Bankruptcy

  • April 20, 2018

    Sanctions Bid Advances Against Fla. Firm, Billionaire

    A bankruptcy judge on Friday ordered Florida law firm Fowler White Burnett PA and convicted billionaire sex offender Jeffrey Epstein to show cause why they should not be held in contempt of court for allegedly retaining copies of another firm's confidential documents in violation of the court's order.

  • April 20, 2018

    Toys R Us Fetches $235M Offer For Canadian Stores

    Toys R Us has entered into an agreement to sell its Canadian stores and assets for at least C$300 million (roughly $235 million), the bankrupt retail giant said in a court filing Thursday, stating that Toronto-based Fairfax Financial Holdings Ltd. has come in as a stalking horse bidder.

  • April 20, 2018

    Puerto Rico Sales Tax Bond Fight Sparks Muni Market Anxiety

    Municipal bond investors are paying close attention to what happens in a pending court fight over the validity of bondholder liens on Puerto Rican sales tax, experts say, warning of widespread consequences should investments thought to be bankruptcy-proof turn out otherwise.

  • April 20, 2018

    NY Wheel Dismissal Ruling Put Off For Renewed Mediation

    A Delaware judge on Friday put off until next week ruling on the dismissal of the Chapter 11 case of the bankrupt design and build team for the proposed New York observation wheel, after attorneys for the team said they had restarted negotiations with the project’s developer.

  • April 20, 2018

    Key Safety Not Covered For Interest In AIG Dispute: 6th Circ.

    Key Safety Systems Inc., which recently purchased Takata Corp.’s assets at a bankruptcy auction, cannot force an AIG unit to pay nearly $600,000 in post-judgment interest racked up in an underlying suit over a car crash, the Sixth Circuit affirmed on Friday.

  • April 19, 2018

    Puerto Rico Fed Board Approves Pension-Cutting Fiscal Plan

    The federal panel empowered to restructure Puerto Rico's debts and shore up its finances certified six-year fiscal plans for the island on Thursday, bucking the resistance by the territory’s government to pension reform and other austerity measures in an effort to fix the island’s debt crisis and instill investor confidence.

  • April 19, 2018

    Lehman Judge Fumes At RMBS Trusts' Distribution Moves

    Trustees for investors who bought toxic residential mortgage-backed securities from Lehman Brothers Holdings Inc. before the 2008 financial crisis got an earful Thursday from a New York bankruptcy judge who fumed that their concerns over how to distribute funds from a $2.4 billion settlement could have been raised months ago.

  • April 19, 2018

    Envelope Maker's 3rd-Party Releases Draw Ch. 11 Trustee's Ire

    The U.S. Trustee’s Office objected in New York bankruptcy court Wednesday to envelope maker Cenveo Inc.’s Chapter 11 plan disclosure statement, saying its “overbroad” third-party liability releases bind creditors that cannot or do not vote for the plan.

  • April 19, 2018

    Barnes & Thornburg Nabs 3 Restructuring Attys From Cooley

    Barnes & Thornburg LLP announced it has picked up two new partners and an associate from Cooley LLP, bolstering the firm’s finance, insolvency and restructuring department in its newly opened San Diego office, as well as its Los Angeles office.

  • April 19, 2018

    Weinstein Co. Says Dozens Of Buyers Have Shown Interest

    Bankrupt movie studio The Weinstein Co. told a Delaware judge Thursday that since its auction plan received court approval this month it has received more than 50 expressions of interest from potential buyers for its assets.

  • April 19, 2018

    NextEra Fights To Keep $275M Termination Fee At 3rd Circ.

    NextEra Inc. urged the Third Circuit on Thursday to reinstate a $275 million termination fee it won after its deal to buy assets from Dallas-based Energy Future Holdings Inc.’s Chapter 11 estate fell through, arguing that there was no manifest error plaguing the award that warranted its later reversal.

  • April 19, 2018

    1st Circ. Upholds $2.7M Payment From Bankrupt Railroad

    Despite not being sold on their reasoning, the First Circuit on Wednesday upheld two lower court rulings that found the Federal Railroad Administration had properly distributed $2.7 million from a bankrupt freight railroad to an Ohio-based railway company that had furnished the troubled carrier a line of credit.

  • April 18, 2018

    Mediation Progress Pushes Zohar Dismissal Trial One Week

    Attorneys for bankrupt investment vehicles the Zohar Funds told a Delaware judge Wednesday afternoon that their efforts to mediate issues in the cases had progressed far enough that the parties were comfortable adjourning a motion to dismiss the Chapter 11 filings until next week to allow for further talks.

  • April 18, 2018

    Bon-Ton's Ch. 11 Liquidation Sale Approved By Del. Court

    Bankrupt retailer Bon-Ton Stores Inc. received court approval Wednesday in Delaware for a transaction that will see all of its 256 store locations liquidated in the coming months after failing to receive a going-concern offer that satisfied the court.

  • April 18, 2018

    Trustee Slams Patriot National Ch. 11 Plan On Ghost Releases

    The U.S. Trustee’s Office objected Wednesday to the latest version of insurance company servicer Patriot National Inc.’s Chapter 11 plan, saying it contains unjustified legal releases and goes too far in blocking late claims.

  • April 18, 2018

    'Hotel Mumbai' Producer Sues Weinstein Co. To Nix Contract

    An Australian film production company Monday asked the Delaware bankruptcy court to cancel a distribution deal The Weinstein Co. has listed as an asset in its Chapter 11 case, saying it was fraudulently induced into a deal that has been effectively dead for months.

  • April 18, 2018

    No Quick End To Relativity Co-Founder Fraud Claims: Judge

    A New York bankruptcy judge is refusing for now to shut down fraud claims against Relativity Media LLC co-founder Ryan Kavanaugh, demanding briefing Wednesday on whether a litigation release that applies to board members also applies to the plaintiff — who was indeed a board member — when he's wearing another hat.

  • April 18, 2018

    ATP Vendors' Mineral Liens Void, 5th Circ. Says

    The Fifth Circuit on Tuesday rejected an attempt by creditors of bankrupt ATP Oil and Gas Corp. to collect on liens from the current owner of ATP’s offshore royalty rights, saying that while state law allowed the liens, it also contained a provision shielding the new owner.

  • April 18, 2018

    High Court Not Sure Restitution Law Covers GE's Legal Fees

    The federal government faced headwinds at the U.S. Supreme Court on Wednesday while defending a roughly $16 million restitution order against a former trucking company CEO who defrauded General Electric Capital Corp., as various justices voiced skepticism that the CEO should have to pay GE's pricey legal fees under a federal victim's restitution law.

  • April 17, 2018

    High Court Weighs Issue Of Fraud In Discharging Debts

    The U.S. Supreme Court tackled thorny questions Tuesday over exemptions to a debtor’s ability to discharge liabilities in bankruptcy, as counsel for an Atlanta law firm duped by an insolvent client urged the justices to follow a “baseline rule” that “a debt procured by fraud is not dischargable.”

Expert Analysis

  • Best Practices For Building A Better Meeting

    Nicholas Cheolas

    How can we improve meetings in the legal industry, which tends to evolve with the speed of a tranquilized water buffalo mired in quicksand? Breaking it down to three phases can yield significant benefits, says Nicholas Cheolas of Zelle LLP.

  • 5 Ways Law Firms Are Becoming More Like Hotels

    Bella Schiro

    One way law firms differentiate themselves from the competition to attract and retain top talent is through their real estate and workplace strategies. Taking a lead from the hospitality industry can help create a more inviting, welcoming and collaborative workspace environment, says Bella Schiro of Jones Lang LaSalle Inc.

  • The Impact Of Tax Reform On Film, TV And Print Media: Part 2

    Michele Alexander

    The Tax Cuts and Jobs Act has imposed new limitations on a corporation’s ability to take advantage of net operating losses. Certain changes will disproportionately affect media companies, impacting their debt restructuring, acquisition and disposition strategies, say Michele Alexander and Ryan Davis of Bracewell LLP in New York.

  • Opinion

    Gorsuch's 1st Year Shows He Is A Conservative Activist

    Elliot Mincberg

    In his first year on the U.S. Supreme Court, Justice Neil Gorsuch has proven to be a narrow-minded elitist who consistently votes in favor of corporations and the powerful, acting to roll back protections for workers, consumers, LGBTQ individuals and other marginalized communities, says Elliot Mincberg of People for the American Way.

  • The Many Challenges Facing Venezuela Bribery Suit: Part 2

    Richard Cooper

    Resolution of the standing issues raised in the U.S. bribery suit brought by Venezuela’s state-owned oil company PDVSA may have implications not just for this case, but for whether PDVSA may be bound by the Venezuelan government to any future debt restructuring, say Richard Cooper and Boaz Morag of Cleary Gottlieb Steen & Hamilton LLP.

  • The Many Challenges Facing Venezuela Bribery Suit: Part 1

    Richard Cooper

    The documents filed thus far in the U.S. bribery suit brought by Venezuela’s state-owned oil company PDVSA make clear that the standing issues in this case are complicated. The case also presents questions as to whether it will have implications for financial creditors of PDVSA and the republic, say Richard Cooper and Boaz Morag of Cleary Gottlieb Steen & Hamilton LLP.

  • Why Bankruptcy Lawyer's Trade Secret Cases Failed

    James Morsch

    Peter Francis Geraci — owner of a large consumer bankruptcy firm based in Chicago — recently lost two trade secret cases, illustrating just how difficult it can be to win a lawsuit for misappropriation against individuals employed by a rival, says James Morsch of Butler Rubin Saltarelli & Boyd LLP.

  • Finance-Savvy Millennials Are Shifting Business Of Law

    Michael Perlich

    The impact of millennials has already been felt within the legal community by our eagerness to embrace new technologies. One way that we will have potentially even more impact lies in our willingness to embrace new ways of developing business and financing law, says Michael Perich of Burford Capital LLC.

  • Opinion

    Attorney-Client Privilege Is Alive And Well

    Genie Harrison

    The FBI raid of the office of President Donald Trump’s personal lawyer set off a firestorm of controversy about the sanctity of the attorney-client privilege, epitomized by Trump's tweet that the "privilege is dead." But attorney-client privilege is never taken lightly — I have battle scars from the times I have sought crime-fraud exceptions, says Genie Harrison of the Genie Harrison Law Firm.

  • Roundup

    Dissolving Practice

    Dissolving Practice

    In this series, experts discuss the unique aspects of closing a law firm, and some common symptoms of dysfunctionality in a firm that can be repaired before it's too late.