man Trusts

    The IRS on Friday objected to a Chapter 11 plan proposed in Texas bankruptcy court by the widow of business tycoon Charles Wyly, echoing concerns raised by the U.S. Securities and Exchange Commission that there’s no way to ensure Wyly assets held in Isle of Man trusts would be transferred to fund the plan.

  • August 26, 2016

    Bankrupt Steakhouse Chain Wants Time To Decide NFL Deal

    Bankrupt casual dining chain Logan’s Roadhouse pushed back Friday against the bid by the National Football League’s Tennessee Titans to force it to hurry a decision on whether to reject its sponsorship deal, arguing the case is young and there is no need for such haste.

  • August 26, 2016

    SFX Disputes Creditor Call To Delay Ch. 11 Disclosure Action

    Global music festival company SFX Entertainment Inc. urged a Delaware bankruptcy judge Friday to reject an unsecured creditor call to delay action on the company’s Chapter 11 disclosure, saying that recent disputed plan changes reflect improved creditor recoveries and leave open rights to object to final plan confirmation.

  • August 26, 2016

    Aeropostale's Future In Doubt As Auction Looms

    The future of retailer Aeropostale appeared in doubt on Friday after the company’s attorney said it has received multiple bids to liquidate the business and a New York judge refused its request to limit leverage of lender Sycamore Partners, which Aeropostale accused of forcing it into Chapter 11, at an upcoming auction.

  • August 26, 2016

    Ex-Lightsquared CEO Takes Bankruptcy Suit To High Court

    LightSquared Inc.'s former chief executive has asked the U.S. Supreme Court to upend a Chapter 11 plan he says unfairly hands some $100 million in value to a hedge fund simply for dropping what the ex-CEO calls “nuisance” lawsuits.

  • August 26, 2016

    Judge Sinks Marine Fuel Shippers' Bid For Payment

    A New York federal court Thursday turned down attempts by two fuel suppliers left with unpaid bills by bankrupt marine fuel shipper OW Bunker A/S to collect their money from the company's banker or the ships they had serviced.

  • August 26, 2016

    Scrapbookers' McDermott Malpractice Suit Now But A Memory

    McDermott Will & Emery LLP on Thursday beat a suit in Ohio federal court accusing it of committing malpractice by failing to tell defunct scrapbooking giant Antioch Co. LLC to sue its directors for breach of fiduciary duty in connection with a 2003 deal that sold the company to its employees, saying the suit would have failed anyway.

  • August 26, 2016

    Judge Lifts The Brakes On Caesars Creditor Suits

    An Illinois bankruptcy judge on Friday rejected pleas by Caesars' indebted operating unit to protect the casino behemoth from four creditor lawsuits that have been on hold for months, saying that he wouldn't extend the stay beyond its Aug. 29 cutoff date. 

  • August 26, 2016

    EFH Gets Green Light For First Phase Of Ch. 11 Exit

    The Delaware bankruptcy judge presiding over Energy Future Holdings Corp.’s bankruptcy gave his OK on Friday to the first phase of the power giant’s Chapter 11 exit, allowing the company to spin off its major operating unit in what is hoped will be a mostly tax-free transaction.

  • August 26, 2016

    Molycorp Urges Court To Convert, Not Dismiss, Mine's Ch. 11

    Molycorp Inc. asked a Delaware bankruptcy judge on Thursday not to dismiss the Chapter 11 case dealing with the rare minerals producer's insolvent California mine as the mine's trustee has urged, but instead to convert the case to a Chapter 7 proceeding.

  • August 26, 2016

    Atlas Resources Cleared For Ch. 11 Exit A Month After Filing

    A New York judge said Friday that he would approve a plan from Atlas Resource Partners LP that’s expected to reduce its debt by $900 million and hand control of the oil and gas business to its lenders, clearing Atlas’ exit from bankruptcy less than a month after filing for Chapter 11 protection.

  • August 26, 2016

    PwC Reaches Deal Amid $5.5B Taylor Bean Trial

    PricewaterhouseCoopers LLP has reached a midtrial settlement of claims brought by the trustee for Taylor Bean & Whitaker Mortgage Corp. that the accounting giant allegedly made possible a $5.5 billion fraud at the bankrupt mortgage lender, an attorney for the trustee said Friday.

  • August 25, 2016

    Objectors Say $275M Breakup Fee Too Big In $18B EFH Deal

    A trio of parties objected Thursday in Delaware bankruptcy court to a proposed $18.4 billion merger of bankrupt Energy Future Holdings' interest in Oncor Electric Delivery Co. LLC, saying that a breakup fee included in the proposal is too large and will chill the solicitation of other bids for the assets.

  • August 25, 2016

    Primorsk Cleared To Poll Creditors On Liquidation Plan

    A New York bankruptcy judge has approved Primorsk International Shipping Ltd.’s request to begin polling creditors on its proposal for divvying up proceeds from a $215 million sale of its vessels to Russian shipper SCF Tankers.

  • August 25, 2016

    Wells Fargo To Pay Homeowners $3.45M Over Mailing Error

    Wells Fargo & Co. agreed to pay some homeowners in bankruptcy $3.45 million after it uncovered a mailing error that resulted in some people getting documents about payment changes a few days late, according to a letter to the government on Wednesday.

  • August 25, 2016

    Toshiba JV Says Dell Can't Take Discovery Spat To 3rd Circ.

    Toshiba Samsung Storage Technology Korea Corp. accused Dell Inc. of overdramatizing a ruling blocking it from deposing TSST employees in a price-fixing case during the joint venture's Chapter 15 bankruptcy, urging a Delaware bankruptcy court on Thursday to reject Dell's bid to involve the Third Circuit.

  • August 25, 2016

    AAI Wins Some Depositions In $1B Boeing Dispute

    An Alabama federal judge on Thursday allowed bankrupt Alabama Aircraft Industries Inc. to again depose Boeing Co.’s in-house attorney and another employee in the companies’ dispute over $1.2 billion in government contracts, but withheld a ruling on a request for sanctions.

  • August 25, 2016

    WR Grace, Hospital Must Mediate Asbestos Property Claims

    A Delaware bankruptcy judge on Thursday denied an attempt by Anderson Memorial Hospital to revive a proposed class action against reorganized mining and material company W.R. Grace & Co. for alleged property damage from asbestos-laced material and ordered the parties into mediation.

Expert Analysis

  • Defining Attorney-Client Relationships In The Electronic Age

    Elizabeth Fitch

    As technology has advanced, the ways in which attorneys communicate with clients, potential clients, former clients and the public has created new and ill-defined issues relating to whether an attorney-client relationship exists. Attorneys Elizabeth Fitch and Theodore Schaer discuss the often nebulous yet hazardous concepts that could lead to malpractice issues.

  • State Of Texas Legal Market: It Isn’t Just About Oil

    Geoff Schuler

    Some market watchers believe that law firms with significant energy-related practices have experienced precipitous declines in revenue and profits due to the dip in oil prices. Yet, firms continue to be bullish on Texas, and those still looking for a point of entry will jump at the right opportunity, say consultants with LawVision Group LLC.

  • 4 Reasons Law Firm Business Development Initiatives Fail

    Adam Donovan

    By understanding four common reasons why law firm business development initiatives fail, we can more accurately define success, avoid pitfalls, and improve return on investment, says Adam Donovan, senior manager of patent business strategy at Fish & Richardson PC.

  • What Happens When A State Runs Out Of Money?

    Joseph V. Kennedy

    A number of states, including Illinois, New Jersey and Ohio, could become insolvent in the next two decades. It is not too early for Congress and the next president to start planning. Both the Detroit and Puerto Rico bankruptcies were preceded by years of denial in the face of increasingly inevitable facts, says Joseph Kennedy, former chief economist for the U.S. Department of Commerce.

  • The Psychological Edge Of Relieving Stressed Jurors

    Roy Futterman

    To guide overwhelmed jurors toward a calm, logical defense verdict in a high-stakes case, an attorney can apply the same psychological techniques that were developed in the treatment of substance abuse, says Dr. Roy Futterman, a clinical psychologist and director at DOAR Inc.

  • New Uncertainty Surrounds Disputes Over Foreign Stays

    Brian M. Wells

    A recent decision by the U.S. Bankruptcy Court for the Western District of Texas in the case of Sanjel adds a wrinkle to the case law addressing the domestic application of foreign stays through Chapter 15, and in particular, whether it is appropriate for a bankruptcy court to modify or limit a foreign stay, says Brian Wells of Weil Gotshal & Manges LLP.

  • From BigLaw To Your Own Firm: 4 Tips For Legal Startups

    Russell Shinsky

    Highly successful attorneys who are thinking about leaving the safe haven of a large law firm to go out on their own face a number of issues specific to the legal profession. Russell Shinsky, chairman of Anchin Block & Anchin LLP's law firms industry group, shares four pillars of a successful startup law firm.

  • Energy Finance Attys Are Shifting Focus In Tough Times

    Kraig Grahmann

    In the boom years of 2011 through 2014, energy lenders were directing their attorneys to “loosen up” credit agreements. Today’s distressed environment has seen lenders and their attorneys turn 180 degrees to shift their focus to a range of new issues, say Kraig Grahmann and Buddy Clark of Haynes and Boone LLP.

  • 4 Communications Fundamentals For High-Stakes Litigation

    Michael J. Gross

    The court of public opinion can mete out judgments as harsh as those rendered by a court of law, which is why communications professionals and attorneys should be working together to protect their clients’ reputation and advance their legal objectives as litigation proceeds, as well as when decisions or settlements are reached, say Michael Gross and Walter Montgomery at Finsbury.

  • Is Bank Debt A Security? GM's Dangerous Implications

    Thomas Moers Mayer

    Borrowers, agent banks, syndicate members and secondary market purchasers incur, syndicate, sell and buy bank debt on the assumption that bank debt is not a “security.” However, a recent New York bankruptcy court opinion in the General Motors preference litigation shows that such an assumption may no longer be valid, says Thomas Moers Mayer, co-chairman of the corporate restructuring and bankruptcy department at Kramer Levin Naftal... (continued)