Bankruptcy

  • August 13, 2024

    Yellow Takes Teamsters' Win Over Restructuring To 10th Circ.

    Yellow Corp. has asked the Tenth Circuit to revive its $137 million lawsuit accusing the Teamsters of driving the logistics firm into bankruptcy by fighting a necessary corporate restructuring, according to an appeals notice.

  • August 13, 2024

    Gene Tech Co. Execs Pilfered Biz Amid Collapse, Suit Says

    The senior lender to Sequencing Health Inc. has sued former officers and directors of the now-defunct genomic science company, alleging they squandered the company's assets, awarded themselves big bonuses and shut down the business, costing Oxford tens of millions of dollars in losses.

  • August 13, 2024

    4th Circ. Won't Tie Debtor To Default Bankruptcy Plan

    The Fourth Circuit said Tuesday that Chapter 13 debtors aren't bound to default provisions in the form used in their local jurisdiction when creating a plan to exit bankruptcy, finding the debtor should be the "principal architect" of their own plan and the bankruptcy court's ability to reject that plan is limited.

  • August 13, 2024

    Riders Renew Bid To Sue Segway Over Pa. Scooter Injuries

    Two riders who were injured and the estate of a rider who was killed while using the now-defunct Spin electric scooter service in Pittsburgh have renewed their request to split their lawsuit against the city and Spin's bankrupt parent company so they can move ahead with claims against scooter maker Segway and the service's nonprofit partners.

  • August 13, 2024

    Jackson Walker Slams 'Draconian' Judge Romance Fees Bid

    Jackson Walker LLP is pushing back on a U.S. Trustee Office's attempt to roll back at least $13 million in fees and reimbursements awards, saying the firm is just the latest bystander to become "collateral damage" from a concealed romance between an ex-firm partner and a former federal bankruptcy judge.

  • August 13, 2024

    Spector Gadon's $200K Fee Pursuit Against Client Paused

    Philadelphia-based Spector Gadon Rosen Vinci PC has to pause its pursuit of more than $200,000 in fees from a client it represented in Chapter 7 bankruptcy proceedings, while the debtor appeals a ruling that the firm has a right to a jury trial on the matter.

  • August 13, 2024

    'Clever' Scheme Is Concealing Talc Litigation Funding, J&J Says

    The Beasley Allen Law Firm needs to disclose alleged litigation funding fueling its litigation over Johnson & Johnson's talcum powder even if that funding was not given directly to the firm since the disclosure rules apply to "parties" and not "law firms," J&J has told a New Jersey federal court.

  • August 13, 2024

    Green Generator Startup Moxion Files Ch. 7 After Layoffs

    Amazon-backed electric generator startup Moxion Power Co. filed for Chapter 7 liquidation in Delaware with between $100 million and $500 million of total estimated liabilities, not long after the San Francisco Bay Area company announced scores of layoffs.

  • August 13, 2024

    Talc Claims Land Cosmetics Giant Avon In Ch. 11

    Avon Products filed for Chapter 11 protection in Delaware, saying it needs to address more than $1 billion in liabilities and allegations of injuries caused by talc in its products.

  • August 12, 2024

    3AC Hedge Fund Files $1.3B Claim In TerraForm Bankruptcy

    Liquidators of collapsed crypto hedge fund Three Arrows Capital Ltd. filed a $1.3 billion claim in the TerraForm Labs Pte. bankruptcy in Delaware federal court Friday, according to documents obtained by Law360.

  • August 12, 2024

    Texas Wants Debt Relief Review In Wake Of 8th Circ. Ruling

    Texas' solicitor general on Saturday pressed the U.S. Supreme Court to shut down the Biden administration's student debt relief plan, arguing that a recent Eighth Circuit decision granting an injunction against the plan in a similar case "underscores" why the high court should grant its petition for certiorari.

  • August 12, 2024

    Chase Bank Sued Over Alleged Ties To $119M Ponzi Scheme

    Chase Bank "actively accommodated" a purported Ponzi scheme worth more than a hundred million dollars by real estate developer SiliconSage Builders LLC, according to a court-appointed receiver who alleged in a new suit that the bank "went well beyond providing ordinary banking services" to the developer.

  • August 12, 2024

    Colo. Brewery And Ex-Manager Settle Embezzlement Suit

    A Colorado brewery and its ex-manager accused of embezzling more than $600,000 for his own business agreed to permanently dismiss a lawsuit, one day after a state judge let the brewery seek punitive damages in the case. 

  • August 12, 2024

    Celsius Sues Tether For Over $2B In Ch. 11 Clawbacks

    The defunct cryptocurrency platform Celsius Network has sued the largest stablecoin provider, Tether, seeking to claw back more than $2.3 billion worth of bitcoin and accusing Tether of improperly reaping the benefits of the digital coins for itself as Celsius was spiraling towards bankruptcy.

  • August 12, 2024

    Oil Cos. Get Go-Ahead On $3.5M La. Contamination Settlement

    A Louisiana federal judge has granted preliminary approval to a $3.5 million settlement to resolve residents' claims against Occidental Petroleum Corp. and Anadarko Petroleum Corp. over alleged contamination from creosoting facilities, over the objection of co-defendants BNSF and International Paper.

  • August 12, 2024

    Blink Fitness Hits Ch. 11 In Delaware With $280M Debt

    Budget gym chain Blink Fitness and more than 130 affiliates filed for Chapter 11 bankruptcy protection in Delaware with $280 million in debt and plans for an asset sale.

  • August 12, 2024

    LL Flooring Hits Chapter 11 Amid Consumer Spending Slump

    National home improvement store LL Flooring filed for bankruptcy in Delaware with some $109.6 million in funded debt, saying it plans to sell its business and reduce its footprint while in Chapter 11.

  • August 09, 2024

    SVB's $1.9B FDIC Suit Won't Open 'Floodgates,' Judge Says

    A California federal judge trimmed claims from the parent of Silicon Valley Bank's lawsuit against the Federal Deposit Insurance Corp. seeking $1.93 billion, but rejected the agency's arguments that allowing some claims to move forward will "open the floodgates" for every failed bank's uninsured depositors to bring a claim.

  • August 09, 2024

    Pitney Bowes' E-Commerce Arm Can Tap $47M DIP In Ch. 11

    A Texas bankruptcy judge on Friday gave DRF Logistics LLC the go ahead to borrow $45 million under a Chapter 11 loan funded by its former parent, shipping company Pitney Bowes Inc., which let go of its majority stake in DRF to wind down the unprofitable e-commerce division in bankruptcy.

  • August 09, 2024

    Judge Sides With NY Diocese In Axing 33 Abuse Claims

    A New York federal judge has upheld the dismissal of 33 sexual abuse claims against Long Island's bankrupt Roman Catholic Diocese, finding there was insufficient evidence the diocese had supervisory control over the alleged abusers.

  • August 09, 2024

    Palm Owner Says Its Ch. 11 Should Halt Ex-GC's Bias Suit

    The bankrupt parent company of iconic steakhouse chain The Palm Restaurant wants a federal court to halt a lawsuit filed by its ousted general counsel because its 2019 bankruptcy case has not been dismissed.

  • August 09, 2024

    NC Insurance Mogul Must Pay Dutch Insurer's $166M Award

    Insurance mogul Greg Lindberg and his companies must pay a $166 million arbitral award issued to defunct Dutch life insurer Conservatrix, a North Carolina federal court ruled, saying the award has been upheld by Dutch courts and there is nothing to indicate that the proceedings were not conducted fairly.

  • August 09, 2024

    UK Litigation Roundup: Here's What You Missed In London

    This past week in London has seen China Evergrande Group file a commercial fraud claim against its founder's ex-wife, legal action by Manolete Partners against the directors of an insolvent construction company, VietJet tackle a claim by French banking group Natixis and more developments in the "Dieselgate" scandal. Here, Law360 looks at these and other new claims in the U.K.

  • August 08, 2024

    2nd Circ. Says Fla. Biz Should Have Been More Diligent Earlier

    A small Florida chain of souvenir stores had no luck Thursday at the Second Circuit trying to revive allegations that owners of a bankrupt beachwear company concealed the ownership of trademark registrations in a since-settled, decade-old lawsuit, because the chain "should have uncovered the alleged fraud" the first time.

  • August 08, 2024

    Poll Workers, Giuliani Want $148M Judgment Appeal Expedited

    Rudy Giuliani and two Georgia election workers who secured a $148 million defamation judgment against him have asked the D.C. Circuit to fast-track the former mayor's appeal of the judgment.

Expert Analysis

  • Series

    Walking With My Dog Makes Me A Better Lawyer

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    Thanks to my dog Birdie, I've learned that carving out an activity different from the practice of law — like daily outdoor walks that allow you to interact with new people — can contribute to professional success by boosting creativity and mental acuity, as well as expanding your social network, says Sarah Petrie at the Massachusetts Attorney General’s Office.

  • What Calif. Eviction Ruling Means For Defaulting Borrowers

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    A California appellate court's recent decision in Homeward Opportunities v. Taptelis found that a defaulting borrower could not delay foreclosure with an improperly served notice of pendency of action, but leaves open a possibility for borrowers to delay eviction proceedings merely by filing lawsuits, say Anne Beehler and Krystal Anderson at Holland & Knight.

  • Think Like A Lawyer: Follow The Iron Rule Of Trial Logic

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    Many diligent and eager attorneys include every good fact, point and rule in their trial narratives — spurred by the gnawing fear they’ll be second-guessed for leaving something out — but this approach ignores a fundamental principle of successful trial lawyering, says Luke Andrews at Poole Huffman.

  • Banks Have Won Syndicated Loan Battle, But Not The War

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    Though the U.S. Supreme Court's recent denial of certiorari in Kirschner v. JPMorgan preserves the status quo that syndicated loans are not securities, the U.S. Securities and Exchange Commission's discomfort suggests that the underlying issues have not been fully resolved, say attorneys at Crowell & Moring.

  • Potential Unintended Consequences Of NY Sovereign Debt Bill

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    New York lawmakers recently proposed a law to create a framework for restructuring sovereign debt, but there are concerns that the bill will increase financing costs and that it attempts to solve problems that have largely been dealt with by collective action clauses, say Jeffrey Rothleder and Tara Peramatukorn at Squire Patton.

  • The Art Of Asking: Leveraging Your Contacts For Referrals

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    Though attorneys may hesitate to ask for referral recommendations to generate new business, research shows that people want to help others they know, like and trust, so consider who in your network you should approach and how to make the ask, says Rebecca Hnatowski at Edwards Advisory.

  • Series

    Being An Equestrian Makes Me A Better Lawyer

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    Beyond getting experience thinking on my feet and tackling stressful situations, the skills I've gained from horseback riding have considerable overlap with the skills used to practice law, particularly in terms of team building, continuing education, and making an effort to reset and recharge, says Kerry Irwin at Moore & Van Allen.

  • 4 Ways To Refresh Your Law Firm's Marketing Strategy

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    With many BigLaw firms relying on an increasingly obsolete marketing approach that prioritizes stiff professionalism over authentic connection, adopting a few key communications strategies to better connect with today's clients and prospects can make all the difference, say Eric Pacifici and Kevin Henderson at SMB Law.

  • What 3rd Circ. Trust Ruling Means For Securitization Market

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    Mercedes Tunstall and Michael Gambro at Cadwalader break down the Third Circuit's March decision in Consumer Financial Protection Bureau v. National Collegiate Master Student Loan Trust, as well as predict next steps in the litigation and the implications of the decision for servicers and the securitization industry as a whole.

  • Ch. 11 Case Shows Why Plan Acceptance Procedures Are Key

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    Sunland Medical's recent liquidation plan proposal is an important example of how top-notch judges and attorneys propose and analyze complex issues during the confirmation process, and the bankruptcy court was forward-thinking to consider the implications of such proposed treatment in the face of the Bankruptcy Code, says Kyle Arendsen at Squire Patton.

  • Risks Of Rejecting Hotel Mgmt. Agreements Via Bankruptcy

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    In recent years, hotel owners have paid a high price when they attempted to use bankruptcy proceedings to prematurely terminate their hotel management agreements, highlighting that other options may be preferable, say attorneys at Jenner & Block.

  • NC Rulings Show Bankruptcy Isn't Only For Insolvent Debtors

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    Two recent rulings from a North Carolina bankruptcy court show that lack of financial distress is not a requirement for bankruptcy protection, particularly in the Fourth Circuit, but these types of cases can still be dismissed for other reasons, say Stuart Gordon and Alexandria Vath at Rivkin Radler.

  • Series

    Whitewater Kayaking Makes Me A Better Lawyer

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    Whether it's seeing clients and their issues from a new perspective, or staying nimble in a moment of intense challenge, the lessons learned from whitewater kayaking transcend the rapids of a river and prepare attorneys for the courtroom and beyond, says Matthew Kent at Alston & Bird.

  • Cannabis Ruling Lights Path For Bankruptcy Protection

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    A recent Massachusetts bankruptcy appellate court ruling in Blumsack v. Harrington leaves the door open for those employed in the cannabis industry to seek bankruptcy relief where certain conditions are met, but rescheduling marijuana as a Schedule III drug may complicate matters, say Jane Haviland and Kathryn Droumbakis at Mintz.

  • This Earth Day, Consider How Your Firm Can Go Greener

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    As Earth Day approaches, law firms and attorneys should consider adopting more sustainable practices to reduce their carbon footprint — from minimizing single-use plastics to purchasing carbon offsets for air travel — which ultimately can also reduce costs for clients, say M’Lynn Phillips and Lisa Walters at IMS Legal Strategies.

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