Bankruptcy

  • August 16, 2017

    RadioShack Tells Judge Ch. 11 Plan To Be Filed Imminently

    Bankrupt electronics retailer RadioShack told a Delaware judge Wednesday it will soon be filing a restructuring plan after the court granted its request for an extension of its exclusive plan filing period and $2 million in post-petition financing.

  • August 16, 2017

    Sungevity Ch. 11 Dismissal Approved Over Trustee Objection

    The structured dismissal of a bankrupt solar panel installation company's Chapter 11 case received court approval Wednesday in Delaware after a judge determined it was the best option for the estate and complied with the priority payment provisions of the bankruptcy code.

  • August 16, 2017

    Judge Affirms Feds' $15M Infusion Into GM Litigation Trust

    Old GM's unsecured creditors were right to accept a $15 million loan from Uncle Sam to pursue a $1.5 billion avoidance action over a prebankruptcy loan that was left unsecured thanks to a paralegal's mistake, a New York federal court said as it overruled one creditor's objection to the agreement.

  • August 16, 2017

    DBSI Ponzi Schemers' 9th Circ. Appeal Largely Rejected

    The Ninth Circuit affirmed the prison sentences of four men who were convicted of fraud for their roles in the DBSI Inc. Ponzi scheme on Tuesday, rejecting several challenges to jury instructions and evidence but reducing a “double-counted” $32 million restitution order by $3 million.

  • August 16, 2017

    JPMorgan Loses Bid To Appeal Petters Lawsuit

    A Minnesota federal judge on Wednesday denied JPMorgan Chase & Co.’s bid for an interlocutory appeal of a failed motion to dismiss a case alleging the bank aided businessman Thomas Petters’ $3.7 billion Ponzi scheme.

  • August 16, 2017

    Studio Bankruptcy Ruling 'Haunts' Deal, Netflix Tells 2nd Circ.

    Netflix asked the Second Circuit on Wednesday to reverse a ruling that protected formerly bankrupt movie company Relativity Media in a dispute over the online streaming of two movies before their theatrical run, saying the decision was a "shadow" that would "haunt" all other disputes during the years left on the multimovie deal.

  • August 16, 2017

    Takata Ch. 11 Judge Halts All Non-MDL Airbag Lawsuits

    The Delaware bankruptcy judge presiding over the Takata Chapter 11 case on Wednesday ordered a 90-day freeze of hundreds of lawsuits and government enforcement actions over defective airbag inflators linked to at least a dozen deaths, so the company can focus on its global restructuring.

  • August 15, 2017

    Landry's Wins Ch. 11 Auction For Joe's Crab Shack, Taverns

    Landry's Inc. will seek court approval Thursday of its winning $57 million bid for Joe's Crab Shack parent company Ignite Restaurant Group Inc., an offer that topped the stalking horse bid at the bankruptcy auction by $7 million, records show.

  • August 15, 2017

    Alleged Ponzi Schemer Denied Leave To Travel To Vegas

    The alleged mastermind behind a $70 million ticket-resale Ponzi scheme was denied permission to fly to Las Vegas and ply his trade ahead of the landmark Mayweather-McGregor boxing bout, as the criminal case against him got underway in New York federal court Tuesday.

  • August 15, 2017

    Polsinelli Picks Up Texas-Based Bankruptcy Shareholder

    Polsinelli PC announced it has hired a former K&L Gates LLP bankruptcy and financial restructuring attorney with experience in the energy and health care sectors as a shareholder in Texas.

  • August 15, 2017

    SIPC Recommends $32M Fee Approval For Madoff Trustee

    The Securities Investor Protection Corp. urged a New York bankruptcy court on Tuesday to approve a request by BakerHostetler for $32 million in legal fees for four months of discounted work managing the liquidation of Bernie Madoff's defunct investment firm, saying the firm has achieved substantial progress.

  • August 15, 2017

    Landlords Balk At True Religion's Ch. 11 Plan Disclosures

    A group of True Religion Apparel Inc. landlords took issue Monday with the retailer's disclosure statement for its Chapter 11 plan, arguing in Delaware bankruptcy court that it doesn’t say enough about how leases would be treated, bringing what has been a thorny issue in the case back to the forefront.

  • August 15, 2017

    Takata Objects To Atty Group's Claims Rep Candidate

    Takata and its unsecured creditors both sounded off Monday over a move by a product liability lawyers group to install one of its own as the representative for future personal injury claimants in Delaware bankruptcy court, with the air bag maker citing conflicts of interest and creditors citing conflicts over cash.

  • August 15, 2017

    SEC Fines KPMG $6.2M Over Miller Energy Audit Failures

    KPMG LLP has agreed to pay more than $6.2 million in disgorgement and fines to settle the U.S. Securities and Exchange Commission’s allegations it failed to catch that now-defunct Miller Energy had overstated oil and gas assets by hundreds of millions of dollars, the SEC said Tuesday.

  • August 15, 2017

    Las Vegas Racetrack Creditors Look To Force Ch. 11

    Creditors for a Las Vegas racetrack where a fatal crash took place in February are looking to begin Chapter 11 bankruptcy proceedings in Delaware, telling a federal bankruptcy judge that the company continually failed to pay its debts.

  • August 15, 2017

    Paralegal Killed In Charlottesville 'Enjoyed The Law'

    The legal assistant killed in Charlottesville, Virginia, while counter-protesting a white nationalist demonstration was a student of the law who believed in its power to help people, according to her former supervisor.

  • August 14, 2017

    Puerto Rico Creditors Assail Board's Discovery Opposition

    Senior bondholders with secured interests in Puerto Rico sales tax revenues said Friday that the commonwealth and a federally appointed board overseeing the territory's landmark bankruptcy proceedings should be compelled to produce discovery after improperly refusing to provide testimony concerning an alleged failure to protect the investors’ secured collateral.

  • August 14, 2017

    7th Circ. Denies Sentinel's 2nd Clawback Attempt

    The Seventh Circuit on Monday again denied a bid by the trustee for Sentinel Management Group to claw back $14.5 million from a creditor, three years after the court rejected the same request, this time finding an “indefinite and internally inconsistent” bankruptcy court order can’t be used to bar a previously allowed transfer.

  • August 14, 2017

    TerraVia Wants IP Award Row Sent To Del. Bankruptcy Court

    Bankrupt algae-based food producer TerraVia Holdings Inc. asked a district court judge in Delaware to transfer two lingering intellectual property suits to bankruptcy court late Friday, saying closure is critical to the company’s planned Chapter 11 auction.

  • August 14, 2017

    CRS Trustee Files Clawback Suit Over Discounted Biz Sales

    The trustee for bankrupt human resources contractor Corporate Resource Services Inc. filed amended adversary claims Friday that insiders had sold CRS-owned businesses for millions of dollars below their market value shortly before its bankruptcy.

Expert Analysis

  • Understanding When Claims Travel With The Debt

    Abbe Dienstag

    A recent case in New York state court, One Williams Street Capital Management v. U.S. Education Loan Trust IV, affords a useful opportunity to understand both the reach and the limitations of a uniquely New York statute, which provides that a transfer of a bond “vests in the transferee all claims or demands of the transferrer,” say Abbe Dienstag and John Bessonette of Kramer Levin Naftalis & Frankel LLP.

  • Series

    Notes From A Law Firm Chief Privacy Officer: Balancing Act

    Kristin Jones

    As the role of law firm chief privacy officer becomes more prevalent and expansive, many CPOs are finding themselves in the midst of a delicate balancing act — weighing compliance with government regulations and client requirements on one side with the needs of firm business on the other, says Kristin Jones, chief privacy officer for Stradley Ronon Stevens & Young LLP.

  • Facing Mass Store Closings As A Retail Landlord

    Anthony Borich

    According to industry reports, retailers have announced over 3,000 store closings already this year, which is double the total for all of 2016. As turmoil in the retail business intensifies, landlords must carefully consider transaction, litigation and bankruptcy strategies in order to minimize loss, say attorneys with Jenner & Block LLP

  • How The IPad Can Be A Litigator's Best Friend

    Paul Kiesel

    New mobile computing tools — both hardware and applications — are changing the technology paradigm for legal practitioners. In particular, the combination of the 12.9-inch iPad Pro, the Apple Pencil and the LiquidText annotation app can revolutionize both trial preparation and courtroom litigating, says attorney Paul Kiesel, in his latest review of tech trends.

  • Series

    Notes From A Law Firm Chief Privacy Officer: CPO Vs. CISO

    Mark McCreary

    To understand the role of the law firm chief privacy officer — and why that person ought to be a lawyer — it’s important to distinguish the role they fill from that of the chief information security officer, says Mark McCreary, chief privacy officer for Fox Rothschild LLP.

  • 5 Questions To Ask Before Entering Joint-Representation AFA

    Natalie Hanlon Leh

    One growing trend is for clients to enter into alternative fee arrangements in which one law firm represents multiple parties who “share” fees and costs in a related matter. This way parties can more efficiently manage a matter and reduce their individual legal fees. But joint representation is not without its own risks and challenges, say attorneys with WilmerHale.

  • Legal Incubators Can Help New Lawyers And Society

    Martin Pritikin

    Legal incubators serve as an important bridge to practice and a crucial step toward aligning the incentives of new lawyers with the needs of their clients. They may even pose a threat to the traditional law school model itself, and that's not necessarily a bad thing, says Martin Pritikin, dean of Concord Law School at Kaplan University.

  • Puerto Rico Bondholders Share The Pain

    Wendt_Bradley_CharlesRiver.jpg

    Recent actions by Puerto Rico’s oversight board create a relatively broad band of recovery levels for bondholders. Investor uncertainty will likely persist for the near and medium terms, says Bradley Wendt of Charles River Associates.

  • Mineral Liens Can Be Contractually Waived In Texas

    Brian Mitchell

    The U.S. Bankruptcy Court for the Northern District of Texas recently held that an advance contractual waiver of mineral liens contained in a master service agreement between an oil and gas operator and multiple oilfield service companies was enforceable. The case is likely to influence future drafting and negotiation of master services agreements, say Brian Mitchell and Clark Donat of Bracewell LLP.

  • How To Prioritize Your Law Firm's Crisis Response Plan

    Michelle Samuels

    If the media is going to cover your law firm’s crisis, they are going to cover it with or without your firm’s input. But your involvement can help shape the story and improve your firm’s image in the public eye, says Michelle Samuels, vice president of public relations at Jaffe.