
Lack Of Fundamental Change Led To Rite Aid's Ch. 22 Case
Pharmacy chain Rite Aid commenced its second Chapter 11 case since 2023 last week, falling back into bankruptcy so soon because its failure to make fundamental operational changes the first time around led to predictably tightfisted vendors who imposed restrictive credit terms that worsened the company's liquidity problems, experts told Law360.

Catching Up With New Bankruptcy Case Action
Weight loss business WeightWatchers entered Chapter 11 in Delaware, as did medical technology company Accelerate Diagnostics Inc. and California-based biotechnology company Synthego Corp. Here are the week's new bankruptcy cases.

Rite Aid Back In Ch. 11, Tupperware Gets OK To Liquidate
Drugstore chain Rite Aid reentered bankruptcy less than a year after its earlier reorganization plan was approved, and received a bankruptcy court's permission to conduct asset sales. Food storage container maker Tupperware Brands Corp. received court approval for its Chapter 11 liquidation plan. And a Washington University law professor was named the consumer privacy ombudsman in 23andMe's Chapter 11 case.
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Two former executives behind bankrupt cryptocurrency investment platform Cred Inc. pled guilty Tuesday in California federal court to conspiracy to commit wire fraud, admitting they gave customers "an unreason... (more story)
A New Jersey magistrate judge on Tuesday dropped a collection of defendants from a class action brought by cancer patients alleging that Johnson & Johnson's maneuvers to settle thousands of tort claims through... (more story)
Insurers in the Chapter 11 case of cosmetics seller Avon Products Inc. have objected to vote solicitation procedures proposed by the debtor, condemning a plan for certain talc claims to be temporarily recogniz... (more story)
An insurer for a bankrupt group of Catholic friars facing child sexual abuse claims said Tuesday it wants access to information on a data breach at a consulting firm retained by a committee representing the cl... (more story)
The Third Circuit upheld the bulk of the Boy Scouts of America's Chapter 11 plan to deal with thousands of childhood sex abuse claims, but agreed Tuesday with one objecting insurer that its rights were impermi... (more story)
The legal advocacy group Democracy Forward has brought on four former U.S. Department of Justice litigators, adding to a string of hires the organization has made from the federal government as it takes on the... (more story)
The Teamsters and the International Association of Machinists are challenging a bankruptcy court's finding that Yellow Corp. is not liable for failing to tell 22,000 union workers they were about to lose their... (more story)
Chainalysis Inc. is asking a New York federal judge to throw out a lawsuit brought against it by defunct cryptocurrency platform Celsius Network, saying Celsius is trying to deflect the blame for fraud perpetr... (more story)
The U.S. Supreme Court is expected to address for the first time Thursday the propriety of universal injunctions, a tool federal judges have increasingly used to broadly halt presidential orders and policy ini... (more story)
A Texas bankruptcy judge on Monday gave interim approval to Harvest Sherwood Food Distributors Inc.'s $104 million Chapter 11 financing, allowing it to access $5 million of new funds after it shifted a debt ro... (more story)
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Restaurant chain Hooters can tap the last $30 million of its $40 million Chapter 11 debtor-in-possession loan after it agreed to escrow disputed royalty revenue to quell a creditor's objection during a Tuesday... (more story)
Boeing has fired back at defunct airline Comair's bid to get the major American aerospace company sanctioned for deleting evidence of a side letter that purportedly assured Comair that its deposit for the purc... (more story)
Gene sequencing technology firm 10x Genomics and scientific instrument maker Bruker Corp. have reached a settlement in a patent infringement lawsuit that previously led biotechnology company NanoString to file... (more story)
A group of investors in the bankrupt parent of Silvergate Bank agreed Tuesday to table its bid to expand the scope of an investigation into potential litigation claims against company insiders after striking a... (more story)
Oracles Capital Inc., a Florida-based wine and spirits brand investor, filed for bankruptcy in Delaware to quickly sell its assets, saying macroeconomic conditions and wine import tariffs have prevented it fro... (more story)
Vegan restaurant chain Planta Group has filed for Chapter 11 protection in Delaware, listing up to $50 million in debt and saying it intends to sell the business as part of the bankruptcy process.
A Delaware bankruptcy judge on Monday rejected Japanese chemical company Kaneka's request to lift a stay on litigation against U.S.-based plastics alternative maker Danimer Scientific Inc., finding it would harm the debtor.
Young Conaway Stargatt & Taylor LLP asked a Delaware bankruptcy judge to let it withdraw from representing reorganized cybersecurity firm IronNet in its Chapter 11, citing rules that let lawyers cut ties if a ... (more story)
A Delaware bankruptcy judge on Monday refused to shoot down Google's opposition to bankrupt dorm room decor supplier Dormify's bid to sell its assets to Williams Sonoma, finding the debtor had failed to presen... (more story)
The U.S. Trustee's Office has objected to a proposal from the wind-down administrator of technology firm AgileThought to share its special litigation counsel, Grant & Eisenhofer, with the company's prepetition... (more story)