Bankruptcy

  • May 22, 2018

    Woodbridge Settles SEC Claims In $1.2B Investment Scheme

    The U.S. Securities and Exchange Commission has agreed to settle allegations against a slew of unregistered Florida-based funds called the Woodbridge Group of Cos. LLC, which the agency claimed were used in an alleged $1.2 billion scheme that duped more than 8,400 investors.

  • May 22, 2018

    Videology Floats $14.6M Ch. 11 Deal With Largest Customer

    Bankrupt advertising technology firm Videology Inc. proposed a settlement Tuesday with its largest customer that would pump $14.6 million into the company as it pursues a going-concern sale of its assets through its Chapter 11 case.

  • May 22, 2018

    Candy Co. Necco Set For Ch. 11 Auction With 4 Bids In Hand

    Bankrupt candy manufacturer Necco is set to sell its line of sweets and other assets to one of four qualified bidders at a Chapter 11 auction scheduled to take place Wednesday in Boston, all but ensuring the estate nets at least $15 million from the deal.

  • May 22, 2018

    Eagan Avenatti Owes Ex-Partner $10M From Bankruptcy Deal

    A California bankruptcy judge on Tuesday entered a $10 million judgment against defunct class action law firm Eagan Avenatti LLP — which is owned by Michael Avenatti, the attorney representing adult film actress Stormy Daniels in her legal battle against President Donald Trump — finding the firm defaulted on its bankruptcy-resolving settlement with a former partner over allegedly unpaid fees.

  • May 22, 2018

    Physiotherapy Trust Claims Revived By Supreme Court Ruling

    Fraudulent transfer claims against the former controlling shareholders of Physiotherapy Holdings Inc. will be reinstated after a Delaware bankruptcy judge granted a motion for reconsideration Monday from the litigation trust created under the former debtor’s Chapter 11 plan.

  • May 22, 2018

    Greenberg Traurig Can't Leave Ex-Russian Biz Owner's Ch. 15

    A New York bankruptcy judge on Monday denied Greenberg Traurig LLP permission to quit representing a U.S. company in the Chapter 15 case of an affiliated Russian granite producer’s former owner who it says was the victim of corporate raiding, telling the firm she needed more information.

  • May 22, 2018

    Citco's UBS Docs Privileged In Pension Fund Row, Judge Says

    Citco Group Ltd. can keep confidential certain communications with UBS AG sought by several pension funds that have accused Citco and others of making misrepresentations about a $100 million investment in an insolvent investment vehicle, a Louisiana federal judge ruled Monday, finding that the documents warranted attorney-client privilege.

  • May 22, 2018

    Pa. Firms Facing Incinerator Project Suit Blame Contractor

    Eckert Seamans Cherin & Mellot LLC and a financial firm both accused in a newly filed lawsuit of misleading the city of Harrisburg, Pennsylvania, about an incinerator project that nearly sank the state capital under $360 million in debt are arguing that the project’s financial failure lies not with them, but with the construction company that couldn’t complete the project.

  • May 22, 2018

    'Housewives' Star Moves Toward Deal In Malpractice Battle

    A once-incarcerated star of "The Real Housewives of New Jersey" and her bankruptcy trustee have called on a New Jersey federal bankruptcy court to dismiss her bankruptcy case in order to finalize a settlement in their malpractice action against her former attorney in state court.

  • May 21, 2018

    Bankrupt Miami Hospital Gets OK For Ch. 11 Auction Plans

    A shuttered Miami hospital in Chapter 11 stayed on track to be sold in auction in late June when a Florida bankruptcy judge gave her blessing to the sale process Monday after approving a settlement the parties reached to resolve objections from the unsecured creditors committee.

  • May 21, 2018

    Lender, Creditors Blast Gibson $135M Financing Plan

    A lender to and the unsecured creditors of bankrupt guitar and piano maker Gibson Brands Inc. Monday asked a Delaware bankruptcy court to reject the company’s plan to tap into $135 million in debtor-in-possession financing, saying the proposal would rack up millions in fees.

  • May 21, 2018

    Puerto Rico, Board Reach Pact To Advance Fiscal Plan

    The federal board created to restructure Puerto Rico's debts has reached an accord with the territory’s government over the implementation of a long-term fiscal plan in large part by scaling back cuts to certain employee benefits in exchange for turning the island into an “employment at will” jurisdiction.

  • May 21, 2018

    Zohar Deal Stays Litigation, Appoints Independent Director

    A settlement reached among key players Monday in the Delaware Chapter 11 cases of the Zohar Funds will pause active litigation between the parties for 15 months and will see founder Lynn Tilton largely step aside from running the funds in favor of an independent director.

  • May 21, 2018

    Jevic Ch. 11 To Convert To Ch. 7 After Denial Of Settlement

    The long-running bankruptcy case of trucking firm Jevic Holding Corp. will convert to a Chapter 7 liquidation after a Delaware judge denied approval Monday of the latest proposed settlement floated by the company and its creditors to dismiss the case.

  • May 21, 2018

    Woodbridge Noteholders Want To File Own Ch. 11 Plan

    Investors in the Woodbridge Ponzi scheme have asked the Delaware bankruptcy court overseeing Woodbridge's liquidation to let them propose their own Chapter 11 plan, which they say will address head-on “the $800 million question” of whether they are secured.

  • May 21, 2018

    Creditor Wants IBRC Ch. 15 Left Open For $12.6M Claim

    An Irish-American businessman has asked the Delaware bankruptcy court overseeing Irish Bank Resolution Corp.’s Chapter 15 proceedings to let him subpoena the debtor for documents, claiming the government-run “bad bank” cheated him out of $12.6 million.

  • May 18, 2018

    Rex Energy Files For Ch. 11 With RSA In Hand

    Pennsylvania oil and gas concern Rex Energy filed for Chapter 11 protection on Friday with $884 million in outstanding funded debt and an overwhelmingly favored restructuring support agreement in hand as well as a plan to sell all assets, it said, asking for approval of $411 million in DIP financing, including $100 million in new money.

  • May 18, 2018

    IHeartMedia Seeks OK To Access $450M Ch. 11 Credit Facility

    Bankrupt radio giant iHeartMedia Inc. sought permission Thursday to access a $450 million debtor-in-possession credit facility, with an option to increase the amount by $100 million, to pay back its prebankruptcy asset-based lenders and fund its Chapter 11 case.

  • May 18, 2018

    Feds Double Down On Union Boss' Graft Retrial

    Manhattan federal prosecutors on Thursday beefed up their case against New York City labor boss Norman Seabrook with a new fraud charge, ahead of a coming retrial over accusations that he took bribes from Platinum Partners in exchange for his union’s investment in the hedge fund.

  • May 18, 2018

    Cambridge Analytica Files Bankruptcy Liquidation Case In NY

    Cambridge Analytica LLC, the scandalized political consulting firm that worked for President Donald Trump's 2016 presidential campaign, filed for Chapter 7 bankruptcy on Thursday in New York as part of its liquidation announced earlier this month when the company entered similar proceedings in the U.K.

Expert Analysis

  • Introducing The Legal Industry To Millennial Business Owners

    Yaima Seigley

    ​The current business climate has produced vast opportunities for seasoned lawyers to create valuable connections with millennial business owners, but first lawyers must cleanse their palate of misconceptions regarding millennials, says Yaima Seigley of Isaac Wiles Burkholder & Teetor LLC.

  • 2 New Decisions Clarify Chapter 15 Requirements

    James Bentley

    Two recent decisions from the Southern District of New York reaffirmed several Second Circuit holdings that retainers placed with U.S. law firms constitute property of the debtor in the U.S. for Chapter 15 filing purposes. The surprising part was the required amount, says James Bentley of Schulte Roth & Zabel LLP.

  • Opinion

    Why Won't Judicial Nominees Affirm Brown V. Board Of Ed?

    Franita Tolson

    On May 17, 1954, the U.S. Supreme Court decided Brown v. Board of Education, recognizing a moral and legal truth that should be beyond question in American society. The refusal by some of President Donald Trump's judicial nominees to say whether they believe the case was decided correctly is indicative of the narrow-minded elitism they would bring to the bench, says professor Franita Tolson of the University of Southern California's Gould School of Law.

  • The Lawyers' Guide To Cloud Computing

    Daniel Garrie

    In deciding whether cloud computing is right for the organization or firm, an attorney must consider cloud computing’s significant impact on the electronic discovery process, say Daniel Garrie, managing partner at Law & Forensics LLC, and David Cass, chief information security officer at IBM Cloud.

  • The Burden Of Medical Records During Bankruptcy

    Kenya Woodruff

    Companies in the health care industry face many unique challenges when undergoing a bankruptcy, including challenges arising due to the federal and state law framework governing the use and disclosure of medical information. Maintenance and storage of medical records is complicated further because of debtors' lack of financial resources, say attorneys with Haynes and Boone LLP.

  • Opinion

    Recovering Lawyers' Lost Position Of Independence

    Samuel Samaro

    In these politically divisive times, many ask whether our institutions and traditions can help us return to a greater consensus. In days long past, the legal profession could have been counted on to serve just such a function. But lawyers are now just as polarized as everyone else, says Samuel Samaro of Pashman Stein Walder Hayden PC.

  • 8 Reasons To Take A Fresh Look At Your Law Office Lease

    Tiffany Winne

    After moving into a new law office, tenants often file their signed leases away, figuring that the terms are set for a few years at least. However, leases can be very flexible instruments, and should be reviewed annually even if nothing seems amiss, says Tiffany Winne of Savills Studley Inc.

  • A General Counsel's Tips For Succeeding As A New Associate

    Jason Idilbi

    Based on his experience as a BigLaw associate for six years and now as general counsel for a tech startup, Jason Idilbi of Passport Labs offers some best practices for newer associates — whether they are serving external clients or senior attorneys within their firms.

  • Series

    Judging A Book: Berzon Reviews 'We The Corporations'

    Judge Marsha Berzon

    My advice to prospective clerks will now include the suggestion that they read Adam Winkler's new book, "We the Corporations: How American Businesses Won Their Civil Rights," for the same reason I recommend taking a corporations course — appreciating the critical role of business corporations in American life and law, says Ninth Circuit Judge Marsha Berzon.

  • The Impact Of Tax Reform On Film, TV And Print Media: Part 3

    Michele Alexander

    In this third installment of their series on how the tax overhaul impacts U.S. media companies, Bracewell LLP attorneys Michele Alexander and Ryan Davis look at how the international and domestic provisions intended to bring tax dollars home have affected media companies' decisions regarding foreign versus domestic production.