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Bankruptcy
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									August 21, 2025
									
'Sustainable' Fintech Leader Cops To $248M Investor Fraud
The co-founder of bankrupt financial services company Aspiration Partners Inc. agreed on Thursday to plead guilty to defrauding investors and lenders.
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									August 21, 2025
									
BlockFi Judge Urged To OK $13M Deal As Objector Withdraws
Investors who reached a $13.2 million settlement with the failed cryptocurrency lender BlockFi Inc. have urged a federal judge to move forward with the plan now that a class member has withdrawn his objections to the deal.
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									August 21, 2025
									
Claire's Gets Interim Approval For $22.5M DIP Facility
A Delaware bankruptcy judge on Thursday gave interim approval to bankrupt jewelry chain Claire's to receive a $22.5 million debtor-in-possession facility from a private holding company that plans to buy the majority of the company's U.S. stores through an asset purchaser agreement.
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									August 21, 2025
									
Nikola Ch. 11 Plan Ignores Trump Pardon, Founder Says
Trevor Milton, the founder and former CEO of electric-truck maker Nikola who was convicted of securities fraud, has asked the Delaware bankruptcy court not to allow the company to subordinate his $69 million claim, saying its Chapter 11 plan doesn't accurately account for the full presidential pardon he received earlier this year.
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									August 21, 2025
									
Pa. City Water Dept. Fights Bid To Sanction Counsel
The Chester Water Authority has urged a Pennsylvania bankruptcy court to reject the city's bid to recover about $140,000 in attorney fees as sanctions, arguing any delay in producing documents was necessary to comply with a state confidential information law.
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									August 21, 2025
									
Ore. Whiskey Distillery Asks To Add $500K To Ch. 11 Loan
Portland, Oregon-based whiskey producer House Spirits has asked a Delaware bankruptcy judge for permission to borrow an additional $500,000 in cash to finance its Chapter 11 case, raising the amount of its debtor-in-possession loan to more than $2 million.
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									August 21, 2025
									
Healthcare Co. Modivcare Hits Ch. 11 To Cut $1.1B Of Debt
Technology-enabled healthcare services company Modivcare Inc. filed for Chapter 11 protection in Texas bankruptcy court with plans to recapitalize its balance sheet and cut $1.1 billion of debt.
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									August 20, 2025
									
Judge Keeps Yale-Prospect Medical Sale Feud In Ch. 11 Court
A Texas bankruptcy judge on Wednesday paused Yale New Haven Health Services Corp.'s request to reopen a $435 million Connecticut feud over a deal to purchase three hospitals from debtor Prospect Medical Holdings Inc., saying she first wants to hear Prospect's plan to repair the troubled contract.
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									August 20, 2025
									
States Say Kidde-Fenwal Ch. 11 Disclosures Still Inadequate
Attorneys for seven states and Washington, D.C., have told a Delaware bankruptcy court that firefighting foam maker Kidde-Fenwal Inc. failed to meet court-directed disclosure statement requirements for its latest, fifth-amended Chapter 11 liquidation plan and called for rejection of the document.
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									August 20, 2025
									
US Trustee Seeks Two-Year Bankruptcy Ban For NYC Pot Club
The U.S. Trustee's Office has urged a New York bankruptcy judge to block a self-described cannabis club from filing for bankruptcy for two years, saying the organization has filed a string of recent Chapter 11 petitions to thwart evictions.
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									August 20, 2025
									
NC Bankruptcy Atty Charged With 2nd-Degree Murder
A North Carolina bankruptcy attorney is facing murder charges after police said he shot and killed a 43-year-old man in a small town in the mountains over the weekend, court records show.
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									August 20, 2025
									
IRS Lost Lien In Bankruptcy, Man Says In $28M Tax Battle
The Internal Revenue Service jettisoned any federal tax lien it claims to have against a man by filing an unsecured claim in his bankruptcy case, he told a Florida federal court Wednesday in response to the government's $28 million lawsuit against him.
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									August 20, 2025
									
Claire's Pitches Over $104M Sale Of US Stores In Ch. 11
Bankrupt jewelry chain Claire's announced plans Wednesday to sell intellectual property and some of its U.S. stores to a private holding company for $104 million in cash as well as other inducements.
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									August 19, 2025
									
PE Firm Hit With Contempt, Receiver In Del. Over Legal Bills
A magistrate in the Delaware Chancery Court has entered an order for contempt and sanctions, as well as a receivership, against private equity firm 777 Partners in its former chief financial officer's suit seeking advancement of legal fees in connection with a fraud investigation and multiple lawsuits related to the company's business.
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									August 19, 2025
									
Family Alleging Firm's Girardi Conflict Denied Partial Win
A Los Angeles judge Tuesday denied a family's motion seeking judgment on declaratory relief claims in a $1.8 million malpractice lawsuit against a firm that represented it in recovering millions lost in Girardi Keese's embezzlement scandal, saying disputed facts remain in the "unusual" case.
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									August 19, 2025
									
Judge To Confirm Scanrock's Ch. 11 Plan After Settlement
A Texas bankruptcy judge on Tuesday conditionally confirmed the Chapter 11 plan of hydrocarbon driller Scanrock Oil & Gas, after the debtor resolved objections from parties including an ad hoc group, certain creditors and the U.S. Small Business Administration.
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									August 19, 2025
									
Prospect Medical Says Yale Deal Is Top Offer For Hospitals
Hospital operator Prospect Medical Holdings Inc. has asked to assume a $435 million pre-bankruptcy agreement to sell its three Connecticut hospitals to Yale New Haven Health Services Corp., arguing it contains the "highest possible recovery" for its creditors.
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									August 19, 2025
									
Judge Keeps Dr. Phil Media Biz In Ch. 11, Is Up To Boost DIP
A Texas bankruptcy judge on Tuesday suggested he would approve more postpetition financing for a bankrupt broadcaster co-founded by Dr. Phil once an agreed upon order was before him, while also denying Sidley Austin's bid to stop representing the debtor and refusing to dismiss the case.
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									August 19, 2025
									
Sunnova's $118M Sale Can Proceed Despite Bank's Protest
A Texas bankruptcy judge Tuesday declined to undo a $118 million sale of almost all the assets of solar panel business Sunnova Energy International Inc., rejecting a St. Louis-area bank's argument that the debtor failed to disclose that nondebtor assets would be part of the transaction.
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									August 19, 2025
									
Linqto Says Ch. 11 Plan Will Have In-Kind Customer Payment
Linqto and its unsecured creditors committee told a Texas bankruptcy judge Tuesday that they have come to an agreement to give customers the chance for in-kind payment in the investment platform's Chapter 11 plan.
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									August 18, 2025
									
Catching Up With Delaware's Chancery Court
Executives and board members of Cencora Corp. tentatively settled a stockholder derivative suit for $111.25 million, VectoIQ board members reached a $6.3 million deal on stockholder claims over electric carmaker Nikola's prospects, and class attorneys who secured a $50 million derivative suit settlement saw their proposed 25% attorney fee cut by almost half. Here's the latest from the Delaware Chancery Court.
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									August 18, 2025
									
NY Judge Questions Brazilian Co. Oi's Ch. 15-To-Ch. 11 Shift
A New York federal bankruptcy judge expressed concerns about a Brazilian telecommunications company's novel plans to undo Chapter 15 recognition of a restructuring proceeding in its home country so it can file for Chapter 11 protection in the U.S.
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									August 18, 2025
									
Tax Court Finds Bankrupt Couple Owes Back Taxes
An Internal Revenue Service settlement officer didn't abuse her discretion by sustaining a tax levy against a Texas couple's abandoned assets, because the couple failed to file the correct paperwork, the U.S. Tax Court ruled Monday.
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									August 18, 2025
									
3rd Circ. Says IRS Can Pursue Taxes In Decades-Old Fraud
The IRS can go after a woman's unpaid taxes more than 20 years later because her return preparer committed fraud on her filings, even though the woman did not mean to evade taxes, the Third Circuit ruled Monday.
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									August 18, 2025
									
Burr & Forman Must Face Claims From Healthcare Scheme
A Georgia federal judge has denied Burr & Forman LLP's bid to escape a lawsuit accusing the firm of being party to a massive healthcare fraud scheme, ruling that it must largely face malpractice and breach of fiduciary claims from a pair of bankruptcy trustees.
 
Expert Analysis
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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.
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Exploring Venue Strategy For Trump-Era Regulatory Litigation
									Litigation will likely play a prominent role in shaping policy outcomes during the second Trump administration, and stakeholders have several tools at their disposal to steer regulatory litigation toward more favorable venues, say attorneys at Covington.
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Consultants Should Be Aware Of DOJ's Potential New Reach
									The U.S. Department of Justice's recent first-of-its-kind settlement with McKinsey & Co. indicates not only the DOJ's more aggressive stance toward businesses' potential criminal wrongdoings, but also the benefits of self-disclosure and cooperation when wrongdoing becomes apparent, says Dom Caamano at Kibler Fowler.
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Series
Playing Esports Makes Me A Better Lawyer
									Competing in a global esports tournament at Wimbledon last year not only fulfilled my childhood dream, but also sharpened skills that are essential to my day job, including strategic thinking, confidence and networking, says AJ Schuyler at Jackson Lewis.
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An Associate's Guide To Career Development In 2025
									As the new year begins, associates at all levels should consider establishing career metrics, fostering key relationships and employing other specific strategies to help move through the complexities of the legal profession with confidence and emerge as trailblazers, say EJ Stern and Amanda George at Fractional Law Firm.
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Series
Fixing Up Cars Makes Me A Better Lawyer
									From problem-solving to patience and adaptability to organization, the skills developed working under the hood of a car directly translate to being a more effective lawyer, says Christopher Mdeway at Kaufman Dolowich.
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Making The Pitch To Grow Your Company's Legal Team
									In a compressed economy, convincing the C-suite to invest in additional legal talent can be a herculean task, but a convincing pitch — supported by metrics and cost analyses — may help in-house counsel justify the growth of their team, say Elizabeth Smith and Roger Garceau at Major Lindsey.
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Justices May Find Gov't Can Keep Fraudulent Transfer Benefit
									Based on the justices' questions at the recently argued U.S. v. Miller, the Supreme Court appears prepared to hold that the U.S. — unlike any other creditor — is permitted to retain the benefits of a fraudulent transfer to the detriment of other bankruptcy creditors, says Kevin Morse at Clark Hill.
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When US Privilege Law Applies To Docs Made Outside The US
									As globalization manifests itself in disputes over foreign-created documents, a California federal court’s recent trademark decision illustrates nuances of both U.S. privilege frameworks and foreign evidentiary protections that attorneys must increasingly bear in mind, say attorneys at Hunton.
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'Minimal Participant' Bar Is Tough To Clear For Whistleblowers
									Under the U.S. Department of Justice’s corporate whistleblower pilot program, would-be whistleblowers will find it tough to show that they only minimally participated in criminal misconduct while still providing material information, but sentencing precedent shows how they might prove their eligibility for an award, say attorneys at MoloLamken.
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What 2024 Trends In Marketing, Comms Hiring Mean For 2025
									The state of hiring in legal industry marketing, business development and communications over the past 12 months was marked by a number of trends — from changes in the C-suite to lateral move challenges — providing clues for what’s to come in the year ahead, says Ben Curle at Ambition.