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Bankruptcy
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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.
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August 18, 2025
Texas Specialty Recycling Facility Files For Ch. 11
A Texas company that recycles chemicals used in petroleum refining has filed for Chapter 11 in Texas, blaming equipment failures and unstable prices for the metals it recovers and seeking a sale by October to deal more than $403 million in debt.
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August 18, 2025
Mass. Justices Affirm 3-Year Suspension For Bankruptcy Atty
Massachusetts' highest court on Monday affirmed a three-year license suspension for a Boston bankruptcy attorney over a series of rules violations, including misrepresentations to federal and state courts, since 2014.
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August 15, 2025
US Trustee Blasts Deals Over Jackson Walker-Judge Romance
The U.S. trustee for the Southern District of Texas on Friday objected to Jackson Walker LLP's proposed settlements with former bankruptcy clients meant to resolve fee disputes related to the concealed romance of a former lawyer with the firm and a former bankruptcy judge, arguing they should be denied or considered at trial.
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August 15, 2025
Argentina Can Stay YPF Stake Turnover, 2nd Circ. Says
The Second Circuit on Friday paused a New York federal judge's order requiring Argentina to give up its 51% equity stake in the nationalized oil company YPF SA to partially pay off a $16.1 billion judgment in investor litigation, while the country appeals.
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August 15, 2025
Real Estate Recap: Water Law, Risky Debt, NYC Rezone
Catch up on this past week's key developments by state from Law360 Real Estate Authority — including attorney insights into coastal development, one bank's bullish outlook on construction financing, and Midtown Manhattan's greenlight for denser residential development.
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August 15, 2025
Chancery Says Failed FTX Claim Buy Is Outside Its Jurisdiction
A Delaware Chancery Court judge on Friday ruled that a lawsuit over a failed deal to buy a claim in the Chapter 11 case of cryptocurrency platform FTX does not belong in his court, saying the fact the bankruptcy is being heard in Delaware does not constitute a sufficient connection to the state.
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August 15, 2025
Bankrupt NJ Office Building Gets OK For $26M Sale
A New York bankruptcy judge on Thursday approved the sale of a New Jersey office building for $26 million, a higher price than that offered by the stalking horse bidder, which will get a $215,000 breakup fee.
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August 15, 2025
Calif. Student Housing Complex Files Ch. 11
University Park Berkeley LLC, the operator of a student housing complex in Berkeley, California, filed for Chapter 11 bankruptcy protection Thursday in a California bankruptcy court, listing between $50 million and $100 million in debt.
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August 15, 2025
Yellow Corp. Seeks OK For $16M In Real Estate Sales
Trucking company Yellow Corp. asked a Delaware bankruptcy judge to approve the sale of three of its remaining truck depots for a total of just over $16 million.
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August 15, 2025
Truck Leasing Co. Hits Ch. 11 With More Than $50M Debt
Arizona-based truck leasing company Titan Transportation Equipment Leasing has filed for Chapter 11 protection in Delaware with $50 million to $100 million in liabilities against $10 million to $50 million in assets.
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August 14, 2025
Genesis Parent Says It Met $1.1B Duty, Seeks 'Overpayments'
Crypto conglomerate Digital Currency Group Inc. on Thursday urged a New York bankruptcy judge to declare it has no further obligations under a $1.1 billion promissory note meant to "backstop" its bankrupt subsidiary, crypto lender Genesis, after rising crypto prices allegedly offset the loss the note intended to cover.
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August 14, 2025
Nursing Home Pharmacy Co. Hits Ch. 11 With $51M Sale Plan
Partners Pharmacy Services LLC, which provides medications to patients in long-term care facilities across seven U.S. states, has filed for Chapter 11 protection in Texas, with plans for an asset sale to its prepetition lender, who is an existing indirect owner, for a $51 million credit bid.
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August 14, 2025
2 Face Charges Over $200M Water Vending Machine Fraud
A Washington business executive and a former investment adviser were hit with civil and criminal charges in New York federal court Thursday stemming from an alleged yearslong $200 million Ponzi scheme that hawked investments in nonexistent water vending machines.
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August 14, 2025
Dr. Phil Media Co. Must Hand Over Texts, Emails In Ch. 11
Dr. Phil's production company and a bankrupt broadcaster he co-founded must comply with discovery requests from creditors trying to dismiss Merit Street Media's increasingly contentious Chapter 11, a Texas bankruptcy judge said Thursday.
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August 14, 2025
Infowars Faces Sale As Texas Judge Appoints Receiver
A Texas state court judge has ordered the appointment of a receiver to take possession of Alex Jones' Infowars assets to help satisfy over $1 billion in judgments he faces for defaming a group of families of Sandy Hook shooting victims.
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August 14, 2025
Rite Aid Gets More Bids For Leases, Properties In Ch. 11
Drugstore chain Rite Aid told a New Jersey bankruptcy judge on Thursday that it has secured another roughly $76 million in bids for leases and property across the country as the debtor works to sell its assets in Chapter 11.
Expert Analysis
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So You Want To Move Your Law Practice To Canada, Eh?
Google searches for how to move to Canada have surged in the wake of the U.S. presidential election, and if you’re an attorney considering a move to the Great White North, you’ll need to understand how the practice of law differs across the border, says David Postel at Henein Hutchison.
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A Strategic Checklist For Bankruptcy Motion Objections
Excerpt from Practical Guidance
Hewing to a set of best practices for objecting to a motion in bankruptcy cases can help creditors’ counsel stay on track as they juggle deadlines and jurisdictions, determine whether filing will help or harm the client, and negotiate with the debtor.
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Promoting Diversity In The Selection Of ADR Neutrals
Excerpt from Practical Guidance
Choosing neutrals from diverse backgrounds is an important step in promoting inclusion in the legal profession, and it can enhance the legitimacy and public perception of alternative dispute resolution proceedings, say attorneys at Lowenstein Sandler.
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Series
Playing Ultimate Makes Us Better Lawyers
In addition to being fun, ultimate Frisbee has improved our legal careers by emphasizing the importance of professionalism, teamwork, perseverance, enthusiasm and vulnerability, say Arunabha Bhoumik and Adam Bernstein at Regeneron.
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E-Discovery Quarterly: Recent Rulings On Metadata
Several recent rulings reflect the competing considerations that arise when parties dispute the form of production for electronically stored information, underscoring that counsel must carefully consider how to produce and request reasonably usable data, say attorneys at Sidley.
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The 3rd-Party Bankruptcy Release Landscape After Purdue
In its Purdue Pharma ruling prohibiting nonconsensual third-party releases, the U.S. Supreme Court did not comment on criteria to render a third-party release consensual, opening a debate in the bankruptcy courts on the permissibility of opt-out versus opt-in releases, say attorneys at Morgan Lewis.
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Striking A Balance Between AI Use And Attorney Well-Being
As the legal industry increasingly adopts generative artificial intelligence tools to boost efficiency, leaders must note the hidden costs of increased productivity, and work to protect attorneys’ well-being while unlocking AI’s full potential, says Ed Sohn at Factor.
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Empathy In Mediation Offers A Soft Landing For Disputes
Experiencing a crash-landing on a recent flight underscored to me how much difference empathy makes in times of crisis or stress, including during mediation, says Eydith Kaufman at Alternative Resolution Centers.
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Series
Being An Artist Makes Me A Better Lawyer
My work as an artist has highlighted how using creativity and precision together — qualities that are equally essential in both art and law — not only improves outcomes, but also leads to more innovative and thoughtful work, says Sarah La Pearl at Segal McCambridge.
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How Judiciary Can Minimize AI Risks In Secondary Sources
Because courts’ standing orders on generative artificial intelligence and other safeguards do not address the risk of hallucinations in secondary source materials, the judiciary should consider enlisting legal publishers and database hosts to protect against AI-generated inaccuracies, say attorneys at Lankler Siffert & Wohl.
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How Attorneys Can Break Free From Career Enmeshment
Ambitious attorneys can sometimes experience career enmeshment — when your sense of self-worth becomes unhealthily tangled up in your legal vocation — but taking the time to discover and realign with your core personal values can help you recover your identity, says Janna Koretz at Azimuth Psychological.
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Bankruptcy Decision Exemplifies Venue Issue For Franchisees
A California bankruptcy court's decision earlier this month in Pinnacle Foods and a lingering circuit split on assumption of executory franchise contracts highlights the issue of whether franchisee debtors can qualify for case venue in friendlier circuits, says David Gamble at Parkins Rubio.
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Lawyers With Disabilities Are Seeking Equity, Not Pity
Attorneys living with disabilities face extra challenges — including the need for special accommodations, the fear of stigmatization and the risk of being tokenized — but if given equitable opportunities, they can still rise to the top of their field, says Kate Reder Sheikh, a former attorney and legal recruiter at Major Lindsey & Africa.
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Opinion
Judicial Committee Best Venue For Litigation Funding Rules
The Advisory Committee on Civil Rules' recent decision to consider developing a rule for litigation funding disclosure is a welcome development, ensuring that the result will be the product of a thorough, inclusive and deliberative process that appropriately balances all interests, says Stewart Ackerly at Statera Capital.
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The Strategic Advantages Of Appointing A Law Firm CEO
The impact on law firms of the recent CrowdStrike outage underscores that the business of law is no longer merely about providing supplemental support for legal practice — and helps explain why some law firms are appointing dedicated, full-time CEOs to navigate the challenges of the modern legal landscape, says Jennifer Johnson at Calibrate Strategies.