The Office of the U.S. Trustee objected Wednesday to roughly $4.1 million in debt forgiveness being included in ActiveCare Inc.’s proposed Chapter 11 sale to stalking horse bidder Telcare Inc., calling it an improper setoff.
Medical device maker AngioDynamics Inc. pushed back Wednesday against a competitor’s attempt to toss racketeering claims, arguing in Massachusetts federal court that the competitor is culpable in Biolitec AG’s alleged scheme to avoid paying $145 million in a judgment and contempt fines.
An Ohio bankruptcy judge denied FirstEnergy Corp.'s bankrupt nuclear generation unit permission to pay its employees up to $100 million in retention bonuses, saying Tuesday that the company hadn’t given sound reasons to exclude union workers from the plan.
Patriarch Partners LLC founder Lynn Tilton sought a protective order in the Chapter 11 cases of the Zohar Funds in Delaware bankruptcy court Wednesday, asking to keep private the financial information of companies owned by the funds to preserve the value of the portfolio companies in the event of a sale by Zohar.
The liquidators of a bankrupt Cayman Islands-based investment advisory firm Tuesday asked a New York bankruptcy court to begin Chapter 15 proceedings, saying they need to act to find and protect the U.S. assets they believe the firm has.
Dozens of mortgage loan originators targeted by Lehman Brothers for $1.2 billion in settlement indemnification claims stemming from purchases of shoddy loans asked Tuesday for leave to appeal a decision keeping the adversary suits in New York bankruptcy court, arguing the jurisdictional issue “remains unresolved in the Second Circuit.”
A class of Bally’s Atlantic City card table dealers asked a New Jersey federal magistrate judge Wednesday to reopen a wage-and-hour action alleging employees weren't paid for attending pre-shift staff meetings, saying casino owner Caesars Entertainment Corp.'s emergence from bankruptcy can allow a $500,000 settlement to move forward.
A Nuverra Environmental Solutions Inc. noteholder who challenged the company’s confirmed Chapter 11 plan last year asked the Third Circuit on Wednesday to weigh in on claims that the plan did not treat unsecured creditors fairly and equitably by permitting “gifting” that led to more recovery for some.
Simpson Thacher & Bartlett LLP and a legal recruiter on Tuesday confidentially settled a nearly $1 million dispute in Manhattan federal court over the firm's alleged nonpayment for the placement of a bankruptcy partner, closing the book on a sticky discovery dispute regarding internal firm communications.
Ten years after filing the largest bankruptcy in history, Lehman Brothers is still returning money to creditors as a staff of 80 administers what remains of the investment bank that collapsed with over $600 billion in assets. Here, Law360 recaps Lehman’s stay in bankruptcy and the lessons it taught.
A New York bankruptcy judge gave health screening company Provant Health provisional approval for its debtor-in-place Chapter 11 financing Tuesday, but turned down its proposal to pay up to $650,000 in bonuses to be split among four top executives.
A Delaware federal court on Monday affirmed a bankruptcy court ruling that increased reorganized debtor W.R. Grace's 1998 tax refund by $1.6 million, finding that a judge was correct in applying the interest rate included in the company's confirmed Chapter 11 plan.
A class of public utilities has urged a New Jersey federal judge to approve a $10.7 million settlement with a company accused of rigging bids on a water treatment chemical, arguing the company’s bankruptcy could threaten their ability to recoup losses.
NextEra, the once-proposed buyer of the assets of Energy Future Holdings Corp., told a Delaware bankruptcy judge Tuesday that it intends to seek a rehearing before the Third Circuit Court of Appeal on its right to a $275 million breakup fee after a three-judge panel denied its appeal last week.
A Puerto Rico federal judge denied on Tuesday a motion by unsecured creditors in its government’s bankruptcy proceedings to enforce a stay and prevent a proposed Government Development Bank restructuring, finding that neither the automatic stay nor the court’s stay order applies to moves made by the debtor.
Ability Inc. agreed to pay $3 million to investors to resolve a securities suit accusing the Israeli government contractor of making misleading financial statements during its bid to buy Cambridge Capital Acquisition Corp., according to a deal approved by a New York federal judge on Monday.
A former executive of bankrupt Transmar Commodity Group Ltd. on Monday was sentenced to two and a half years in prison by U.S. District Judge Jed Rakoff for a “massive” $350 million asset fraud at the family-run cocoa commodity trading company.
When Lehman Brothers filed for bankruptcy 10 years ago, one of the first outfits called in was one that traditionally operated under obscurity. But the Securities Investor Protection Corp. made a name for itself in the historic Chapter 11 case, restoring more than $90 billion worth of assets to Lehman’s brokerage customers.
A Delaware bankruptcy judge on Monday questioned a creditor’s use of an involuntary Chapter 7 action against a mining company that branded the case as an effort to neutralize its Chancery Court lawsuit against the same creditor, cautioning that the bankruptcy court is “not a collection court.”
The Woodbridge Group of Companies received bankruptcy court approval Monday in Delaware to enter into a consent order with Arizona regulators calling for a $3.5 million restitution payment to investors in that state duped into investing in the company’s Ponzi scheme.
In this series featuring law school luminaries, Stanford Law School professor Jeffrey Fisher discusses his motivation for teaching, arguing before the U.S. Supreme Court and what the court might look like if Judge Brett Kavanaugh is confirmed.
Courts in the British Virgin Islands have mostly resisted the temptation to appoint liquidators in soft wind-downs. However, a recent decision in Delco Participation v. Green Elite has opened the door to more "just and equitable" liquidation petitions, say Andrew Willins and Eliot Simpson of Appleby.
For Florida practitioners who experienced the foreclosure crisis that swept through the state beginning in 2008, the recent uptick in foreclosure filings may feel ominous. However, Florida's foreclosure jurisprudence has evolved at an incredible pace, capable of expediting the process tremendously if another crisis arises, says Victor Petrescu of Levine Kellogg Lehman Schneider & Grossman LLP.
When sponsoring foreign national employees for employment-based lawful permanent residence in the U.S., there are many factors an employer must consider if it is restructuring, relocating or downsizing its operations to avoid the consequences of noncompliance under current U.S. immigration law, says Hector Chichoni of Duane Morris LLP.
The first comprehensive overhaul of California's Rules of Professional Conduct in nearly 30 years becomes operational on Nov. 1. Some of the new rules mirror the model language used by the American Bar Association, but many continue to reflect California’s unique approach to certain ethical questions, says Mark Loeterman of Signature Resolution LLC.
The balancing act between protecting attorneys’ speech rights and ensuring unbiased adjudications was highlighted recently in two cases — when Michael Cohen applied for a restraining order against Stephanie Clifford's attorney, and when Johnson & Johnson questioned whether a Missouri talc verdict was tainted by public statements from the plaintiffs' counsel, says Matthew Giardina of Manning Gross & Massenburg LLP.
The Third Circuit’s decision last month in W.R. Grace contains valuable lessons for insurers on the benefits that can be obtained by a third-party injunction issued under Section 524(g)(4) of the Bankruptcy Code, say Craig Goldblatt and Nancy Manzer of WilmerHale.
In Sheppard Mullin v. J-M Manufacturing Co., the California Supreme Court ruled last month that a law firm's failure to disclose a known conflict with another current client did not categorically disentitle the firm from recovering fees. But the court didn’t provide hoped-for guidance on how to write an enforceable advance conflict waiver, says Richard Rosensweig of Goulston & Storrs PC.
In this monthly series, Amanda Brady of Major Lindsey & Africa interviews management from top law firms about the increasingly competitive business environment. Here we feature Melanie Green, chief client development officer at Faegre Baker Daniels LLP.
Last month's opinion in Bennett v. Jefferson County brings the Eleventh Circuit in line with other courts that have found that the equitable mootness doctrine should apply in Chapter 9. The decision may be particularly relevant in Puerto Rico's ongoing restructuring proceedings, say attorneys with Cleary Gottlieb Steen & Hamilton LLP.