Bankruptcy

  • April 26, 2018

    Investor Wants To Trade Claims While On Creditor Committee

    An Aurelius Capital Management unit has asked that it be allowed to continue trading claims in the Nine West bankruptcy case, despite the fact that the hedge fund is serving on the Committee of Unsecured Creditors.

  • April 26, 2018

    Real Industry Equity, Stock Groups Contest Ch. 11 Plan

    Objections to liability releases and disputed treatment of stock warrant holders prompted two new challenges Thursday to the confirmation of holding company Real Industry Inc.’s Delaware Chapter 11 plan.

  • April 26, 2018

    Woodbridge Creditor Seeks Block On Shapiro Play For $133K

    A former bank to the Woodbridge Group of Companies LLC and its affiliates sued in Delaware Bankruptcy Court Thursday to block a California lawsuit seeking the release of $133,000 remaining from a disputed consulting agreement filed by accused Ponzi scheme architect Robert H. Shapiro.

  • April 26, 2018

    Bankruptcy Filings Keep Subsiding, But At A Slower Pace

    U.S. bankruptcy filings have continued to decline year-over-year, according to a report released Thursday, with the number of new bankruptcies dropping 1.8 percent in a recent 12-month period though that rate of decline has been slowing since 2014.

  • April 26, 2018

    Erin Energy Hits Ch. 11 Amid Africa Oil Production Issues

    Erin Energy Corp., an oil and gas exploration outfit focused on energy resources in sub-Saharan Africa, filed for Chapter 11 bankruptcy in Texas on Wednesday, just a month after reporting it was at risk of defaulting on its funded liabilities, saying it plans to pursue a path to reorganization.

  • April 26, 2018

    Remington's Nonconsensual Releases Not Allowed, SEC Says

    The U.S. Securities and Exchange Commission objected Thursday in Delaware to the releases included in the proposed Chapter 11 plan of bankrupt arms maker Remington Outdoor Co. Inc., saying they include third-party releases to nondebtors without the consent of creditors.

  • April 26, 2018

    Puerto Rican Unions Sue To Void Restructuring Proceedings

    A handful of nonprofits and labor unions have hit Puerto Rico’s embattled federal oversight board with a lawsuit that seeks to disband it, calling the board a “reckless, dictatorial and racist” entity that’s unconstitutional and riddled with conflicts of interest.

  • April 26, 2018

    Katy Industries' Ch. 11 Confirmation Paused For Ex-CEO's Suit

    Attorneys for bankrupt storage and cleaning products maker Katy Industries Inc. told a Delaware judge Thursday it needs additional time to continue negotiations with the company’s former CEO over his application for relief from the automatic stay of litigation so that its Chapter 11 plan confirmation could be sought on a consensual basis.

  • April 26, 2018

    GM Gets NY Law Liability Claims Tossed From Ignition MDL

    A New York federal judge Wednesday reconsidered and dismissed some successor liability claims against General Motors LLC in its faulty ignition switch multidistrict litigation, saying plaintiffs in Texas and Virginia with liability claims governed by New York state law could not prove a continuity of ownership between GM's pre-2009 bankruptcy form and the current corporation.

  • April 26, 2018

    Atty Cites 1st Circ. In Seeking Contempt In Biolitec IP Case

    An attorney asked a Massachusetts federal judge Wednesday to reconsider ordering him to pay a nearly $50,000 sanction for trying to help client Biolitec AG dodge a $75 million judgment won by AngioDynamics Inc. in a years-old intellectual property dispute, saying he was following the First Circuit's direction in seeking a contempt order.  

  • April 26, 2018

    $1.5B Stanford Trial Against Proskauer Postponed

    A $1.5 billion trial against Proskauer Rose LLP stemming from a former partner's representation of entities affiliated with the $7 billion R. Allen Stanford Ponzi scheme has been put on hold days before it was set to begin, a Texas federal court confirmed Thursday.

  • April 26, 2018

    Wachtell Guides QCP’s $2B Welltower, ProMedica Deals

    Quality Care Properties Inc. on Thursday said real estate investment trust Welltower Inc. will take over the company in a deal guided by Wachtell Lipton Rosen & Katz worth $1.95 billion, while both companies made separate agreements with ProMedica Health System Inc.

  • April 25, 2018

    Thiel Reaches Pact Not To Buy Gawker Assets, Avoids Claims

    Billionaire Peter Thiel has agreed to drop his pursuit of purchasing what remains of defunct news gossip site Gawker after reaching an agreement with Gawker’s Chapter 11 plan administrator that frees Thiel from potential claims for bankrolling litigation that gutted the company.

  • April 25, 2018

    Deals Rumor Mill: Eli Lilly, TransUnion, Quality Care

    Advent International and Bain Capital are eying Eli Lilly's animal health business, TransUnion's bid to buy Callcredit from GTCR has backing from $1.4 billion in leveraged loans, and Quality Care Properties received a $2 billion acquisition offer.

  • April 25, 2018

    Union Workers Can't Get Priority Ch. 11 Claim, Judge Hears

    Bankrupt construction contractor Navillus Tile Inc. told a judge Wednesday that $30 million worth of priority claims by union workers should be bumped down the priority stack, while the unions said there are clear justifications for priority status even though they did no work for Navillus.

  • April 25, 2018

    GST AutoLeather Reaches Global Deal On Ch. 11 Confirmation

    Vehicle upholstery maker GST AutoLeather received court approval Wednesday in Delaware for a Chapter 11 plan centered around a sale of its assets and the creation of a cash pool for recoveries by creditors.

  • April 25, 2018

    Proskauer Pulls Bid At 5th Circ. To Stay $1.5B Stanford Trial

    Proskauer Rose LLP on Wednesday withdrew a request that the Fifth Circuit pump the brakes on an April 30 trial setting in a $1.5 billion lawsuit brought by the receiver for the R. Allen Stanford Ponzi scheme, just a day after asking the appellate court for a stay of the trial court proceeding.

  • April 25, 2018

    Think Finance Says CFPB Unconstitutional In Dismissal Bid

    The Consumer Financial Protection Bureau is an unconstitutional agency trying to pin the blame on Think Finance LLC for allegedly improper consumer loans that tribal lenders offered, the financial technology firm told a Montana federal judge Tuesday in seeking to have the case filed against it by the agency thrown out.

  • April 25, 2018

    Consent Confusion Sank Tribune Race Bias Suit, 3rd Circ. Told

    A former Tribune Media Co. employee urged the Third Circuit on Wednesday to revive his 10-year-old race bias claim dismissed by the bankruptcy judge overseeing the company’s Chapter 11 proceeding, arguing he never knew he had the option to have his case heard in another jurisdiction.

  • April 24, 2018

    9th Circ. Affirms Reversal Of Ch. 7 Sanctions In RE Row

    A Ninth Circuit panel ruled Monday that a bankruptcy appellate panel was right to throw out contempt sanctions against creditors who violated a Chapter 7 bankruptcy order discharging a real estate developer’s debts, saying the creditors had a good-faith belief the order didn’t apply to their action.

Expert Analysis

  • Bankruptcy Venue Reform Not Likely To Happen This Year

    Mark Salzberg

    Despite a bankruptcy venue reform bill introduced earlier this year, it appears that the prime venue choices for Chapter 11 cases — Delaware and the Southern District of New York — can rest easy, at least for now, says Mark Salzberg of Squire Patton Boggs LLP.

  • The Benefits And Challenges Of Lending To Series LLCs

    Kristin Rylko

    Lenders considering advancing credit to a series limited liability company should be aware that there remains uncertainty surrounding the treatment of a series under state law and the Bankruptcy Code, but that there are techniques available to help mitigate the risks, say attorneys with Mayer Brown LLP.

  • Best Practices For Building A Better Meeting

    Nicholas Cheolas

    How can we improve meetings in the legal industry, which tends to evolve with the speed of a tranquilized water buffalo mired in quicksand? Breaking it down to three phases can yield significant benefits, says Nicholas Cheolas of Zelle LLP.

  • 5 Ways Law Firms Are Becoming More Like Hotels

    Bella Schiro

    One way law firms differentiate themselves from the competition to attract and retain top talent is through their real estate and workplace strategies. Taking a lead from the hospitality industry can help create a more inviting, welcoming and collaborative workspace environment, says Bella Schiro of Jones Lang LaSalle Inc.

  • The Impact Of Tax Reform On Film, TV And Print Media: Part 2

    Michele Alexander

    The Tax Cuts and Jobs Act has imposed new limitations on a corporation’s ability to take advantage of net operating losses. Certain changes will disproportionately affect media companies, impacting their debt restructuring, acquisition and disposition strategies, say Michele Alexander and Ryan Davis of Bracewell LLP in New York.

  • Opinion

    Gorsuch's 1st Year Shows He Is A Conservative Activist

    Elliot Mincberg

    In his first year on the U.S. Supreme Court, Justice Neil Gorsuch has proven to be a narrow-minded elitist who consistently votes in favor of corporations and the powerful, acting to roll back protections for workers, consumers, LGBTQ individuals and other marginalized communities, says Elliot Mincberg of People for the American Way.

  • The Many Challenges Facing Venezuela Bribery Suit: Part 2

    Richard Cooper

    Resolution of the standing issues raised in the U.S. bribery suit brought by Venezuela’s state-owned oil company PDVSA may have implications not just for this case, but for whether PDVSA may be bound by the Venezuelan government to any future debt restructuring, say Richard Cooper and Boaz Morag of Cleary Gottlieb Steen & Hamilton LLP.

  • The Many Challenges Facing Venezuela Bribery Suit: Part 1

    Richard Cooper

    The documents filed thus far in the U.S. bribery suit brought by Venezuela’s state-owned oil company PDVSA make clear that the standing issues in this case are complicated. The case also presents questions as to whether it will have implications for financial creditors of PDVSA and the republic, say Richard Cooper and Boaz Morag of Cleary Gottlieb Steen & Hamilton LLP.

  • Why Bankruptcy Lawyer's Trade Secret Cases Failed

    James Morsch

    Peter Francis Geraci — owner of a large consumer bankruptcy firm based in Chicago — recently lost two trade secret cases, illustrating just how difficult it can be to win a lawsuit for misappropriation against individuals employed by a rival, says James Morsch of Butler Rubin Saltarelli & Boyd LLP.

  • Finance-Savvy Millennials Are Shifting Business Of Law

    Michael Perlich

    The impact of millennials has already been felt within the legal community by our eagerness to embrace new technologies. One way that we will have potentially even more impact lies in our willingness to embrace new ways of developing business and financing law, says Michael Perich of Burford Capital LLC.