We use cookies on this site to enable your digital experience. By continuing to use this site, you are agreeing to our cookie policy. close

Bankruptcy

  • May 23, 2018

    Gibson Brands To Alter DIP Provisions After Court Comments

    Bankrupt guitar maker Gibson Brands Inc. told a Delaware judge on Wednesday that it will resume discussion with its senior lenders and noteholders on the terms of its debtor-in-possession financing package after the judge offered some insights as to how he would likely rule on certain provisions.

  • 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.

Expert Analysis

  • 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.

  • What ABA’s Position On Harassment Means For Employers

    Minjae Song

    In the #MeToo era, the American Bar Association’s recently passed Resolution 302 is a reminder of harassment policy best practices to all employers, and it should be of particular interest to employers in the legal industry, say attorneys with Hunton Andrews Kurth LLP.

  • Practical Considerations For Litigating Proportionality

    Elizabeth McGinn

    By incorporating an explicit requirement that discovery must be “proportional to the needs of the case,” the 2015 amendments to the Federal Rules of Civil Procedure garnered much speculation as to their impact on courts’ decision-making processes. Now that the rules have been implemented for over two years, several themes have emerged, say attorneys with Buckley Sandler LLP.

  • Supporting Nontraditional Data Types In E-Discovery

    Jason Paroff

    The advancement in connected technologies and software has created an explosion of nontraditional data sources that present challenges to e-discovery practitioners. Many tools and techniques used to process traditional data may not be practical for these new data types, say Jason Paroff and Sagi Sam of Epiq.

  • The Fastest Federal Civil Court For A Decade

    Bob Tata

    Out of 94 district courts nationwide, the Eastern District of Virginia has the fastest civil trial docket in the country, now for at least the 10th straight year. The modern EDVA bench clearly takes pride in efficiently dispensing justice, and this dedication to efficiency has continued even in the face of increased filings, says Bob Tata of Hunton Andrews Kurth LLP.

  • For Some Insurance Claims, Plain Language Isn’t Enough

    Robert Helfand

    Sometimes words with multiple definitions can cause interpretive problems for an insurance policy. One solution is the define-by-association approach, which was used in Kostin v. Pacific recently to determine whether a bankruptcy trustee's action to avoid a transfer of funds can qualify as a claim for personal injury, says Robert Helfand of Pullman & Comley LLC.

  • How Lagos Might Affect Internal Investigations

    Joon Kim

    If the U.S. Supreme Court holds in Lagos v. United States that companies are able to seek restitution from criminal defendants when they are the victim of an offense, it will create another incentive to conduct internal investigations into misconduct within or against a corporation, say attorneys with Cleary Gottlieb Steen & Hamilton LLP.

  • Bankruptcy Venue Reform Not Likely To Happen This Year

    Mark Salzberg

    Despite a bankruptcy venue reform bill introduced earlier this year, it appears that the prime venue choices for Chapter 11 cases — Delaware and the Southern District of New York — can rest easy, at least for now, says Mark Salzberg of Squire Patton Boggs LLP.

  • The Benefits And Challenges Of Lending To Series LLCs

    Kristin Rylko

    Lenders considering advancing credit to a series limited liability company should be aware that there remains uncertainty surrounding the treatment of a series under state law and the Bankruptcy Code, but that there are techniques available to help mitigate the risks, say attorneys with Mayer Brown LLP.