Bankruptcy

  • November 6, 2017

    US Gov't To Defend Puerto Rico Restructuring Law In Court

    The federal government said Monday it will participate in a court challenge over the constitutionality of the 2016 law enacted by Congress to address Puerto Rico's staggering debt crisis, after the statute was challenged by a creditor hedge fund and a union representing electric utility workers.

  • November 6, 2017

    Takata Seeks To Pause Air Bag Suits For Another 90 Days

    Takata Corp. asked the Delaware bankruptcy court Monday to extend the litigation freeze on hundreds of lawsuits over the defective air bag inflators linked to at least a dozen deaths for another 90 days past its Nov. 15 deadline, arguing that the lawsuits would pull focus from its bankruptcy exit efforts.

  • November 6, 2017

    The Law Firms Spinning The White House Turnstile

    A change in administration opens revolving doors for BigLaw, allowing some attorneys to transition to a government gig while giving others the chance to move into the private sector. Here are the firms and attorneys cycling through some prominent executive branch positions.

  • November 6, 2017

    Odebrecht Oil & Gas Asks For Bankruptcy Relief In US

    Brazilian oil field servicing company Odebrecht Oil & Gas asked a New York bankruptcy court on Friday for legal cover in the U.S. as it winds its way through insolvency proceedings in Brazil, where it is restructuring approximately $4.7 billion in secured debt.

  • November 6, 2017

    Who’s Repping Whom? Law360’s Guide To The Mueller Probe

    As Robert Mueller’s investigation of the Trump campaign draws a slew of corporate attorneys to the scene, here’s a look at the legal firepower representing figures in the special counsel’s inquiry.

  • November 6, 2017

    Has Trump Been Good For BigLaw?

    Last November’s Election Day triumph for Donald Trump seemed likely to bring about, as one consultant put it, a “legal industry on steroids.” A year on, though, the picture for law firms is decidedly mixed.

  • November 6, 2017

    What Trump’s War On Regulations Means For Lawyers

    Corporations and their attorneys can be some of the country’s most ardent deregulation enthusiasts, but many are struggling to navigate uncertainty clouding the Trump administration’s efforts to pare down the rulebook.

  • November 6, 2017

    Puerto Rican Utility Fights Class Cert. Bid In Kickback Suit

    PREPA, Puerto Rico’s electric utility, is fighting back against a proposed class action alleging it has been cheating on environmental standards testing and systematically overcharging customers for years, telling a Puerto Rico federal court Friday certification should be denied because the putative class members can’t show how the alleged conspiracy affected them as a whole.

  • November 6, 2017

    'Real Housewives' Star, Others Owe $70M, Clothing Co. Says

    An apparel company formerly owned by “Real Housewives of New Jersey” star Christopher Laurita told the court that Laurita and his co-conspirators should pay $70 million plus attorneys' fees after the court found they had conspired to transfer away a valuable clothing license once the company declared bankruptcy.

  • November 6, 2017

    Justices Mull Where To Draw Line On Clawback Safe Harbors

    The U.S. Supreme Court appeared to be struggling to define the scope of the Bankruptcy Code’s “safe harbor” provision exempting certain securities transactions from trustee clawbacks during oral arguments Monday in a $16.5 million case over a horse track deal with billion-dollar implications for Chapter 11 proceedings.

  • November 3, 2017

    ACE Insurance Must Pay $1.1M For Pollution Judgment

    A Georgia federal judge on Friday ordered ACE American Insurance Co. to pay Wattles Co. $1.13 million after an underlying trial over coverage for acid damage at a battery factory previously occupied by later-bankrupt Exide Technologies.

  • November 3, 2017

    KIT Trial Defense Says DOJ Official Helped Fraud Suspect

    A defense attorney in the fraud trial of entrepreneur and “Twilight” financier Omar Amanat and former KIT Digital Inc. CEO Kaleil Isaza Tuzman on Friday accused a high-ranking U.S. Department of Justice lawyer of providing legal advice to a cooperating witness and giving him a referral to a relative’s law firm.

  • November 3, 2017

    Puerto Rico Gov't Fights Appointment Of Utility Manager

    The government of Puerto Rico is pushing back against the installation of an emergency manager to run the island’s beleaguered electric utility, saying Friday that the federal board overseeing the territory’s finances is attempting to overstep the powers it was granted by Congress.

  • November 3, 2017

    AutoLeather DIP Terms And Milestones Draw Committee's Ire

    The proposed post-petition financing package of bankrupt vehicle upholstery maker GST AutoLeather Inc. drew an objection late Thursday from the committee of unsecured creditors who say the loans only serve to put the lenders in a better position to acquire the company’s assets.

  • November 3, 2017

    Momentive Creditors Ask For Rethink On Make-Whole Outlay

    The senior noteholders of bankrupt silicone maker Momentive Performance Materials Inc. on Friday asked the Second Circuit to reconsider a ruling denying them $200 million in compensation for a plan to refinance the company’s debt at a lower interest rate.

  • November 3, 2017

    Ryckman Creek Proposes $26M Sale To Ch. 11 Plan Sponsor

    Bankrupt natural gas storage venture Ryckman Creek Resources LLC rolled out a drastically scaled-back Chapter 11 plan and disclosure late Thursday, conceding scant bidder interest in its Wyoming site and proposing a quick, 80 percent sale to the plan sponsor for up to $26 million in cash.

  • November 3, 2017

    Gibson Dunn Adds Ex-Solicitor General Assistant In DC

    Gibson Dunn & Crutcher LLP has hired a former assistant to the U.S. solicitor general, who argued dozens of cases before the U.S. Supreme Court that related to securities fraud, intellectual property, employment, bankruptcy and corporate criminal liability, the firm announced.

  • November 3, 2017

    Up Next At High Court: Clawbacks And Congressional Power

    An attorney’s unexpected medical leave in one case and the possible settlement of another has whittled the U.S. Supreme Court’s docket down to just two oral arguments this week: a dispute over safe harbors from bankruptcy clawbacks and a question about Congress’ power to define federal court jurisdiction.

  • November 3, 2017

    Transcare Trustee Can Subpoena Patriarch Partners Ex-Exec

    A New York bankruptcy judge Friday told the trustee of bankrupt medical transporter TransCare Corp. he can subpoena the former managing director of TransCare’s private equity owner, Patriarch Partners, as part of his continuing investigation of the financial states of the estate.

  • November 3, 2017

    DLA Piper Adds Latin America-Focused Finance Atty

    DLA Piper is adding a finance attorney from Curtis Mallet-Prevost Colt & Mosle LLP with experience in Latin American cross-border financing, including private equity, mergers and acquisitions and debt placements as partner in its New York office, the firm announced.

Expert Analysis

  • On Second Thought: EFH Court's Extraordinary Move

    Steven Wilamowsky

    The Delaware bankruptcy court’s recent decision in Energy Future Holdings, granting a motion to reconsider a decision it made over a year ago and denying a breakup fee it had previously approved, is at once troubling and instructive, say Steven Wilamowsky and Sara Ghadiri of Chapman and Cutler LLP.

  • Series

    Judging A Book: Kozinski Reviews 'The Judge'

    Judge Alex Kozinski

    In their new book, "The Judge: 26 Machiavellian Lessons," do Ronald Collins and David Skover prove their thesis that hypocrisy is the key to judicial greatness? Some of the examples they present are hard to dispute, says Judge Alex Kozinski of the Ninth Circuit.

  • Financial Crisis Anniversary

    New Post-Recession Metrics For BigLaw Partner Success

    Peter Zeughauser

    After nearly a decade of recession-accelerated change in the legal industry, “merit-based” compensation has largely come to mean measuring attorney success using some combination of origination and working attorney hours metrics. However, there are signs that the real impact of the recession is still around the corner, and that building a book isn’t enough, says Peter Zeughauser of Zeughauser Group.

  • Opinion

    Time To Lift Student Loan Counseling Restrictions

    Christopher Chapman

    While it lends more than $100 million each year to our nation’s college students — including law students — the U.S. Department of Education surprisingly limits loan counseling to one-time entrance counseling for first-time student borrowers. Is this rational? asks Christopher Chapman, president of AccessLex Institute, a nonprofit focused on access to legal education.

  • A Look At The New Qualified Financial Contracts Rule

    Rashmi Seth

    New regulations approved by the Federal Reserve and the Federal Deposit Insurance Corp. will fundamentally change the playing field for end users or buy-side counterparties that engage in certain types of financial agreements with the world’s largest financial institutions. Here, attorneys with Arnold & Porter Kaye Scholer LLP break down the issues that parties to qualified financial contracts should consider as the rules go into effect.

  • The Vicissitudes Of Partnership Assumption In Bankruptcy

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    When a debtor partner makes a motion to assume a partnership agreement, courts have disagreed on the appropriate legal standard — whether to apply the “actual” or “hypothetical” test. The split in the circuits on this question continues to lead to controversy, says Richard Epling, a retired partner at Pillsbury Winthrop Shaw Pittman LLP.

  • Why You Should Consider Hyperlinking Your Next Brief

    Christine Falcicchio

    The shift to electronic filing has somewhat eased the task of reviewing briefs and their supporting files. An e-brief takes e-filing to the next level, says Christine Falcicchio, a principal at Strut Legal Inc.

  • Minimizing Risk Of Borrower Bankruptcy

    Samuel Newman

    As lenders and investors continue to experiment with creative structures to prevent a borrower’s bankruptcy filing, two recent bankruptcy court decisions in the cases of Lexington Hospitality Group and Squire Court Partners provide guidance on valid safeguards, say attorneys with Gibson Dunn & Crutcher LLP.

  • Asian-Americans Facing Challenges In The Legal Industry

    Goodwin Liu

    Asian-Americans are the fastest-growing minority in the legal profession, but recent studies confirm their underrepresentation among partners, prosecutors, judges and law school administrators. We must take action, say Goodwin Liu, associate justice of the California Supreme Court, and Ajay Mehrotra of the American Bar Foundation.

  • A BigLaw Ladies’ Guide To Becoming A 1st-Chair Trial Lawyer

    Sarah Rathke

    Judge Shira Scheindlin recently published an op-ed in The New York Times discussing the statistical truth that law firms have poor representation of female attorneys as first-chair trial lawyers. Backed by data collected by the New York State Bar Association, Judge Scheindlin’s observation is not merely anecdotal. But it doesn’t have to be inevitable, says Sarah Rathke, a partner and trial lawyer at Squire Patton Boggs LLP.