Bankruptcy

  • February 16, 2018

    SDFL Adopts Guidelines For Cooperation On Int'l Bankruptcies

    The Southern District of Florida's bankruptcy court has adopted guidelines for communication and cooperation between courts in cross-border insolvency matters that practitioners say will help courts efficiently handle the increasing number of Chapter 15 cases filed in the region as its ties to Latin America continue to strengthen.

  • February 16, 2018

    Hedge Fund's $26.2M Bid Tops Ch. 11 Auction For Aerogroup

    Hedge fund Alden Global Capital emerged as the apparent winning bidder in Delaware on Friday for bankrupt shoe retailer Aerogroup International Inc., with a $26.175 million bid that capped a nearly 24-hour, sometimes “testy,” marathon auction.

  • February 16, 2018

    Muni Market Shaken By Puerto Rico Special Revenues Ruling

    Municipal bonds secured by pledged special revenue streams have long been prized as safe bets, but a recent ruling in Puerto Rico’s restructuring cases that payment on those obligations is not required in bankruptcy has riled investors and left legal experts confounded over a largely untested Bankruptcy Code provision.

  • February 16, 2018

    Takata Wins Nod For Ch. 11 Plan Confirmation, $1.6B Sale

    A Delaware bankruptcy judge agreed Friday to confirm Takata’s Chapter 11 plan that centers on a $1.6 billion sale to Key Safety Systems Inc. and uses proceeds to pay victims of Takata's dangerously defective air-bag inflators, after hearing that the major creditor groups were all on board.

  • February 16, 2018

    EFH Raises Questions Over Reserve Fund Interest Payments

    Bankrupt energy provider Energy Future Holdings Corp. made a hastily scheduled appearance Friday in Delaware court to ask for guidance on issues related to a $275 million fund reserve being created to cover a potential claim from a jilted sale partner.

  • February 16, 2018

    Weil's Role Part Of Probe Of Breitburn Conflict Claims

    A New York bankruptcy judge Friday said he would hold a hearing to address a Breitburn Energy Partners LP bondholder’s claim of conflicts of interest between a prospective stalking horse bidder, a Breitburn lienholder and Breitburn bankruptcy counsel Weil Gotshal & Manges LLP.

  • February 16, 2018

    Ex-Debevoise Partner Tapped To Help Atlantic City Recovery

    An ex-Debevoise & Plimpton LLP partner and onetime gubernatorial candidate has been tapped as special counsel to lead New Jersey's effort in returning Atlantic City to local control after more than a year into a state takeover of the struggling resort town's finances, state officials said.

  • February 16, 2018

    Convicted Dewey Exec's SEC Deal Hinges On Criminal Appeal

    A settlement between the U.S. Securities and Exchange Commission and former Dewey & LeBoeuf LLP chief financial officer Joel Sanders, who was convicted of fraud, rests on the outcome of Sanders' criminal appeal, a Manhattan federal judge heard Friday.

  • February 16, 2018

    Boston Herald Cleared For $12M Ch. 11 Sale To MediaNews

    The Boston Herald on Friday secured court approval for the tabloid's $11.98 million sale to hedge fund-controlled MediaNews Group, under a business-saving deal expected to close by March 28.

  • February 15, 2018

    Puerto Rico Electric Co. Denied Bid For Emergency Loan

    Access to electricity in Puerto Rico may be in short-term peril after a New York federal judge on Thursday denied the territory’s insolvent power utility access to $1 billion in emergency financing offered by the island’s central government, finding the superpriority lien attached to the loan unjustified.

  • February 15, 2018

    Dubious Timeline Saves Nursing Home Chain From OT Suit

    A Washington federal judge on Thursday dismissed a proposed collective action by former co-managers at national nursing home chain Holiday Retirement alleging the company illegally denied them overtime, saying the workers can’t sue because they hid their claims during a 2015 bankruptcy.

  • February 15, 2018

    Deals Rumor Mill: Thomson Reuters, Seadrill, Petrobras

    Thomson Reuters' chairman reportedly had concerns about the Blackstone-led offer for its financial and risk business, offshore drilling giant Seadrill is nearing a restructuring deal with bondholders and shipyards, and Petrobras set a late-March deadline for offers for a majority stake in a gas pipeline network.

  • February 15, 2018

    Insurers Cleared To Subpoena Asbestos Claim Info In Ch. 11

    A New York bankruptcy judge has told Rapid-American Corp. it can’t stop the trio of insurance companies it claims failed to cover it from asbestos claims from subpoenaing the company’s claims handlers.

  • February 15, 2018

    Appvion Lenders Slam Creditors' Bid To Challenge Liens

    Secured creditors of specialty-paper maker Appvion Inc. objected late Wednesday in Delaware bankruptcy court to the official unsecured creditors committee's request to challenge the liens of the secured creditors, saying the clock has run out on such claims.

  • February 15, 2018

    $380M Trade Secrets Claim Against Avaya Gets Pushback

    SAE Power Inc. faced an uphill battle Thursday as it tried to convince a New York bankruptcy court that its trade secrets claim against bankrupt Avaya Inc. should be valued at $380 million, rather than the $1 million or so Avaya says it’s worth.

  • February 15, 2018

    Stroock Adds Kasowitz Benson Restructuring Star In NY

    Stroock & Stroock & Lavan LLP has picked up restructuring expert Daniel Fliman from Kasowitz Benson Torres LLP, Stroock & Stroock said Thursday, to join its 15-partner financial restructuring group in New York.

  • February 15, 2018

    Takata Allowed To Discharge State Claims In Ch. 11

    The Delaware bankruptcy judge presiding over Takata’s bankruptcy ruled late Wednesday that potentially $1 billion in claims stemming from enforcement actions by Hawaii, New Mexico and the U.S. Virgin Islands can be discharged by a confirmed Chapter 11 plan, as the debtor meanwhile settled with 44 other states.

  • February 15, 2018

    A Chat With Hogan Lovells HR Chief Allison Friend

    In this monthly series, legal recruiting experts Amanda Brady and Amy Mallow of Major Lindsey & Africa interview law firm management from Am Law 200 firms about how they are navigating an increasingly competitive business environment. The second conversation is with Allison Friend, chief human resources officer for Hogan Lovells LLP.

  • February 14, 2018

    Trenk DiPasquale Email Probe Ordered In Water Agency Suit

    A New Jersey federal bankruptcy judge on Tuesday ordered an inspection of electronic devices used by Trenk DiPasquale Della Ferra & Sodono PC and two former firm attorneys for discovery purposes in a lawsuit alleging the firm and others enabled unlawful and wasteful conduct at a defunct Newark water agency.

  • February 14, 2018

    Puerto Rico Utility Creditors Unveil $534M Loan Offer

    Creditors of Puerto Rico’s ailing power utility on Wednesday offered a $534 million loan in a bid to head off the contentious $1 billion loan the utility is seeking from the Commonwealth, setting up a showdown over who will provide bridge funding ― and receive superpriority liens ― until federal aid dollars arrive.

Expert Analysis

  • How Emerging Sources Of ESI Will Impact Discovery

    Charles McGee

    Late last year, the Sedona Conference released the third edition of its principles addressing electronic document production, updated to account for innovations like Snapchat and Twitter. It may be necessary for these principles to be updated more often in order to keep pace with technology, says Charles McGee III of Murphy & McGonigle LLP.

  • Put The Brakes On Acceleration Bay Litigation Funder Ruling

    David Gallagher

    Last week, the District of Delaware raised eyebrows by ruling that documents provided to a litigation funder and its counsel in connection with their due diligence are categorically not attorney work product. Acceleration Bay v. Activision Blizzard seems to be a case of bad facts making bad law, says David Gallagher, investment manager and legal counsel for Bentham IMF.

  • Some Pointers For Stressed And Distressed Charitable Orgs

    James Vincequerra

    There is speculation that the Tax Cuts and Jobs Act will have the unintended consequence of less charitable giving in 2018 and beyond. Administrators of not-for-profit charitable organizations may need to take a hard look at restructuring operations, say James Vincequerra and Gerard Catalanello of Alston & Bird LLP.

  • Considerations For Attorneys Using Artificial Intelligence

    Ben Allgrove

    Artificial intelligence tools can empower attorneys to work more efficiently, deepen and broaden their areas of expertise, and provide increased value to clients, which in turn can improve legal transparency, dispute resolution and access to justice. But there are some common pitfalls already apparent in the legal industry, say Ben Allgrove and Yoon Chae of Baker McKenzie.

  • Health Republic’s Curious Liquidation: Part 14

    James Veach

    On Feb. 14, Health Republic Insurance of New York's liquidator will ask the New York Supreme Court to approve its report on the present status of its liquidation, but it is what the report doesn't discuss that will be most revealing, says James Veach of Mound Cotton Wollan & Greengrass LLP in the final part of this series.

  • Series

    Judging A Book: Duncan Reviews 'Justice And Empathy'

    Judge Allyson Duncan

    In "Justice and Empathy: Toward a Constitutional Ideal," the late Yale Law School professor Robert Burt makes a compelling case for the undeniable role of the courts in protecting the vulnerable and oppressed​. But the question of how the judiciary might conform to Burt’s expectations raises practical problems​, says U.S. Circuit Judge Allyson Duncan of the Fourth Circuit. ​

  • When Blockchain Meets Article 9 And Bankruptcy

    Andrew Helman

    Blockchain cryptocurrencies have been touted as everything from a tool that will revolutionize commerce to the very worst of speculative capitalism. Less attention has been given to their practical application vis-a-vis commercial and insolvency law, say Andrew Helman of Marcus Clegg and Carl Wedoff of Jenner & Block LLP.

  • The Art Of The Litigation Funding Deal

    Julia Gewolb

    As litigation funding becomes more widespread, greater complexity and variability in funding deals are to be expected. All claimants should consider certain key questions on the economics of single-case funding when considering or comparing funding terms, says Julia Gewolb of Bentham IMF.

  • Smart Contracts Need Smart Corporate Lawyers

    Matthew O’Toole

    Given the operational and security risks involved, and the substantial digital asset values transacted, the rise of distributed ledger technology and smart contracts will create new opportunities and responsibilities for transactional lawyers, say attorneys with Potter Anderson Corroon LLP.

  • Another Bankruptcy Discharge Case Before High Court

    Thomas Byrne

    The government’s once-sterling record of victories in bankruptcy cases before the U.S. Supreme Court has been dinged in recent years, but the odds still would have to favor the government's side in Lamar Archer & Cofrin v. Appling, where the Supreme Court will weigh in again on one of the most litigated issues in bankruptcy, says Thomas Byrne of Eversheds Sutherland.