Bankruptcy

  • April 21, 2017

    Retailer Bebe Will Shut All Stores To Avoid Bankruptcy

    Women’s clothing maker Bebe Stores Inc. is the latest in a string of mid-size apparel retailers to call it quits it recent months, announcing Friday it will close all of its 180 stores by next month amid talk of transitioning to online sales, in an effort to avoid bankruptcy.

  • April 21, 2017

    Westinghouse Ch. 11 Threatens Fate Of US Nuclear Projects

    The recent bankruptcy filing of Westinghouse Electric Co. LLC, Toshiba’s global nuclear energy arm, could put the fate of its unfinished nuclear reactor projects in the U.S. at risk, the Congressional Research Service said, noting concern over the federal government’s $8.3 billion in guaranteed liabilities.

  • April 21, 2017

    Bankrupt Ryckman Creek Floats Deal With Gas Storage Client

    Ryckman Creek Resources LLC proposed a settlement Friday in Delaware bankruptcy court that would resolve both prepetition and post-petition litigation brought by Anadarko Energy Services Co. relating to gas storage contracts at the debtor’s Wyoming facility.

  • April 21, 2017

    Dewey Prosecution Rests In Retrial, Defense Plans Unclear

    New York prosecutors finished laying out their fraud case Friday against two former executives of failed law firm Dewey & LeBoeuf LLP, turning the focus to whether Stephen DiCarmine and Joel Sanders will take the stand in their own defense before the jury starts deliberations.

  • April 21, 2017

    BCBG Says Court Can Quickly Resolve Azria Contract Feud

    Bankrupt women's apparel company BCBG Max Azria Group Inc. Wednesday again pushed for a quick resolution of its contract dispute with founder Max Azria and his wife Lubov, once again arguing the company’s 2015 restructuring agreement and Lubov’s employment agreement are two separate contracts.

  • April 21, 2017

    Fla. Judge Sends Eagan Avenatti Bankruptcy To Calif.

    A Florida bankruptcy judge on Friday granted a U.S. trustee's request to move the involuntary Chapter 11 case of class action law firm Eagan Avenatti LLP to California, where the firm, its owners and creditors are based.

  • April 21, 2017

    SquareTwo Creditors Aim To Block Several 1st-Day Motions

    SquareTwo Financial Services Corp. may have some difficulty obtaining its $58.5 million Chapter 11 loan, among other first-day requests, after its unsecured creditors filed a multipronged objection Thursday, voicing concern that the consumer and commercial debt collector’s restructuring plan may contain "fatal infirmities."

  • April 21, 2017

    Cosi Fights Over $2M In Shareholder Claims In Ch. 11

    Fast-casual restaurant chain Cosi Inc. filed an objection Thursday in Massachusetts bankruptcy court to more than $2.3 million in claims by equity shareholders, while a former executive asked the court to deny the debtor’s assumption of his noncompete agreement.

  • April 21, 2017

    Trump Orders Review Of 2 Key Dodd-Frank Powers

    President Donald Trump on Friday signed executive orders calling for reviews of powers the Dodd-Frank Act gave regulators to unwind a giant bank and a panel of regulators the 2010 law set up to oversee the financial system.

  • April 20, 2017

    Dewey Execs Rip Absent Chair, Demand MIA Witness Charge

    The two former Dewey & LeBoeuf LLP executives on trial for a second time over accusations of defrauding the defunct law firm’s lenders and investors on Thursday asked a New York judge to instruct jurors they can draw an adverse inference against the government for not calling Dewey’s former chairman to the witness stand.

  • April 20, 2017

    Ch. 11 Petition Stays Calif. PAGA Claims, 9th Circ. Rules

    A Ninth Circuit panel froze proceedings in an appeal of a Private Attorneys General Act claims denial Thursday, finding that a former employee of drilling company Nabors Drilling USA LP doesn’t merit a governmental unit exception to an automatic bankruptcy stay now than the company has filed for Chapter 11 protection.

  • April 20, 2017

    $20M Panda Temple DIP Short-Circuited By Court, Creditor

    A bankrupt Texas power plant’s $20 million debtor-in-possession loan plan got short-circuited Thursday, after close questioning by a Delaware bankruptcy judge and an accelerated, $5.7 million revenue hedge payment by an investor wary of DIP lender restrictions.

  • April 20, 2017

    Bankruptcy Judge Turns Down SunEdison Discovery Bid

    A New York bankruptcy judge Thursday denied a request by solar power company SunEdison Inc. for a round of discovery to investigate claims that it and its clean energy yieldcos owe $231 million under a 2014 wind energy deal, saying it appeared to be an “end-run” around the discovery process in the state case.

  • April 20, 2017

    Republic Airways Climbs Out Of Ch. 11 With Confirmed Plan

    Republic Airways Holdings Inc. wrapped up a prolonged Chapter 11 plan confirmation process Thursday, as a New York bankruptcy judge concluded that the company's restructuring proposal satisfied all necessary requirements and should not be stayed in light of a Wells Fargo-affiliated creditor's objection.

  • April 20, 2017

    Tony Roma's Says Licensing Deal Not Part Of Rupari Sale

    Steakhouse chain Tony Roma's objected Thursday in Delaware to proposed bid procedures that would govern a bankruptcy auction for the assets of meat distributor Rupari Food Services Inc., saying a licensing agreement between the two companies was no longer valid and couldn't be included in a stalking horse package.

  • April 20, 2017

    ER Operator Adeptus Files Ch. 11, Seeks PE Takeover

    Emergency room company Adeptus Health Inc. and 139 affiliates, mostly individual medical centers, filed for Chapter 11 bankruptcy in Texas on Wednesday with $454 million in debt and a plan to be taken over by private equity firm Deerfield Management Co.

  • April 20, 2017

    RadioShack Defends Plan For $1.4M In Executive Bonuses

    Bankrupt electronics retailer RadioShack on Thursday defended its plan to pay top-level employees incentive bonuses, saying the workers eligible for the payments are performing work above and beyond their normal responsibilities.

  • April 20, 2017

    Maxus Seeks OK On $15M Sale Of Gulf Oil Field Interests

    Bankrupt oil and gas exploration firm Maxus Energy Corp. asked a Delaware court late Wednesday to approve a sale of its partial interest in a Gulf of Mexico offshore oil field as part of its effort to liquidate its assets through Chapter 11 transactions.

  • April 20, 2017

    'Housewives' Star Slams Atty's Bid To Toss Malpractice Suit

    A onetime incarcerated star of “The Real Housewives of New Jersey” and a bankruptcy trustee on Wednesday slammed her former attorney's bid to dismiss their malpractice action against him in New Jersey state court, saying the motion is part of his “litigation extravaganza” intended to delay the matter.

  • April 20, 2017

    High Court Hat Trick: Jenner Atty Appears 3 Times In A Month

    Jenner & Block LLP partner Adam Unikowsky has argued a remarkable three times in front of the U.S. Supreme Court in the past month, including an appearance during Justice Neil Gorsuch's second day on the job, and Unikowsky said anticipating left field questions was key in his marathon stretch of high court arguments.

Expert Analysis

  • Memorable Lessons From Violin Memory And Other Auctions

    Sheon Karol

    When Violin Memory filed Chapter 11 in December, prospects for the company seemed grim. But the combination of rival offer methods and special process features resulted in an auction that exceeded all expectations, says Sheon Karol of The DAK Group.

  • Monthly Column

    Gray Matters: The Attorney-Client Team

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    A 1979 study of attorney-client interactions revealed startling information: Despite years of education and training to hone their legal expertise, attorneys were not acting as independent counselors but rather allowing their clients to control them. Our experience is that this trend has accelerated, say dispute resolution experts Robert Creo and Selina Shultz.

  • Litigation Finance, Big Data And The Limits Of AI

    Christopher Bogart

    Theoretically, both better data and its better use should be able to improve results in litigation, and thus help litigation financiers allocate more capital to meritorious matters. However, while big data and artificial intelligence are intriguing additions to the litigation toolkit, they are far from turning litigation finance on its head, says Christopher Bogart, CEO of Burford Capital LLC.

  • Series

    Counsel To Counsel: Mama Said There'll Be Days Like This

    Peter J. Engstrom

    It's no longer enough for law firms simply to provide expert legal advice — we are expected to mirror clients' legal, ethics and social commitments and promises. For law firm GCs, the resulting job demands seem to grow exponentially, says Peter Engstrom, general counsel of Baker McKenzie.

  • Disarming Puerto Rico’s Pension Time Bomb

    Richard Cooper

    Puerto Rico faces difficult choices regarding how to address the substantial cost and massive underfunding of its public pension sy­stems. Title III is likely the best option available to the commonwealth to adjust its public pension obligations as part of the larger effort to address its current fiscal crisis, say attorneys with Cleary Gottlieb Steen & Hamilton LLP.

  • Series

    Counsel To Counsel: A Law Firm GC's Data Protection Duties

    Thomas W. White

    Increasingly, we see companies in all industries seeking to perform various levels of due diligence on our information security defenses. We received three times as many diligence requests from clients and prospective clients in 2016 as we did in 2015. Some clients even conduct their own penetration tests, says Thomas White, general counsel of WilmerHale.

  • Series

    Counsel To Counsel: Evaluating Positional Conflicts

    Nicholas A. Gravante Jr.

    What happens when attorneys come to their general counsel’s office with knowledge of a potential positional conflict? While the inquiry will depend on the rules governing the particular jurisdiction, there are a few general questions to consider from both business and legal ethics perspectives, say general counsel Nicholas A. Gravante Jr. and deputy general counsel Ilana R. Miller of Boies Schiller Flexner LLP.

  • Health Republic’s Curious Liquidation: Part 11

    James Veach

    Because so little information has been provided to the public, it's hard to know if the New York Department of Financial Services missed an opportunity to compromise and resolve issues surrounding the risk corridor and reinsurance programs during the Obama administration, says James Veach of Mound Cotton Wollan & Greengrass LLP in his continued analysis of Health Republic's mysterious liquidation process.

  • Series

    Counsel To Counsel: 5 Challenges For A Law Firm GC

    John Koski

    Regardless of where we live and practice, regardless of whether trade deals succeed or fail, and regardless of whether the movement of people or capital is easy or difficult, our clients will still have needs or problems far away from home, says John Koski, global chief legal officer at Dentons.

  • Health Republic’s Curious Liquidation: Part 10

    James Veach

    James Veach of Mound Cotton Wollan & Greengrass LLP continues his discussion of Health Republic's complicated liquidation process. In this part, he assesses New York Department of Financial Services Superintendent Maria Vullo's written response and testimony, finding that she failed to acknowledge several key facts about how Health Republic's money is being spent.