Bankruptcy

  • April 11, 2018

    NY Unions Attack Construction Firm's Ch. 11 Claim Objections

    A group of construction worker unions representing employees of Navillus Tile Inc. argued Wednesday that the bankrupt New York-based contractor must prioritize some of their wage claims, saying they can be easily substantiated with documentation.

  • April 11, 2018

    Orexigen Reaches Deal With Creditors On $70M DIP Loan

    Bankrupt obesity drug maker Orexigen Therapeutics Inc. continued negotiations with noteholders until moments before a hearing Wednesday in Delaware, where it received final court approval on its $70 million post-petition financing package.

  • April 11, 2018

    Aviva Ends $35M Note Fraud Claims Against Dewey Execs

    Former Dewey & LeBoeuf chief operating officer Dennis D’Alessandro on Wednesday entered into an agreed judgement to end claims that he helped mislead Aviva Life and Annuity Co.about the firm’s finances when Aviva bought $35 million in secured notes in 2010.

  • April 11, 2018

    6th Circ. Says Couple's Appeal Of Fraud Verdict 'Nonsensical'

    The Sixth Circuit on Wednesday tore into an Ohio couple’s attempt to appeal a jury’s 2017 verdict finding them liable for nearly $3.3 million in accounts and fraudulent transfers from a bankrupt credit union, calling their arguments, “in some cases, nonsensical.”

  • April 11, 2018

    Cenveo Defends Bid To Hire Ex-VP As Bankruptcy Consultant

    Envelope maker Cenveo Inc. Tuesday told a New York bankruptcy court that creditors’ concerns about the company hiring a former vice president to renegotiate its leases is misplaced, saying he has the necessary experience and will be less expensive than a national firm.

  • April 11, 2018

    Lathrop Gage Snags LA Insurance Partner From Latham

    Lathrop Gage LLP has added an insurance recovery and counseling partner from Latham & Watkins LLP to its Los Angeles office, the firm announced Tuesday.

  • April 11, 2018

    Bon-Ton Liquidation Looms After Del. Court Nixes Bid Fee

    Bon-Ton Stores Inc.’s best hope for a going-concern Chapter 11 sale instead of liquidation went down in flames Wednesday, when a Delaware bankruptcy judge bluntly rejected its proposal to pay up to $500,000 to cover expenses for an unfinished post-deadline offer.

  • April 11, 2018

    Ex-Nortel Execs Beat Long-Simmering Securities Fraud Suit

    A nine-year-old investor lawsuit against two former top executives at defunct telecommunications firm Nortel Networks Corp. was dismissed by a New York federal judge on Wednesday, with the court ruling that there was no suggestion of misdirection or knowledge of wrongdoing by company officials.

  • April 10, 2018

    Bondholders Ratchet Up Puerto Rico Sales Tax Revenues Spat

    Holders of Puerto Rico’s general obligation bond debt waged a court fight Tuesday over the territory’s sales tax revenues, telling a New York federal judge that the island’s constitution overrides competing bondholder claims to more than $17 billion in pledged sales tax collections.

  • April 10, 2018

    Orexigen Noteholders Say $70M DIP Loan Strips Value

    A group of noteholders objected Monday in Delaware bankruptcy court to Orexigen Therapeutics Inc.’s $70.35 million debtor-in-possession loan, saying the financing will strip value from unsecured creditors by requiring the obesity treatment maker to sell its assets too quickly.

  • April 10, 2018

    Zohar Funds Manager Denied Docs From Other Court Cases

    The collateral manager of bankrupt distressed-company investment vehicles the Zohar Funds lost a bid Tuesday in Delaware seeking the production of a broad range of documents related to litigation in other fora as it prepares to litigate a motion to dismiss the Chapter 11 cases of the funds.

  • April 10, 2018

    Toys R Us Asks For Extra $80M In DIP Financing

    Toy retailer Toys R’ Us Monday asked a Virginia bankruptcy court for the go-ahead to secure an additional $80 million in debtor-in-place financing it says it will need to keep its remaining overseas operations afloat.

  • April 10, 2018

    Aircraft Parts Co. Gets Win In Trademark Suit

    A Pennsylvania federal judge granted a win to an airplane parts manufacturer in a trademark dispute with a rival over the use of a common part-labeling system, ruling that the system was not generic and that a valid trademark for it existed.

  • April 9, 2018

    Southeastern Grocers OK'd To Pay Fees On $1.125B Exit Loan

    Bankrupt retail chain Southeastern Grocers LLC received permission Monday from a Delaware judge to pay fees and expenses associated with more than $1 billion in exit financing that serves as the linchpin of its prepackaged Chapter 11 plan.

  • April 9, 2018

    Patriot National Creditor's Bid To Continue $110M Suit Denied

    A Delaware bankruptcy judge on Monday refused to allow Aspen Specialty Insurance Co. to resume its potential $110 million Pennsylvania lawsuit against bankrupt Patriot National Inc. and its affiliates, citing in part Patriot’s fast-approaching Chapter 11 plan confirmation hearing.

  • April 9, 2018

    Nine West Seeks Court OK For $300M In DIP Financing

    Women's shoe and apparel company Nine West Holdings Inc. on Monday asked a New York bankruptcy court to approve $300 million in debtor-in-possession financing as it moves through Chapter 11.

  • April 9, 2018

    Examiner OK'd In Ch. 11 Tied To Alleged Indian Fraudster

    A special examiner will be appointed to investigate Indian billionaire Nirav Modi's ties to his bankrupt U.S. jewelry businesses, as a New York bankruptcy judge on Monday approved an uncontested federal government request for the probe stemming from fraud allegations making headlines in India.

  • April 9, 2018

    Billionaire Sex Offender Fights Firm's Sanctions Bid

    Convicted billionaire sex offender Jeffrey Epstein shot back Monday against a law firm's bid to sanction him for allegedly retaining copies of confidential documents in violation of a bankruptcy court order, saying he never received the documents and should not be punished if his former Fowler White Burnett PA counsel did.

  • April 9, 2018

    Gawker Ch. 11 Judge Wrestles With Libel Claims' Releases

    Reporters who wrote for Gawker Media must wait a few more weeks to find out the extent to which the former gossip website’s Chapter 11 plan protects them from defamation claims, after a New York bankruptcy judge said Monday that he is having trouble interpreting certain liability release language.

  • April 6, 2018

    Bankrupt NY Solar Co. Blasts Ex-CEO's Bid To Liquidate

    Bankrupt Level Solar Inc. hit back hard on Thursday against a bid by its former CEO to convert its restructuring to a liquidation, calling the request a “litigation tactic” by “someone who expects to be sued” and telling a New York bankruptcy court the reorganization is going swimmingly.

Expert Analysis

  • Protecting Privilege In Litigation Financing Negotiations

    Eric Robinson

    Multiple courts have held that discoverable material from negotiations with a litigation funder, when executed properly, can be attorney work product and immune from disclosure in the later litigation. The recent Acceleration Bay decision is indicative of what happens when difficult facts conflict with best practices, says Eric Robinson of Stevens & Lee PC.

  • Lessons Learned From The Oil Patch Blues

    Tom Howley

    Now that crude oil prices appear to have stabilized, previously restructured oil and gas companies are once again looking to increase production and expand their asset bases. Bankruptcy created a competitive advantage for many reorganized entities, while companies that did not file are still in damage control, say attorneys with Jones Day.

  • Why Machine Learning Should Matter To Lawyers

    Dan Puterbaugh

    Legal leaders who want to meet their clients' expanding expectations should start moving their documents to future-ready document management solutions now if they want to stay competitive in the next few years, says Dan Puterbaugh of Adobe Systems Inc.

  • Key Constituents In Retail Bankruptcy: A Shifting Landscape

    George Angelich

    While retailers are not predestined to liquidate, unique issues and changing dynamics make them more susceptible to failure. It is essential that retailers, and those that do business with them, understand how to navigate the field, say George Angelich and Phillip Khezri of Arent Fox LLP.

  • Getting Back To Basics With Master Limited Partnerships

    Jeffery Malonson

    It has been a rough three years in the energy sector. During the downturn, upstream master limited partnerships, large and small, were disproportionately affected. If we have learned anything from this cycle, it is that we should endeavor to structure MLPs to withstand even the harshest price environments, says Jeffery Malonson of King & Spalding LLP.

  • Understanding Texas Mechanic's Liens And Bonds: Part 3

    Excerpt from Lexis Practice Advisor
    Tolin_David.jpg

    Texas is home to relatively complex statutory frameworks for liens and bonds used to secure payment for services rendered. Statutory and constitutional liens provide powerful remedies for nonpayment, but only if the proper guidelines are strictly observed, says David Tolin of Cokinos Young in the final part of this article.

  • 2nd Circ. Raises Bar For US Jurisdiction Over Foreign Banks

    Robert Reznick

    The Second Circuit's recent decision affirming the dismissal of UBS from a Madoff case is useful for foreign banks facing U.S. litigation. The decision is a reminder that, for purposes of general personal jurisdiction, corporate structure matters, say attorneys with Orrick Herrington & Sutcliffe LLP.

  • Understanding Texas Mechanic's Liens And Bonds: Part 2

    Excerpt from Lexis Practice Advisor
    Tolin_David.jpg

    Texas is home to relatively complex statutory frameworks for liens and bonds used to secure payment for services rendered. Statutory and constitutional liens provide powerful remedies for nonpayment, but only if the proper guidelines are strictly observed, says David Tolin of Cokinos Young in the second part of this article.

  • How Emerging Sources Of ESI Will Impact Discovery

    Charles McGee

    Late last year, the Sedona Conference released the third edition of its principles addressing electronic document production, updated to account for innovations like Snapchat and Twitter. It may be necessary for these principles to be updated more often in order to keep pace with technology, says Charles McGee III of Murphy & McGonigle PC.

  • Put The Brakes On Acceleration Bay Litigation Funder Ruling

    David Gallagher

    Last week, the District of Delaware raised eyebrows by ruling that documents provided to a litigation funder and its counsel in connection with their due diligence are categorically not attorney work product. Acceleration Bay v. Activision Blizzard seems to be a case of bad facts making bad law, says David Gallagher, investment manager and legal counsel for Bentham IMF.