Bankruptcy

  • October 27, 2017

    Top Dewey Cooperator Gets No Prison Time For Fraud

    The former finance director of Dewey & LeBoeuf LLP and star cooperating witness in the two criminal trials of the failed law firm’s top executives over a purported accounting fraud scheme was sentenced on Friday to no prison time, and instead was ordered to perform community service.

  • October 26, 2017

    Bankruptcy Software Co. Blasts Firm's Latest Antitrust Suit

    Software company Bankruptcy Management Solutions on Thursday urged an Illinois federal judge to dismiss a suit by a Chicago law firm accusing it of conspiring with competitors to agree on prices charged to Chapter 7 trustees, saying the firm's state-law claims are no different from federal antitrust ones that have already been dismissed twice.

  • October 26, 2017

    BNP Paribas Says Madoff Trustee's $156M Suit Must Fail

    French bank BNP Paribas SA on Wednesday urged a New York bankruptcy judge to refuse a motion by the bankruptcy trustee for Ponzi schemer Bernie Madoff’s investment company to make the bank and its affiliates pay $156 million for accepting funds from the scheme, saying they were fooled by Madoff like everyone else.

  • October 26, 2017

    MoFo Slams Sungevity Creditor's Ch. 11 Fee Claims

    Morrison & Foerster and a restructuring adviser, who were both flagged for submitting about $490,000 in allegedly unsupported fees during solar panel producer Sungevity Inc.’s Delaware Chapter 11, dismissed those objections Thursday as an unjustified clawback ploy designed to boost a buyer’s own recovery.

  • October 26, 2017

    Trump Signs Bill To Extend Bankruptcy Judgeships, Hike Fees

    President Donald Trump signed a disaster relief bill Thursday that included a provision extending several temporary bankruptcy judgeships and hiking fees for some bankruptcy filers.

  • October 26, 2017

    La Paloma Senior Creditors Defend Ch. 11 Plan Proposal

    The senior secured creditors of bankrupt power station owner La Paloma Generating Co. LLC defended the company’s proposed Chapter 11 plan Thursday in Delaware court, saying it worked hard to steer the case toward a confirmable plan while junior creditors sat idle.

  • October 26, 2017

    Westinghouse Lays Out Vision For Long-Term Ch. 11 Case

    Bankruptcy proceedings for Westinghouse Electric Co. LLC will carry on for a while, counsel for the beleaguered nuclear contractor indicated to a New York bankruptcy judge Thursday, saying they are sorting through claims and working to put an exit transaction together but will likely need certain extensions.

  • October 25, 2017

    Bankruptcy Appeals In District Court A Long Shot: Report

    Appealing bankruptcy court decisions in district court is a losing bet for the appellant, although your chances can vary wildly based on who’s sitting on the bench, according to a new report by legal analytics company Lex Machina.

  • October 25, 2017

    Fla. Court Revives Ch. 7 Trustee's Legal Malpractice Claims

    A Florida appeals court revived a bankruptcy trustee's negligence and malpractice claims against an attorney who had previously represented the debtor in a wrongful death suit, ruling Wednesday that she had standing to sue on his behalf.

  • October 25, 2017

    Unilife Ch. 11 Plan Gets Interim OK, Despite Gaps

    Medical device maker Unilife Corp. on Wednesday nailed down Delaware court dates for a confirmation hearing on its liquidating Chapter 11 plan, although estate values and creditor recovery estimates remain in flux, and unsecured creditors would not rule out a challenge.

  • October 25, 2017

    La Paloma Creditors Call Ch. 11 Plan Recoveries Unfair

    A group of second-lien creditors objected Tuesday in Delaware to the proposed Chapter 11 plan of power station owner La Paloma Generating Co. LLC, calling the plan unconfirmable and saying the recoveries proposed for unsecured creditors are not enough.

  • October 25, 2017

    Puerto Rico Gets Court's OK For Use Of FEMA Relief Funds

    The judge presiding over Puerto Rico’s bankruptcy-like cases on Wednesday approved the commonwealth’s stipulations for using federal disaster relief funds to help the island rebuild after Hurricane Maria, providing assurances that the money is to be used solely for cleanup efforts.

  • October 25, 2017

    RadioShack's E-Commerce-Focused Ch. 11 Plan Gets OK

    Electronics retailer RadioShack received approval from the Delaware bankruptcy court on Wednesday for its Chapter 11 plan of reorganization, which aims to shift the company’s focus to its web-based operations while reducing its debt load, and will push back issues relating to potential class claims lodged by workers laid off from its closing brick-and-mortar stores.

  • October 25, 2017

    AAI Lands Blow To Boeing Doc Bid In $1.2B Contract Row

    A special master on Wednesday recommended an Alabama federal judge reject Boeing Co.’s challenge to bankrupt Alabama Aircraft Industries Inc.’s claims of privilege regarding documents sought in a long-running dispute over a $1.2 billion U.S. Air Force contract.

  • October 25, 2017

    WL Homeowners Can Seek Insurance Recovery Over Defects

    A Delaware bankruptcy judge Tuesday ordered that homeowners pursuing defect claims against bankrupt WL Homes be allowed to continue pursuing claims under its insurance policies and avoid the automatic bankruptcy stay, but blocked them from pursuing claims against WL itself.

  • October 24, 2017

    United's DHL Counterclaims Preserved For Bankruptcy Court

    A New York federal judge on Tuesday declined to dismiss for good United’s counterclaims in DHL’s antitrust suit over air cargo surcharges, saying that granting the request would hurt the airline’s plan to pursue the claims in bankruptcy court.

  • October 24, 2017

    Toys R Us Cleared To Tap Remainder Of $3.1B DIP Loan

    Toys R Us won approval from a Virginia bankruptcy court on Tuesday to access the last remaining third of a $3.1 billion debtor-in-possession loan facility after negotiating with creditors to resolve payment concerns and stating that the company has positioned itself for a strong holiday sales season.

  • October 24, 2017

    Venoco Gets OK To Desert Calif. Pipelines Despite Local Fears

    Oil and gas driller Venoco LLC received Delaware Bankruptcy Court approval Tuesday to abandon a pair of oil and gas pipelines in Southern California over the objections of several state and local agencies.

  • October 24, 2017

    Deals Rumor Mill: Unilever, Siemens, Air Berlin

    The second round of bidding for the multibillion-dollar margarine and spreads unit of Unilever is set to begin, Siemens has hired three banks to help organize an IPO of its multibillion-dollar health care unit, and multiple suitors are vying for Air Berlin’s remaining assets.

  • October 24, 2017

    Avaya Clears Way For Reorg With New Creditor Ceasefire

    Avaya Inc. has resolved a series of creditor disputes that had blocked its Chapter 11 plan, the bankrupt telecom giant told a New York bankruptcy court Tuesday, clearing the way for confirmation of the plan and a reorganization of the company.

Expert Analysis

  • Opinion

    Dealing With Difficult Lawyers

    Alan Hoffman

    Some lawyers tend to be overly aggressive, regarding law practice as a zero-sum game in which there are only winners and losers. The best response is to act professionally — separating the matter at hand from the personalities. But it is also important to show resolve and not be vulnerable to intimidation, says Alan Hoffman of Husch Blackwell LLP.

  • The Psychology Of Hourly Fee Arrangements

    J.B. Heaton

    The range of possible and better fee agreements is wide. But such alternatives will become popular only if litigants confront the psychological tendencies shaping their existing fee arrangements, says J.B. Heaton, a partner at Bartlit Beck Herman Palenchar & Scott LLP.

  • Lessees Left In Limbo

    Kate Thomas

    The Ninth Circuit’s recent decision in Spanish Peaks casts doubt on the scope of protection that lessees may have when their leased real property is sold under Section 363 of the Bankruptcy Code, says Kate Thomas of Squire Patton Boggs LLP.

  • Self-Collection In E-Discovery — Risks Vs. Rewards

    Alex Khoury

    As judges become better educated about the complexities of collecting electronically stored information, in particular the inefficacy of keyword searching, they are increasingly skeptical of self-collection. And yet, for many good reasons (and a few bad ones), custodian self-collection is still prevalent in cases of all sizes and in all jurisdictions, says Alex Khoury of Balch & Bingham LLP.

  • 6 Common Lateral Partner Myths Debunked

    Dan Hatch

    It’s safe to say that while demand ebbs and flows for legal services, there will never be a shortage of opinions about lateral partner hiring, which is positive for the industry, as anything with such vital importance to careers should attract significant attention. However, there is a unique mythology that travels with the discussions, says Dan Hatch of Major Lindsey & Africa.

  • In Delaware, The Gift Plan Is Not Dead Yet

    Michael Friedman

    Many believed that the U.S. Supreme Court’s decision this year in Czyzewski v. Jevic Holding would be the death knell for so-called gift plans in bankruptcy. But given the Delaware district court's recent decision in Nuverra Environmental Solutions, that does not appear to be the case, say attorneys with Chapman and Cutler LLP.

  • 4 Ways Law Firms Can Help Battle Addiction

    Link Christin

    With more than a third of lawyers showing signs of problem drinking, and untold others abusing prescription drugs and other substances, it is time for law firms to be more proactive in addressing this issue, says Link Christin, executive director of the Legal Professionals Program at Caron Treatment Centers.

  • A Look At Latest 7th Circ. Opinion In Sentinel Management

    Aaron Boschee

    In its fifth trip to the Seventh Circuit, the Sentinel Management Group’s bankruptcy case recently explored complex issues bankruptcy practitioners often encounter in large Chapter 11 cases with financial services debtors, says Aaron Boschee of Squire Patton Boggs LLP.

  • A Law Firm Guide To Helping Victims Of Human Trafficking

    Sarah Dohoney Byrne

    Unlike victims of many crimes, human trafficking survivors often have complicated legal problems related to the experience of being trafficked — everything from criminal records to custody disputes to immigration obstacles. Many law firms already provide assistance in these areas and can easily transition resources and expertise, says Sarah Dohoney Byrne of Moore & Van Allen PLLC.

  • Bankruptcy Sale Does Not Obviate Chapter 91 Compliance

    Christopher Stracco

    In 975 Holdings LLC v. City of Egg Harbor, the New Jersey Tax Court recently extended the state's Chapter 91 dismissal provisions to properties purchased through a bankruptcy asset sale. A taxpayer should always respond to a Chapter 91 request to protect the rights of subsequent purchasers, say Christopher Stracco and Katharine Coffey of Day Pitney LLP.