Bankruptcy

  • September 12, 2017

    EisnerAmper Wants To Keep $100M Fraud Claims Nixed

    Accounting firm EisnerAmper LLP urged the Fifth Circuit on Monday not to revive a lawsuit from Louisiana pension funds accusing it of complicity in a fraud perpetrated by Fletcher Asset Management that cost the funds $100 million, arguing the funds missed their only window to establish a viable claim.

  • September 12, 2017

    TerraVia Selects Dutch Co.'s $20M Stalking Horse Bid

    Algae-based food developer TerraVia Holdings Inc. notified a Delaware bankruptcy court on Tuesday that its stalking horse bidder had won an auction for the bulk of the distressed company’s assets with a $20 million offer.

  • September 12, 2017

    PE-Owned Retailer Vitamin World Hits Ch. 11 In Del.

    Vitamin World filed for Chapter 11 protection Tuesday in Delaware, with plans to close at least 50 of its more than 300 retail locations to help rework roughly $44 million in total debt, about a year and a half after it was purchased by private equity firm Centre Lane Partners.

  • September 12, 2017

    Ex-Yukos Shareholders Say Russian Atty Is Elusive

    Former Yukos Oil Co. shareholders on Monday asked a California federal judge to allow them to serve by other means a lawyer believed to have information on Russia’s alleged efforts to manipulate foreign courts into setting aside a $50 billion award issued against the country related to the company's bankruptcy, arguing that the attorney is ducking their appeal proceedings.

  • September 11, 2017

    SquareTwo Dodges Illegal Debt Collection Class Claims

    SquareTwo Financial Services Corp. does not have to defend pending class claims over federal debt collection law violations in Ohio, a New York bankruptcy judge ruled Monday, saying that an injunction in the company's Chapter 11 plan blocks the proposed request to allow the litigation.

  • September 11, 2017

    Manhattan DA Wants Up To 4 Years For Ex-Dewey CFO

    Dewey & LeBoeuf LLP’s ex-chief financial officer should get up to four years in prison after his conviction for fraud and conspiracy, Manhattan prosecutors said, emphasizing that Joel Sanders has refused to fess up to his role in the firm’s financial collapse.

  • September 11, 2017

    San Juan Fights Puerto Rican Bank's $4.1B Debt Deal

    Attorneys for Puerto Rico's capital city of San Juan argued to a federal court on Monday that a plan to restructure the $4.1 billion debt load for the territory’s Government Development Bank would rob the island’s municipalities of millions in secured funds without giving them an adequate ability to object.

  • September 11, 2017

    Physiotherapy Fights PE Bid To Trim $248M Fraud Suit

    A Chapter 11 litigation trust pursuing former Physiotherapy Holdings Inc.’s controlling shareholders in Delaware for allegedly pocketing $248 million through a crippling, fraudulent sale slammed efforts on Monday to slash bankruptcy court recovery claims.

  • September 11, 2017

    CFPB Urges 9th Circ. To Make Law Firm Obey Subpoena

    The Consumer Financial Protection Bureau asked a federal appeals panel on Friday to reject a law firm’s challenge to an administrative subpoena it received as part of an investigation into a debt relief scheme, saying the firm’s argument would ultimately prove meritless.

  • September 11, 2017

    Bankrupt Outer Harbor Consents To Ch. 7 Conversion

    Bankrupt, bleeding cash and out of Chapter 11 options, Oakland, California-based Outer Harbor Terminal LLC agreed Friday with a call by the U.S. trustee’s office to convert its bankruptcy case to a Chapter 7 liquidation.

  • September 11, 2017

    Schulte Roth Seeks $5.4M For Maxus Creditor Work

    Schulte Roth & Zabel LLP sought approval Friday for $5.4 million in fees for representing the official unsecured creditors committee in defunct oil company Maxus Energy Corp.'s 13-month bankruptcy proceeding.

  • September 11, 2017

    Glove-Maker Ironclad Files For Ch. 11 With $20M Sale Bid

    Work glove manufacturer Ironclad Performance Wear Corp. on Friday filed for Chapter 11 bankruptcy in California, with plans to keep operating as normal thanks to a $2 million debtor-in-possession loan from Radians Wareham Holding Inc., ahead of a planned 363 sale to Radians for $20 million.

  • September 11, 2017

    Pa. Court Won't Revive Asbestos Suit Banned By Bankruptcy

    The Pennsylvania Supreme Court said Friday it would not hear an appeal of a decision finding that a bankruptcy court order barred a woman and her husband from pursuing claims over alleged asbestos exposure against Standard Steel LLC.

  • September 8, 2017

    Why More Global Giants Are Renouncing Their HQs

    As more and more international legal giants opt to renounce their headquarters — a move that can woo clients and merger partners alike — experts say it’s a step that also brings its own set of management challenges.

  • September 8, 2017

    Firms Stay The Course On London Growth Amid Brexit Haze

    A year after the U.K.’s vote to end its membership in the European Union, most firms are either hewing to existing expansion plans or making tweaks around the edges, with even the most avid crystal ball-gazers at a loss for what Brexit will mean in the long term.

  • September 8, 2017

    Law360 Reveals The Global 20 Firms Of 2017

    When it comes to having the global expertise to handle complex cross-border matters spanning multiple time zones, some firms stand out from the rest. Here, Law360 reveals its seventh annual ranking of the firms with the biggest international presence.

  • September 8, 2017

    Where The Global 20 Are Bolstering Their Ranks

    Australia, Brazil and Germany have emerged as premier hubs for global law firm expansion in 2017, fueled in part by increased anti-corruption enforcement in Brazil, infrastructure investment in Sydney and the U.K.’s vote to leave the European Union.

  • September 8, 2017

    Global Firms Snap Up India Work With Liberalization In Limbo

    International law firms play a crucial role in India despite being barred from practicing there, and some say opening up the country’s legal industry wouldn’t drastically change how they do business.

  • September 8, 2017

    Money Centers Judge Won't Drop Ex-CFO From 'Looting' Suit

    A Delaware bankruptcy judge on Friday denied a bid from a former executive of defunct casino cash services firm Money Centers of America Inc. to toss the liquidating trustee’s allegations he and other top brass looted the company, ruling that his personal bankruptcy doesn’t discharge the liability.

  • September 8, 2017

    AMRO Presses Ch. 7 Judge For Transmar Emails Order

    A lawyer investigating bankrupt Transmar Commodity Group Ltd. on behalf of lender ABN AMRO Capital USA LLC asked a New York bankruptcy judge on Thursday to order an auditor to turn over information that could shed light on the cocoa concern's fraud-tinged fall into insolvency.

Expert Analysis

  • 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.

  • Time For Bankruptcy Auctions To Go Online

    Brad Miller

    Complex auctions under the Bankruptcy Code are still often conducted in the traditional manner — live and in person in law offices and courtrooms. An online auction that is designed specifically to meet the needs of all stakeholders is a better approach, say Brad Miller and Margarita Patria of Charles River Associates.

  • Weekly Column

    Innovating For Wise Juries: Closing Argument

    Stephen Susman

    In the final article in this series on proposed innovations to the American jury trial, Stephen Susman, Richard Lorren Jolly and Dr. Roy Futterman of the NYU School of Law Civil Jury Project sum up the improvements they believe the U.S. jury system desperately needs.

  • Oil Producers Cannot Recover From Downstream Purchasers

    Edward Ripley

    The Third Circuit recently affirmed that downstream purchasers took oil purchased from a bankrupt intermediary free and clear of the oil producers’ liens. The opinion is an important reminder that courts will look to the state lien laws and Uniform Commercial Code of a midstream company’s home state to determine whether the producers are secured, say attorneys with King & Spalding LLP.

  • 5 Questions All AFAs Should Answer Clearly

    Gregory Lantier

    While no particular form is required to establish a durable alternative fee arrangement, there are terms that should, for the benefit of both client and outside attorney, be expressly set forth in the agreement itself, but are often overlooked, say attorneys with WilmerHale.

  • Fiduciary Duty Claims In Bankruptcy: Mitigating The Risks

    Joseph Swanson

    In a bankruptcy, the trustee, shareholders, employees and other third parties frequently look to hold the directors and officers responsible through breach of fiduciary duty claims. Although defending these claims can be stressful, there are protections in place for defendants and strategies that can reduce their exposure, say Joseph Swanson and Donald Kirk of Carlton Fields Jorden Burt PA.

  • Cybersecurity Risks In The Courtroom

    Daniel Garrie

    As cybercriminals continue to look for easy targets, the court system will surely enter their crosshairs. If judges and court personnel do not maintain proper data security and cyber hygiene, confidential litigant information can fall into the hands of a wide variety of bad actors, say Daniel Garrie of JAMS, David Cass of IBM Cloud, Joey Johnson of Premise Health Inc. and Richard Rushing of Motorola Mobility LLC.

  • CIMLA And The Confusion Around Maritime Liens

    Brian Maloney

    Although the Commercial Instruments and Maritime Lien Act was enacted to clarify confusion regarding the rights and remedies of participants in the shipping industry, recent global insolvencies of entities such as O.W. Bunker and Hanjin have forced courts to reconsider the text, history and purpose of a seemingly straightforward federal statute, say Brian Maloney and Laura Miller of Seward & Kissel LLP.

  • Monthly Column

    Gray Matters: Clients Are Not Really 'Emotional'

    Gray Matters

    When you look at your client through the "survival circuit" lens, what first appeared as an emotional mess is now valuable information about what is important to them, what needs have to be met to settle the case, or what further clarity your client requires before moving forward, say dispute resolution experts Selina Shultz and Robert Creo.