The bankruptcy trustee of the California company behind the “Girls Gone Wild” video series asked the court Monday to approve a settlement with the Chapter 7 trustee of Mantra Films Inc., which would favorably resolve claims that the debtors sold videos owned by Mantra.
Nortel Networks Corp. units and their creditors will have an extra month to prepare for the battle over the defunct Canadian telecom's $7.5 billion in liquidation proceeds, as the judges set to preside over the cross-border trial agreed Tuesday to push the start back to May.
A Delaware bankruptcy judge on Tuesday gave the green light to a settlement between defunct electric carmaker Coda Holdings Inc. and employees suing it for allegedly improper layoffs, this over the objections of a unit of the debtors private equity buyer Fortress Investment Group LLC.
Residential Capital LLC on Tuesday said the objections of a group of junior secured noteholders cannot block the confirmation of its liquidation plan, saying the plan resolves billions of dollars in claims and has almost unanimous support otherwise.
TMT Group asked a Texas bankruptcy judge on Monday to order the release of three of its ships seized around the globe by creditors, saying the company is incurring millions in port charges and a foreign government is threatening to auction two of the boats.
Bankrupt hotel operator BPP LLC and creditor Citizens Bank of Pennsylvania dueled in Texas bankruptcy court Monday over whether BPP’s failure to sell off hotel assets under its reorganization plan should justify the appointment of a receiver.
High-end grocery chain Fresh & Easy Neighborhood Market Inc. canceled the bankruptcy auction for 150 of its stores set for Tuesday, deeming the stalking horse bid from a unit of private equity firm Yucaipa Cos. LLC to be the only qualified one.
The federal government told the Second Circuit on Friday that it's entitled to recoup part of an $8.7 million tax refund paid to bankrupt PT-1 Communications Inc.'s trustee to offset a tax liability related to a settlement over the 2001 sale of PT-1's phone card business to IDT Corp.
Private equity-backed oil firm Goldking Holdings LLC on Monday urged a Delaware bankruptcy judge to reject a bid by its former chief executive to transfer its Chapter 11 cases to another state, saying such a move would benefit neither the company nor its creditors.
Dewey & LeBoeuf LLP’s trustee hit former equity partner William C. Marcoux with a $4.2 million adversary complaint in New York bankruptcy court Friday, alleging that even after the firm's insolvency, Marcoux was paid distributions based on purported profits.
New York is getting a new U.S. Trustee for its bankruptcy courts, as the U.S. Department of Justice announced Monday that William K. Harrington will fill that position when the current trustee for New York, Tracy Hope Davis, takes over the role in parts of California and Nevada.
The Federal Trade Commission has settled with a bankrupt online payment processing outfit accused of helping work-at-home scammers evade detection by Visa Inc. and Mastercard Inc. anti-fraud controls and swindle $16 million from consumers, it said Monday.
A former LexisNexis Group CEO, along with private equity firm Warburg Pincus LLC, on Friday objected to the upcoming asset sale of bankrupt Florida-based data solutions provider TLO LLC, saying that as a competing bidder they need more information about a $105 million stalking horse bid.
A Pennsylvania judge authorized the Harrisburg city receiver to implement the city’s financial recovery plan to settle more than $350 million in debt, saying Monday that if the controller continued to delay the plan, then the receiver could sign the contracts instead.
Seven law firms whose stars had dimmed in the eyes of general counsel are once again shining bright, and two up-and-coming legal sparklers are suddenly radiating excellence, according to a new survey of corporations’ favorite firms.
A couple on Bravo's “The Real Housewives of New Jersey” faced additional indictments Monday for bank and loan application fraud, the New Jersey U.S. attorney's office said, adding to the couple's previous 39-count bank and bankruptcy fraud indictment that claims the couple bilked lenders out of almost $5 million.
Skadden Arps Slate Meagher & Flom LLP stands alone among elite law firms in the arena of client service thanks to a concerted long-term effort to respond to client feedback, according to a new survey of corporate counsel.
Bankrupt Overseas Shipholding Group Inc. filed an adversary complaint Monday accusing former counsel Proskauer Rose LLP of malpractice for allegedly giving the oil tanker company faulty advice it claims saddled it with hundreds of millions of dollars of “completely avoidable” tax liability.
LightSquared Inc. took aim at Dish Network Corp. and its chairman Charlie Ergen in New York bankruptcy court Friday, alleging breach of contract and that the billionaire has used his various investment vehicles to scam his way into taking over the failed wireless startup once it exits Chapter 11.
The fickle feelings of corporate counsel are apparent once again in an annual survey gauging which law firms deliver the most sterling client service, as one-third of last year's favorites were cast aside after being outflanked by hungry rivals.
Lawyers who aren’t actively engaged in online reputation management not only miss out on valuable opportunities but also run the risk of actually harming their marketing efforts, say Cristina Vivenzio Brennan of Wolf Greenfield & Sacks PC and Lisa Ramsey Woodford of Paris Social Media Marketing.
It’s an American city and a symbol of an entire industry that experiences an average of 14 arson incidents a day. That alone may sound shocking, but in this city, if you happen to witness an arson and call to report the arson, it takes an average of 58 minutes for the police to arrive. The entire city barely functions on an antiquated infrastructural system, where million-dollar checks can go missing in desk drawers. Welcome to Detroit in 2013, says Joseph Rothberg of Ezra Brutzkus Gubner LLP.
In the American Airlines case, the Second Circuit affirmed the ruling by the Bankruptcy Court for the Southern District of New York on all counts. As the case demonstrates, default-on-bankruptcy and automatic acceleration clauses are outside the scope of the ipso facto prohibitions of section 365(e)(1) and similar sections of the Bankruptcy Code, says Ted Zink of Chadbourne & Parke LLP.
In re BankUnited Financial Corp., recently decided by the Eleventh Circuit, is important because it is a precedential decision from a circuit court of appeals and one of only a few decisions on the interpretation of tax sharing agreements in bankruptcy. The case also merits comparison with the Second Circuit case, In re First Central Financial Corp., because each court interpreted TSAs and reached different results, say attorneys with Kramer Levin Naftalis & Frankel LLP.
During the course of a bankruptcy case, the debtor or other plan proponent may determine that the plan requires modification, which may be deemed necessary for any number of reasons, including to correct errors and address objections. The permissibility of the modification and the process to be employed will depend upon where the plan is in the confirmation process, says Gary Kaplan of Fried Frank Harris Shriver & Jacobson LLP.
Some may suggest that the U.S. Department of Justice's suit to block the $11 billion merger of US Airways Group Inc. and AMR Corp. is indicative of an emboldened antitrust enforcement philosophy at the DOJ. More likely, however, this litigation demonstrates that prior mergers in an industry often can make it more difficult for subsequent transactions to pass antitrust muster, says Claudia Higgins of Kaye Scholer LLP.
Every law firm knows the importance of a conflicts check before beginning a representation, but what happens when it serves discovery requests or a subpoena on a third party, only to discover that the third party is a current or former client? As firms get larger, and litigations become more complex, this issue is bound to come up, say Shari Klevens and Alanna Clair of McKenna Long & Aldridge LLP.
The Eighth Circuit Bankruptcy Appellate Panel decision in In re WEB2B Payment Solutions Inc. underscores two basic requirements for secured creditors. First, keep track of your method of perfection and do not assume that compliance with other provisions of the Bankruptcy Code preserves perfection. Second, adequate protection is not automatic protection — it must be requested, say Adam Rogoff and Shai Schmidt of Kramer Levin Naftalis & Frankel LLP.
Effective defense advocates should press the critics of in pari delicto to answer a number of fundamental questions. First, though, defense counsel should explain that the critics’ attacks on the in pari delicto defense are about loss-spreading — not fairness, says Andrew Morris, a partner with Morvillo LLP and former federal prosecutor.
A party-in-interest can request that the court revoke an order of a Chapter 11 confirmation if the order was procured by fraud, but many courts require the movant to demonstrate instances of actual fraudulent intent. Simply alleging, for example, that the debtor submitted false or fraudulent financial statements in the disclosure statement is, by itself, not a showing of actual fraudulent intent, says Gary Kaplan of Fried Frank Harris Shriver & Jacobson LLP.