Bankruptcy

  • September 26, 2025

    UK Litigation Roundup: Here's What You Missed In London

    This past week in London has seen Sanjeev Gupta’s Liberty OneSteel sue its collapsed former lender Greensill Capital, television personality Janice Dickinson hit ITV with a personal injury claim after falling over while appearing on “I’m a Celeb…”, and energy investor Blasket bring fresh litigation against Spain amid a row over a $416 million arbitration award. Here, Law360 looks at these and other new claims in the U.K...

  • September 25, 2025

    Ex-Highland CEO Tells High Court Judge's Novels Show Bias

    The founder and president of hedge fund Highland Capital Management has asked the U.S. Supreme Court to weigh in on a bankruptcy judge's refusal to recuse herself from proceedings involving the company after she published two novels that he says contain veiled commentary about the case.

  • September 25, 2025

    Dr. Phil Defends Worker Layoffs That Came With Ch. 11

    Phil McGraw, also known as Dr. Phil, hit back Thursday at accusations that workers at his television channel joint venture were fired when it filed for bankruptcy so they could work for a new entity started by McGraw, saying that the terminations were needed because the company's financials hit a wall that couldn't be overcome.

  • September 25, 2025

    Entities Tied To Auto Parts Supplier Hit Ch. 11 With $1B+ Debts

    A group comprising at least a dozen entities affiliated with Carnaby Capital Holdings LLC filed for Chapter 11 protection in Texas on Wednesday, reporting liabilities of between $1 billion and $10 billion.

  • September 25, 2025

    Flagstar Seeks Instant Win In Ex-Live Well VP Fraud Case

    Flagstar Bank has urged a Michigan federal judge to grant it an early win against a former executive of the now-bankrupt Live Well for his role in a scheme to defraud lenders by inflating the value of bonds, saying because the executive already pled guilty to securities fraud, he cannot now deny liability in the bank's civil case.

  • September 25, 2025

    Atty's 'Horrible' Mistake Rooted In Firm Biz, NJ Justices Hear

    Former Sacks Weston attorney Scott Diamond's counsel urged the New Jersey Supreme Court on Thursday to refrain from disbarring him for fraudulently resolving cases behind his former firm's back, arguing during a hearing that his actions stemmed from a "bona fide" business dispute.

  • September 25, 2025

    Avon Gets Ch. 11 Plan Approved

    A Delaware bankruptcy judge has confirmed Avon's Chapter 11 plan a few days after verbally agreeing to approve it.

  • September 25, 2025

    Jackson Walker Reaches 2 New Deals Over Judge Romance

    Jackson Walker LLP has reached two new settlements to resolve claims related to a concealed romance between a former firm attorney and a onetime bankruptcy judge, marking at least five such settlements since the scandal broke.

  • September 24, 2025

    Omnicare Can Tap $25M Initial DIP, Stage Set For Gov't Feud

    Omnicare LLC, a CVS Health subsidiary that provides pharmacy services for long-term care facilities, won a Texas bankruptcy court approval on Wednesday to use $25 million of interim debtor-in-possession financing amid a looming dispute over a $949 million judgment owed to the U.S. government over allegedly illegal billing.

  • September 24, 2025

    Committee Says $100M DIP Loan Doesn't Benefit Modivcare

    The official committee of unsecured creditors in the Chapter 11 case of medical transport company Modivcare objected to final approval of the debtor's $100 million bankruptcy loan late Tuesday, telling a Texas court the package includes "numerous infirmities" that need to be addressed.

  • September 24, 2025

    Maverick Gaming Gets OK For $28M Card Room Sale

    A Texas bankruptcy judge gave Maverick Gaming permission Wednesday to sell four of its card rooms to its founder for $28 million, a price the casino operator said was driven up more than 60% through competitive bidding.

  • September 24, 2025

    Books Inc. Gets OK For $3.25M Sale To Barnes & Noble

    California's oldest independent bookstore chain, Books Inc., received approval Wednesday from a bankruptcy judge for a $3.25 million sale to Barnes & Noble, and hopes to close on the sale Oct. 1.

  • September 24, 2025

    Kennedys Adds Bankruptcy Partner From Connell Foley In NJ

    Kennedys CMK grew in New Jersey this week with the hire of a bankruptcy and creditors' rights expert joining the firm after nearly 20 years as a partner at Connell Foley LLP.

  • September 23, 2025

    This Week In Healthcare Cybersecurity

    Expiring Obama-era cybersecurity legislation, U.K. charges for 'Scattered Spider' breach, and the challenges of 23andMe's bankruptcy. Law360 looks at the week in cybersecurity developments affecting the healthcare industry.

  • September 23, 2025

    Dr. Phil Says Trinity 'Abandoned' TV Network Before Ch. 11

    "Dr. Phil" McGraw testified Tuesday in Texas bankruptcy court that he sought control of his joint venture with Trinity Broadcasting last year because his partner had "abandoned" the venture's mission and failed to support it during its startup phase.

  • September 23, 2025

    Spirit Strikes Ch. 11 Global Deal With Largest Lessor AerCap

    Spirit Airlines urged a New York bankruptcy court Tuesday to approve a global resolution the company reached with AerCap, its largest lessor, that could be a major step forward for the budget airline's riskier, second Chapter 11.

  • September 23, 2025

    NY Judge Throws Out Appeals By Ex-Eletson Shareholders

    A New York federal judge has ruled that a group of former shareholders of Eletson Holdings have no standing to appeal an order consummating the shipping company's Chapter 11 plan and no grounds to appeal sanctions for failing to follow the order.

  • September 23, 2025

    Ch. 11 Shields Co. From Suit Over Inmate Stroke, Judge Says

    A federal judge in North Carolina has dismissed prison healthcare provider Wellpath from a lawsuit brought by the family of a man who died of a stroke inside a Charlotte jail, finding that the company's bankruptcy shields it from liability but allowing claims against a county sheriff and others to continue.

  • September 23, 2025

    Wilmington Trust Seeks Receiver After $19M Loan Default

    A single-asset real estate firm that owns an office building in the Denver Technological Center, or DTC, filed for Chapter 11 and faces a request for a receiver over the building it owns after it defaulted on a $19 million loan last year, according to court filings.

  • September 23, 2025

    FTX Trust Seeks $1B From Crypto Miner Genesis Digital

    The recovery trust created under FTX's Chapter 11 plan has filed a lawsuit in Delaware bankruptcy court that aims to claw back more than $1 billion that FTX's founder invested in Genesis Digital Assets Ltd., accusing the bitcoin mining firm of overinflating its value and projections to secure the funds.

  • September 23, 2025

    Privy Council Backs Undoing Fund's $230M Madoff Claim Sale

    The top appeals court for U.K. overseas territories has endorsed a successful U.S. appeal brought by the liquidator of an overseas Bernard L. Madoff feeder fund to undo its allegedly imprudent sale of its $230 million claim against the Ponzi schemer's defunct firm to a hedge fund.

  • September 22, 2025

    J&J Ruling Misapplied Goldman Precedent, 3rd Circ. Told

    The U.S. Chamber of Commerce and other business organizations are supporting Johnson & Johnson's call for the full Third Circuit to reconsider a ruling that the groups argue could "saddle" companies with investor class-action suits through the misapplication of a recent U.S. Supreme Court ruling. 

  • September 22, 2025

    Spirit Airlines To Furlough 1,800 Workers Amid Ch. 11

    Bankrupt budget air carrier Spirit Airlines will furlough one-third of its flight attendants in the coming months as it aims to cut costs in its bankruptcy, Spirit confirmed Monday.

  • September 22, 2025

    Ligado OK'd For $7.8B Debt-For-Equity Swap Ch. 11 Plan

    A Delaware bankruptcy judge Monday agreed to approve telecommunications group Ligado Networks' debt-for-equity swap Chapter 11 plan, overruling the U.S. Trustee's objection over the plan potentially not taking effect for three years.

  • September 22, 2025

    Feds Oppose Chinese Exile Guo's Bid To Take Ch. 11 Assets

    Federal prosecutors in the Southern District of New York have opposed convicted securities fraudster and bankrupt Chinese exile Miles Guo's bid to force the government to take control of assets from his own Connecticut-based Chapter 11 trustee to satisfy a $1.3 billion criminal forfeiture order.

Expert Analysis

  • 3rd Circ. Clarifies Ch. 11 3rd-Party Liability Scope Post-Purdue

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    A recent Third Circuit decision that tort claims against the purchaser of a debtor's business belong to the debtor's bankruptcy estate reinvigorates the use of Chapter 11 for the resolution of nondebtor liability in mass tort bankruptcies following last year's U.S. Supreme Court ruling in Purdue Pharma, say attorneys at Sullivan & Cromwell.

  • Series

    Power To The Paralegals: How And Why Training Must Evolve

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    Empowering paralegals through new models of education that emphasize digital fluency, interdisciplinary collaboration and human-centered lawyering could help solve workforce challenges and the justice gap — if firms, educators and policymakers get on board, say Kristine Custodio Suero and Kelli Radnothy.

  • Series

    Playing Softball Makes Me A Better Lawyer

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    My time on the softball field has taught me lessons that also apply to success in legal work — on effective preparation, flexibility, communication and teamwork, says Sarah Abrams at Baleen Specialty.

  • Series

    Law School's Missed Lessons: Mastering Time Management

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    Law students typically have weeks or months to prepare for any given deadline, but the unpredictability of practicing in the real world means that lawyers must become time-management pros, ready to adapt to scheduling conflicts and unexpected assignments at any given moment, says David Thomas at Honigman.

  • Rare Del. Oversight Ruling Sends Governance Wake-Up Call

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    An unusual ruling from the Delaware Court of Chancery recently allowed Caremark oversight claims to proceed against former executives of a company previously known as Teligent, sending a clear reminder that boards and officers must actively monitor and document oversight efforts when addressing mission-critical risks, say attorneys at WilmerHale.

  • How Hyperlinks Are Changing E-Discovery Responsibilities

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    A recent e-discovery dispute over hyperlinked data in Hubbard v. Crow shows how courts have increasingly broadened the definition of control to account for cloud-based evidence, and why organizations must rethink preservation practices to avoid spoliation risks, says Bree Murphy at Exterro.

  • 11th Circ. Equitable Tolling Ruling Deepens Circuit Split

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    The Eleventh Circuit recently held that equitable tolling was unavailable to extend a deadline to object to discharge of debt, becoming the most recent circuit court decision to address this issue, and deepening a split that requires resolution by the U.S. Supreme Court, says Paul Avron at Berger Singerman.

  • Series

    Writing Musicals Makes Me A Better Lawyer

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    My experiences with writing musicals and practicing law have shown that the building blocks for both endeavors are one and the same, because drama is necessary for the law to exist, says Addison O’Donnell at LOIS Law.

  • Series

    Adapting To Private Practice: From Va. AUSA To Mid-Law

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    Returning to the firm where I began my career after seven years as an assistant U.S. attorney in Virginia has been complex, nuanced and rewarding, and I’ve learned that the pursuit of justice remains the constant, even as the mindset and client change, says Kristin Johnson at Woods Rogers.

  • 7 Document Review Concepts New Attorneys Need To Know

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    For new associates joining firms this fall, stepping into the world of e-discovery can feel like learning a new language, but understanding a handful of fundamentals — from coding layouts to metadata — can help attorneys become fluent in document review, says Ann Motl at Bowman and Brooke.

  • Agentic AI Puts A New Twist On Attorney Ethics Obligations

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    As lawyers increasingly use autonomous artificial intelligence agents, disciplinary authorities must decide whether attorney responsibility for an AI-caused legal ethics violation is personal or supervisory, and firms must enact strong policies regarding agentic AI use and supervision, says Grace Wynn at HWG.

  • Series

    Being A Professional Wrestler Makes Me A Better Lawyer

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    Pursuing my childhood dream of being a professional wrestler has taught me important legal career lessons about communication, adaptability, oral advocacy and professionalism, says Christopher Freiberg at Midwest Disability.

  • Series

    Law School's Missed Lessons: Adapting To The Age Of AI

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    Though law school may not have specifically taught us how to use generative artificial intelligence to help with our daily legal tasks, it did provide us the mental building blocks necessary for adapting to this new technology — and the judgment to discern what shouldn’t be automated, says Pamela Dorian at Cozen O'Connor.

  • Ch. 11 Ruling Voiding $2M Litigation Funding Sends A Warning

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    A recent Texas bankruptcy court decision that a postconfirmation litigation trust has no obligations to repay a completely drawn down $2 million litigation funding agreement serves as a warning for estate administrators and funders to properly disclose the intended financing, say attorneys at Kleinberg Kaplan.

  • Demystifying The Civil Procedure Rules Amendment Process

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    Every year, an advisory committee receives dozens of proposals to amend the Federal Rules of Civil Procedure, most of which are never adopted — but a few pointers can help maximize the likelihood that an amendment will be adopted, says Josh Gardner at DLA Piper.

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