DBSI's 71-year-old former corporate general counsel serving a five-year prison sentence for his role in a Ponzi scheme disguised as a real estate company will have to wait and see if the Bureau of Prisons finalizes its agreement to release him to home confinement amid the pandemic, a federal judge in Idaho said Thursday.
Wildfire survivors on Friday urged a California federal judge overseeing Pacific Gas and Electric Co.'s $59 billion chapter 11 reorganization plan to ensure that they don't have to wait years to liquidate the PG&E stock in their wildfire liability settlement, saying PG&E can't give other shareholders better terms.
The federal government and other stakeholders in the Chapter 11 case of health care conglomerate Hygea Holdings Corp. are opposing the company's reorganization plan, asserting it has provisions releasing certain parties from potential liability that are too expansive.
The COVID-19 outbreak's effects on numerous industries continued over the last week as companies succumbed to the economic pressures of the pandemic.
The COVID-19 pandemic has severely slowed the commercial real estate market as investors are skittish and banks are reluctant to loan, and while the IRS on Thursday provided important relief for investors in opportunity zone projects, questions and hurdles for such deals still remain. Here, Law360 looks at several.
Argentina must face a lawsuit in New York federal court accusing the nation of hurting an energy company's shareholders when the firm was nationalized, a judge said Friday.
The Texas Supreme Court agreed Friday to review a lower court ruling that the state's grid operator is entitled to government immunity from a lawsuit lodged by a bankrupt power plant owner.
Acento Real Estate Partners has reportedly landed $114 million in financing for three Baltimore-area multifamily properties, 24 Hour Fitness is said to be seeking a buyer ahead of a planned bankruptcy filing, and a Time Equities venture has reportedly halted construction of a Chicago condo tower over coronavirus concerns.
The past week in London has seen a Chinese billionaire dissident launch another legal fight with UBS AG, a demolition company lodge a negligence claim against Hiscox and an asbestos solutions provider and an airport sim card seller target telecommunications giant Vodafone. Here, Law360 looks at those and other new claims in the U.K.
Settlement objectors in class and derivative actions may receive attorney fees for improving deals in ways beyond the dollars and cents, the Third Circuit said Thursday in a precedential ruling that the former general counsel of a body armor business deserves fees with no strings attached for such an objection.
Pacific Gas and Electric Co.'s $59 billion Chapter 11 reorganization plan does not adequately mitigate wildfire risks or prioritize wildfire survivors, challengers to the plan told a U.S. bankruptcy judge during a bench trial Thursday, calling the plan a "house of cards" that should not be confirmed.
A Texas bankruptcy judge approved a $450 million Chapter 11 financing package for J.C. Penney Co. on Thursday after the company said that only its first-lien lenders were willing to put money into the retail chain in the face of COVID-19.
A Delaware judge on Thursday gave her nod to the Chapter 11 plan of drug technology company Valeritas Holdings Inc. in what was one of the first insolvency cases nationwide blaming the coronavirus outbreak for a company's trip into bankruptcy.
A New Jersey bankruptcy judge agreed Thursday to another suspension of Modell's Sporting Goods Inc.'s Chapter 11 case, which was initially derailed by COVID-19-prompted store closures and is now complicated by the widespread unrest that followed the May 25 killing of George Floyd in Minneapolis.
Bankrupt amusement park chain Apex Parks Group received Delaware court approval Thursday for a $60 million sale of its assets to prepetition lender Cerberus Business Finance LLC and a case settlement with unsecured creditors.
Approval of a Chapter 11 reorganization and redevelopment plan for the Century III Mall outside Pittsburgh was delayed again Thursday to work out a deal with J.C. Penney Co., the last retailer at the mall and the last objector to the plan, as the company goes through its own bankruptcy.
Car and truck part maker APC Automotive Technologies received court approval Thursday to access $30 million in bankruptcy financing being provided by its existing lenders as it pursues a prepackaged Chapter 11 plan to slash nearly $300 million of debt.
In this edition of Coronavirus Q&A, Berger Singerman LLP co-chair and bankruptcy pro Paul Singerman talks about how the pandemic-fueled financial crisis compares with other economic turmoil he has helped clients weather and the challenges companies will face in the coming months.
LVMH hopes to renegotiate its $16.2 billion takeover of Tiffany, Shell aims to net $3 billion through the sale of a stake in Australian liquefied natural gas facilities, and Amazon may buy a $2 billion stake in an Indian mobile operator. Here, Law360 explores these and other deals from the past week that you need to be aware of.
A New York federal judge denied Bernie Madoff compassionate release from his 150-year prison sentence on Thursday, at the urging of roughly 500 of the notorious Ponzi scammer's victims.
Pacific Gas and Electric Co. urged a U.S. bankruptcy judge to confirm its $58 billion reorganization plan during a bench trial Wednesday, slamming an objector's allegations of a potential conflict of interest as "absolutely preposterous" and warning of "draconian" results for wildfire victims if the plan is not confirmed.
Former Bumble Bee CEO Chris Lischewski urged a California federal judge Wednesday to reject prosecutors' request for a 10-year prison sentence for his role in fixing the price of tuna, arguing that there was no evidence he led the conspiracy, obstructed justice or caused losses and that he should get no more than 10 months.
The Eighth Circuit on Wednesday partially revived a hedge fund's suit against JPMorgan Chase & Co. and other lenders alleging they aided businessman Thomas Petters' $3.7 billion Ponzi scheme, finding the district court jumped the gun on deciding the suit was filed too late.
The owner of apparel retail chain New York & Co. on Wednesday told federal financial regulators that it is likely on the verge of a bankruptcy filing, saying the impact of COVID-19 has raised "substantial doubt" about its ability to continue as a going concern.
The operator of a sprawling Philadelphia oil refinery received approval Wednesday from a Delaware bankruptcy judge for a settlement that will cap its obligations related to environmental regulatory rules at $10 million, down from the $35 million asserted by the federal government.
Lawyers navigating the COVID-19 fallout may think they no longer have time for the “soft” aspects of their work — such as being an outlet for clients' stress — but maintaining equanimity and focusing on the human aspects of lawyering are key to weathering the crisis, say Meredith Parfet and Aaron Solomon at Ravenyard Group.
While the majority of the early rulings on the increased quarterly fees Chapter 11 debtors pay to the U.S. Trustee primarily held that the fee schedule amendment is unconstitutional, two recent decisions reversed this trend, setting the stage for important appellate rulings on this issue soon, say Justin Paget and Nathan Kramer at Hunton.
The recent market decline is likely to usher in a wave of litigation as several contemporaneous factors — such as news about the pandemic and faltering oil prices — contribute to volatility that will be felt differently across various industries, says Jordan Milev at NERA Economic Consulting.
While the pandemic delays bar exams, jurisdictions should adopt other ways to license new lawyers, as sticking to the status quo would abdicate our profession’s responsibility to meet the public’s legal needs, say law professors Deborah Jones Merritt, Marsha Griggs and Patricia Salkin.
With law firms and their clients increasingly interested in exploring litigation funding during the current economic crisis, attorneys must be aware of the trends emerging in courts across the country regarding the discoverability of litigation funding materials, say attorneys at Jenner & Block and Longford Capital.
States seeking to refill depleted budgets due to the coronavirus pandemic could recover revenues more quickly if they practice lenience in collecting delinquent business taxes, says Michael Wynne at Jones Day.
When the U.S. economy inevitably returns to health, a number of antitrust rules already on the books can facilitate rapid investment in distressed companies, minority interest acquisitions and other securities sales without government delay, say Harry Robins and David Brenneman at Morgan Lewis.
Litigation has historically been an in-person activity, but the COVID-19 crisis might bring a long-lasting shift toward adoption of technologies that allow discovery and other litigation activities to proceed in a manner that preserves social distancing, say Elisabeth Ross and Christopher Hennessy at Cozen O’Connor.
As they face the current downturn, it is important for oil and gas operators in Texas to understand the practical and strategic implications of a nonoperating partner declaring bankruptcy, then rejecting a joint operating agreement and becoming a co-tenant, say attorneys at Baker McKenzie.
Given the ease with which videoconference participants can unwittingly risk civil and criminal liability by unlawfully recording calls, attorneys should be mindful of — and clients may appreciate prospective advice on — state consent laws and the various meeting platforms' consent features, say Daniel Rozansky and Crystal Jonelis at Stubbs Alderton.
Even modest adjustments to the terms of a debt instrument due to the COVID-19 pandemic can introduce significant federal income tax complexity — such as cancellation of indebtedness income for the debtor and original issue discount for the lender, say attorneys at Mayer Brown.
In the age of enforced social distancing, the limits on access to electronic filing means bankruptcy is paradoxically only available to those individuals who can afford it, says Rohan Pavuluri at Upsolve.
Taking a deposition of an uncooperative witness is one task made immeasurably more difficult during the current pandemic, and certain deposition styles that may be extremely forceful in person may have limited effectiveness over videoconference, says Qian Julie Wang at Robins Kaplan.
While the Bankruptcy Code is normally a powerful tool for companies in financial distress, Congress should amend it to address the current level of rapid triage needed by businesses affected by the coronavirus pandemic, says Frank Eaton at Linda Leali.
Attorneys at Shearman & Sterling highlight key debt buyback and liability management considerations for companies as the trading prices of many corporate loans and bonds fall in response to the COVID-19 crisis.