Expert Analysis

• Subchapter V Eligibility Ruling Raises Uncertainty For Tenants

  

  A Virginia bankruptcy court’s recent ruling in Macedon Consulting — that all remaining rent under a lease should be factored into a lessee's Subchapter V eligibility — raises the question, but does not address, how a court should calculate the amount of debt owed under a lease, creating significant risk for potential tenant debtors, says Sam Ashuraey at Ashuraey Law.

• Ch. 11 Ruling Sets New Standard For Using Reinstatement

  

  A New York bankruptcy court’s recent ruling in Golden Seahorse, which concluded that Section 365(b)(2)(D) of the U.S. Bankruptcy Code only creates a cure exception for nonmonetary defaults, sets a high bar for challenging the requirement to pay default interest as a condition to reinstatement of a loan agreement under a Chapter 11 plan, says Debra Dandeneau at Baker McKenzie.

• Caregiver Flexibility Is Crucial For Atty Engagement, Retention

  

  As the battle for top talent continues post-pandemic, many firms are attempting to attract employees with progressive hybrid working environments — and supporting caregivers before, during and after an extended leave is a critically important way to retain top talent, says Manar Morales at The Diversity & Flexibility Alliance.

• How A Union Fight Played A Key Role In Yellow's Bankruptcy

  

  Finger-pointing between company and union representatives appears to be front and center at the early stages of trucking company Yellow’s bankruptcy case, highlighting the failed contract negotiations' role in the company's demise, says George Singer at Holland & Hart.

• The FTC May Be Expanding Its Monetary Relief Toolbox

  

  The Federal Trade Commission's recent settlement with crypto exchange Celsius — which resolved a Gramm-Leach-Bliley Act pretexting count — reveals an attempt to significantly expand the FTC's authority to obtain monetary relief in ordinary matters regarding unfair or deceptive acts or practices, says Nikhil Singhvi at Covington.

• Bankruptcy Ruling Shows Section 363's Magic Has Its Limits

  

  The Ninth Circuit Bankruptcy Appellate Panel's recent ruling in Groves demonstrates that Section 363 — which allows a debtor-in-possession to sell their property in order to generate cash — fails as a tool when it’s used to turn a nondebtor entities' property into property of a debtor's bankruptcy estate, says Brian Shaw at Cozen O'Connor.

• Serta Simmons Ch. 11 Expands Split On Credit Agreements

  

  The recent confirmation of Serta Simmons' Chapter 11 plan by a Texas bankruptcy court judge furthers a split in case law between narrow interpretation of credit agreement provisions and a more holistic approach focused on the practical effect of the uptiering transaction on minority lender rights, say attorneys at Schulte Roth.

• How High Court Is Assessing Tribal Law Questions

  

  The U.S. Supreme Court's four rulings on tribal issues from this term show that Justice Neil Gorsuch's extensive experience in federal Native American law brings helpful experience to the court but does not necessarily guarantee favorable outcomes for tribal interests, say attorneys at Dorsey & Whitney.

• In-Office Engagement Is Essential To Associate Development

  

  As law firms develop return-to-office policies that allow hybrid work arrangements, they should incorporate the specific types of in-person engagement likely to help associates develop attributes common among successful firm leaders, says Liisa Thomas at Sheppard Mullin.

• Shifts In The CRE Landscape Demand Creative Loan Solutions

  

  An increase in commercial real estate loan workouts makes it critical for borrowers, lenders and other CRE participants to examine all the available options and remedies, including mortgage and mezzanine foreclosures, bankruptcy filings and property short sales, say attorneys at Goulston & Storrs.

• Perspectives

  A Judge's Pitch To Revive The Jury Trial

  

  Ohio state Judge Pierre Bergeron explains how the decline of the jury trial threatens public confidence in the judiciary and even democracy as a whole, and he offers ideas to restore this sacred right.

• Opinion

  Calif. Policymakers Should Aid Crashing Cannabis Market

  

  As California’s cannabis sector nears the brink of financial collapse, it may be time for the state government to seriously consider potential bailout programs for the embattled industry — though the crisis also presents strategic buying opportunities for those with a high tolerance for uncertainty, says Michelle Mabugat at Greenberg Glusker.

• How To Recognize And Recover From Lawyer Loneliness

  

  Law can be one of the loneliest professions, but there are practical steps that attorneys and their managers can take to help themselves and their peers improve their emotional health, strengthen their social bonds and protect their performance, says psychologist and attorney Traci Cipriano.

• A Smoother Process For CRE Receiverships In Conn.

  

  A newly effective Connecticut law concerning distressed commercial real estate provides a number of opportunities and strategic considerations for creditors, and should be watched even by counsel in other states as adoption of the law could become more widespread, say John Loughnane and Steven Coury at White and Williams.

• Opinion

  Litigation Funding Disclosure Should Be Mandatory

  

  Despite the Appellate Rules Committee's recent deferral of the issue of requiring third-party litigation funding disclosure, such a mandate is necessary to ensure the even-handed administration of justice across all cases, says David Levitt at Hinshaw.