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Bankruptcy
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October 24, 2025
Gordon Rees 'Profoundly Embarrassed' By Atty's AI Mistakes
Gordon Rees Scully Mansukhani LLC has apologized to an Alabama bankruptcy court for a filing submitted by one of its lawyers that contained mistakes it blamed on artificial intelligence, saying it's "profoundly embarrassed" by the incident and will accept whatever sanctions end up being issued.
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October 24, 2025
Justices' Whistleblower Denial Has Some Attys Fearing A Chill
The U.S. Supreme Court's decision not to take up a whistleblower award calculation appeal has highlighted a long-running concern that whistleblowers could be left out in the cold if the company they expose falls into bankruptcy before they get awards to which they would otherwise be entitled.
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October 24, 2025
Edelson Looks To Drop Claims Against Ex-Girardi Keese Attys
Edelson PC has signaled plans to drop civil claims it lodged against two former Girardi Keese attorneys over Tom Girardi's theft of millions from clients, but the Illinois federal judge handling the case said Friday that he wants to discuss the firm's filing.
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October 24, 2025
Singapore Crypto Co. Seeks Ch. 15 Recognition In NY
The liquidators of a Singapore blockchain business asked a New York bankruptcy court for Chapter 15 recognition of its insolvency, saying it needs to pause a New York State court fight over $63 million in stolen cryptocurrency.
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October 24, 2025
LifeScan Urges Court To Force PBMs To Produce Documents
Glucose monitor maker LifeScan has asked a Texas bankruptcy judge to force pharmacy benefit managers to produce documents amid a dispute over administrative expense claims in the Chapter 11 case, saying PBMs including OptumRx and Caremark are using delay as "sword and shield."
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October 24, 2025
Chicago Firm Accused Of Jailing Fla. Man Over $2.5M Fee
A Florida man has sued a Chicago firm over false imprisonment, alleging in a Miami-Dade County complaint that its attorneys spied on him remotely through a security camera installed at his Florida Keys home and had him arrested in order to collect $2.5 million in fees
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October 24, 2025
RunItOneTime Tells Judge Debtor In Talks For More DIP Cash
RunItOneTime LLC told a Texas bankruptcy judge on Friday it is in talks with its post-petition financing lender for more funds as it prepares to face the loss of operating cash from assets subject to sales the debtor hopes to close.
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October 24, 2025
NJ Property Owner Puts Office, Industrial Properties In Ch. 11
A New Jersey property owner has put several of its office and industrial properties into Chapter 11, according to multiple petitions filed in New Jersey bankruptcy court.
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October 23, 2025
Ex-SVB Top Brass Can't Ditch FDIC Suit Over 2023 Collapse
Silicon Valley Bank's former CEO and several other past members of the bank's top brass must face a suit from the Federal Deposit Insurance Corp. accusing them of mismanagement that led to the bank's costly 2023 failure, a California federal judge has ruled.
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October 23, 2025
Genesis Judge Blocks HHS Bid To End Nursing Home Benefits
A Texas bankruptcy judge on Thursday blocked a bid by the U.S. Department of Health and Human Services' Centers for Medicare and Medicaid Services to cut off payments for one of Genesis Healthcare's skilled nursing facilities in Alabama, entering a preliminary injunction in the Chapter 11 adversary proceeding.
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October 23, 2025
Entities Tied To NYC's Former Hudson Hotel File For Ch. 11
Two companies affiliated with the former Hudson Hotel near Manhattan's Columbus Circle have filed for Chapter 11 protection in Delaware, listing between $100 million and $500 million each in both assets and liabilities.
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October 23, 2025
Conn. Panel Doubts Ex-Alex Jones Atty Can Skirt Suspension
Connecticut appellate judges expressed skepticism Thursday that an attorney who previously represented conspiracy theorist Alex Jones can avoid serving the remainder of a two-week suspension, voicing doubt that a lower court abused its discretion in crafting the sanction for violating a confidentiality order.
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October 23, 2025
Judge OKs Heritage Coal's Ch. 11 Plan After Releases Nixed
A Delaware bankruptcy judge approved the Chapter 11 liquidation plan from Heritage Coal after the debtor removed releases and exculpations for insiders.
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October 22, 2025
Kroll Wants FTX Hack Suit Tossed, Arbitrated Or Moved
Bankruptcy claims agent Kroll Restructuring Administration LLC has asked a Texas federal judge to transfer or sink a proposed class action over a data breach that affected creditors of FTX Trading Ltd., BlockFi Inc. and Genesis Global Holdco LLC, pointing to alleged standing issues and an online arbitration agreement.
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October 22, 2025
Texas Appeals Court Wipes $64M Judgment For Dallas Lender
A Texas appellate court wiped away a $64 million award to the subsidiary of a Dallas investment company following alleged fraud by Credit Suisse surrounding lending for a luxury Nevada community, saying the lower court improperly found that the subsidiary could collect damages above zero dollars.
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October 22, 2025
6th Circ. Backs Lordstown Execs In Failed Foxconn Deal Suit
The Sixth Circuit has upheld the dismissal of a suit claiming former executives of Lordstown Motors Corp. misled investors about the state of a partnership with Foxconn Technology Group, finding leaders' optimism about the ultimately failed deal wasn't intentionally false.
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October 22, 2025
Purdue Fights Baltimore Objection Ahead Of Ch. 11 Plan Trial
Purdue Pharma LP told a New York bankruptcy judge on Wednesday it is concerned a recent objection to its Chapter 11 plan brought by the city of Baltimore could disrupt its case just weeks before the drugmaker is set to begin trial on a deal that creditors overwhelmingly support.
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October 22, 2025
Arcade On Las Vegas Strip, Facing Eviction, Files Ch. 11
Las Vegas-based Electric Playhouse, a high-tech gaming and dining center inside the mall at the world-renowned Caesars Palace resort, filed for Chapter 11 bankruptcy protection in Nevada, facing a pending eviction and millions in unpaid claims from contractors.
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October 22, 2025
Subprime Auto Lender PrimaLend Hits Ch. 11 Seeking Sale
Subprime auto loan company PrimaLend Capital Partners LP filed for Chapter 11 in Texas bankruptcy court Wednesday, listing more than $100 million in debt and saying that it is pursuing a value-maximizing sale transaction.
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October 21, 2025
5th Circ. Revives Oil Co.'s Faulty Cement Coverage Suit
The Fifth Circuit revived an oil and gas producer's suit seeking coverage for a settlement it reached with a bankrupt oilfield services firm over faulty cement, saying a Texas federal court incorrectly tossed the company's duty to defend and indemnify claims against certain underwriters at Lloyd's of London.
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October 21, 2025
Purdue Touts Wide Support For Latest Ch. 11 Plan
Pharmaceutical titan Purdue Pharma heralded Tuesday that its newest Chapter 11 plan has almost total support from voting creditors, saying the proposal could pave the way to creditors receiving more than $7 billion, after its well-publicized role in the opioid epidemic pushed the company into bankruptcy and the U.S. Supreme Court rejected its original plan.
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October 21, 2025
SilverRock Approved For $65M Sale Of Calif. Resort Project
Bankrupt real estate development firm SilverRock Development Co. LLC received approval Tuesday from a Delaware judge for the $65 million sale of its resort project assets to affiliates of Turnbridge Equities, with the court overruling objections tied to an existing ground lease on the property.
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October 21, 2025
Watchmaker Fossil Files Ch. 15 Amid $150M UK Debt Workout
A unit of watch- and jewelry-maker Fossil Group Inc. has filed for Chapter 15 protection in Texas bankruptcy court seeking U.S. recognition of a plan proposed in the United Kingdom to restructure $150 million in debt.
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October 21, 2025
Telecom Lender Carriox Units Hit Ch. 11 With $500M+ Debt
Two affiliates of telecommunications financing provider Carriox Capital filed for Chapter 11 protection in a New York bankruptcy court with between $500 million and $1 billion in debt.
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October 21, 2025
Oil Industry Emergency Response Firm Ambipar Hits Ch. 11
Cayman Islands-based Ambipar Emergency Response, which provides crisis management services for oil spills and fires, filed for Chapter 11 protection in Texas, listing more than $1 billion of assets and $328.2 million of liabilities.
Expert Analysis
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Series
Adventure Photography Makes Me A Better Lawyer
Photographing nature everywhere from Siberia to Cuba and Iceland to Rwanda provides me with a constant reminder to refresh, refocus and rethink the legal issues that my clients face, says Richard Birmingham at Davis Wright.
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How Ch. 11 Can Alleviate Merchant Cash Advance Concerns
Merchant cash advance funding is one of the biggest challenges for small businesses today because funders are so prevalent, aggressive and expensive, but bankruptcy can provide several tools for dealing with MCA agreements that may allow the debtor business to restructure and survive, says Patricia Fugée at FisherBroyles.
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5 Ways To Create Effective Mock Assignments For Associates
In order to effectively develop associates’ critical thinking skills, firms should design mock assignments that contain a few key ingredients, from messy fact patterns to actionable feedback, says Abdi Shayesteh at AltaClaro.
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8 Lessons Yellow Corp. Layoffs Can Teach Distressed Cos.
A Delaware bankruptcy court’s recent decision, examining trucking company Yellow Corp.’s abrupt termination of roughly 25,500 employees, offers financially distressed businesses a road map for navigating layoffs under the Worker Adjustment and Retraining Notification Act, say attorneys at King & Spalding.
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Mentorship Resolutions For The New Year
Attorneys tend to focus on personal achievements or career milestones when they set yearly goals, but one important area often gets overlooked in this process — mentoring relationships, which are some of the most effective tools for professional growth, say Kelly Galligan at Rutan & Tucker and Andra Greene at Phillips ADR.
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Series
Coaching Little League Makes Me A Better Lawyer
While coaching poorly played Little League Baseball early in the morning doesn't sound like a good time, I love it — and the experience has taught me valuable lessons about imperfection, compassion and acceptance that have helped me grow as a person and as a lawyer, says Alex Barnett at DiCello Levitt.
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5 Litigation Funding Trends To Note In 2025
Lawyers and their clients must be prepared to navigate an evolving litigation funding market in 2025, made more complicated by a new administration and the increasing overall cost of litigation, says Jeffery Lula at GLS Capital.
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Rethinking Litigation Risk And What It Really Means To Win
Attorneys have a tendency to overestimate litigation risk before summary judgment and underestimate risk after it, but an eight-stage litigation framework can clarify risk at different points and help litigators reassess what true success looks like in any particular case, says Joshua Libling at Arcadia Finance.
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Lessons From Two New Year's Eve Uptier Exchange Decisions
On the last day of 2024, two different courts issued important decisions relating to non-pro rata uptier exchanges — and while they differ, both rulings highlight that transactions effected in reliance on undefined terms in debt agreements come with increased risk, say attorneys at Simpson Thacher.
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Series
Playing Rugby Makes Me A Better Lawyer
My experience playing rugby, including a near-fatal accident, has influenced my legal practice on a professional, organizational and personal level by showing me the importance of maintaining empathy, fostering team empowerment and embracing the art of preparation, says James Gillenwater at Greenberg Traurig.
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Opinion
No, Litigation Funders Are Not 'Fleeing' The District Of Del.
A recent study claimed that litigation funders have “fled” Delaware federal court due to a standing order requiring disclosure of third-party financing, but responsible funders have no problem litigating in this jurisdiction, and many other factors could explain the decline in filings, say Will Freeman and Sarah Tsou at Omni Bridgeway.
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5 E-Discovery Predictions For 2025 And Beyond
In the year to come, e-discovery will be shaped by new and emerging trends, from the adoption of artificial intelligence provisions in protective orders, to the proliferation of emojis as a source of evidence in contemporary litigation, say attorneys at Littler.
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7 Ways 2nd Trump Administration May Affect Partner Hiring
President-elect Donald Trump's return to the White House will likely have a number of downstream effects on partner hiring in the legal industry, from accelerated hiring timelines to increased vetting of prospective employees, say recruiters at Macrae.
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E-Discovery Quarterly: Rulings On Custodian Selection
Several recent rulings make clear that the proportionality of additional proposed custodians will depend on whether the custodians have unique relevant documents, and producing parties should consider whether information already in the record will show that they have relevant documents that otherwise might not be produced, say attorneys at Sidley.
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Series
Exercising On My Peloton Bike Makes Me A Better Lawyer
While I originally came to the Peloton bike for exercise, one cycling instructor’s teachings have come to serve as a road map for practicing law thoughtfully and mindfully, which has opened opportunities for growth and change in my career, says Andrea Kirshenbaum at Littler.