Bankruptcy

  • November 15, 2019

    US Trustee Wants Avenue Stores Case Converted To Ch. 7

    The U.S. Trustee’s Office has asked a Delaware court to convert retail chain Avenue Stores Inc.’s bankruptcy to a Chapter 7 liquidation, saying a trustee needs to be appointed to pursue claims against one of the company’s major creditors.

  • November 15, 2019

    Bankrupt NY Diocese Sues Insurers To Cover Sex Abuse Suits

    The bankrupt Diocese of Rochester, New York, has hit 11 of its insurers with a lawsuit alleging they’ve refused to defend it against an onslaught of sexual abuse litigation filed in the wake of an August law that rolled back the statute of limitations on those claims.

  • November 15, 2019

    Houlihan's Parent Hopes To Close Ch. 11 Sale By Year's End

    The parent company of casual dining chain Houlihan’s told a Delaware bankruptcy judge Friday that it intends to pursue an "ambitious" plan to sell its assets as a going concern by the end of 2019 and has a $40 million offer in hand to guide the process.

  • November 15, 2019

    UK Litigation Roundup: Here's What You Missed In London

    The past week in London has seen Libya's sovereign wealth fund sue Credit Suisse amid a long-running bribery battle, retailer Sports Direct take on its former accountant Grant Thornton, and a host of underwriters file claims against a shipowner and its bank a month after winning a case over a fake pirate attack. Here, Law360 looks at those and other new claims in the U.K.

  • November 14, 2019

    Insys Alters Ch. 11 Plan After Claimant Deal Falls Through

    Bankrupt drugmaker Insys Therapeutics told a Delaware judge Thursday that it would be moving forward with an amended Chapter 11 plan of liquidation after it failed to reach consensus with all creditor parties on how the estate’s assets should be distributed.

  • November 14, 2019

    Destination Maternity's Expedited Ch. 11 Sale Plan Approved

    Retailer Destination Maternity's proposed bidding procedures received court approval Thursday, with a Delaware bankruptcy judge saying he would make sure the case's compressed timeline didn’t negatively affect the rights of landlords with leases at the debtor’s locations.

  • November 14, 2019

    Dean Foods Gets OK To Tap Into $475M In DIP Funds

    Milk producer Dean Foods on Thursday got permission from a Houston bankruptcy court to tap into $475 million of its $850 million in debtor-in-possession financing, a move the company said will help keep the milk flowing until it can arrange an asset sale.

  • November 14, 2019

    Retrieval-Masters To Share Data Breach Info With State AGs

    Collection agency Retrieval-Masters Creditors Bureau Inc. told a New York bankruptcy judge Thursday it has reached an agreement with a group of state attorneys general to share information on the massive medical data leak that sent the company into Chapter 11.

  • November 14, 2019

    Purdue's Law Firms Must Return Retainers, US Trustee Says

    The U.S. trustee in Purdue Pharma LP's bankruptcy case has objected to the company's bid to let its law firms, including Skadden and Davis Polk, keep the retainers they were paid before Purdue's bankruptcy filing, saying the move unfairly favors those firms over other creditors in the case.

  • November 14, 2019

    Philly Refinery Gets OK For Possible Ch. 11 Auction In Jan.

    PES Holdings LLC secured Delaware bankruptcy court approval Thursday for bid procedures that envision an auction in January for its crippled and idle south Philadelphia refinery, while affirming that an “as is, where is” provision in the procedures was not a blanket attempt to hand off environmental or other liabilities.

  • November 14, 2019

    Houlihan's Files Ch. 11 With $40M Bid From Landry's

    Restaurant chain Houlihan’s Restaurants Inc. has filed for bankruptcy in Delaware and plans to sell its assets at auction, with rival dining chain operator Landry’s LLC serving as the stalking horse bidder with a $40 million opening bid.

  • November 13, 2019

    Bankruptcy Stay Orders Not Final, Creditor Tells Justices

    A Chapter 11 creditor told the U.S. Supreme Court Wednesday that its appeal of a bankruptcy court's order denying relief from the automatic stay didn't need to be filed immediately as lower courts had said but could have waited until the Chapter 11 was resolved.

  • November 13, 2019

    Navajo Nation Won't Back Tribal Energy Co.'s New Coal Mines

    The leadership of the Navajo Nation said the tribe will not provide financial backing for bonds that a tribe-owned energy company needs to operate three mines it recently acquired from a bankrupt coal miner.

  • November 13, 2019

    Purdue Claimants Oppose Payment Of Settling States' Costs

    Unsecured creditors and individual claimants in the Purdue Pharma Chapter 11 are asking a New York bankruptcy judge to deny the company permission to pay the legal bills of a group of states that reached a tentative deal with the drugmaker.

  • November 13, 2019

    UBiome Trustee Seeks To Unload Assets By Mid-December

    The Chapter 7 trustee for fecal testing firm uBiome Inc. has asked a Delaware bankruptcy judge to start an auction process that would see the company’s assets sold off by the middle of next month.

  • November 13, 2019

    EdgeMarc Ch. 7 Conversion Imminent Without 11th-Hour Deal

    The bankruptcy case of natural gas producer EdgeMarc Energy Holdings LLC will be converted to a Chapter 7 case Friday afternoon unless a global settlement among key stakeholders can be reached before then, a debtor attorney said Wednesday in Delaware.

  • November 13, 2019

    Spinal Implant Maker Files Ch. 11 Over Development Debt

    Texas medical implant maker Nuvectra Corp. has filed for Chapter 11 protection, saying it needs to deal with the “substantial debt” it took on developing and marketing its products.

  • November 12, 2019

    9th Circ. Backs Boeing's $200M Win In Ukraine Space Co. Row

    A Ninth Circuit panel on Tuesday backed up The Boeing Co. in a suit against its Ukrainian partners in a defunct satellite launching project, affirming a $200 million judgment and ending nearly a decade of litigation that stretched across the U.S., Sweden, Russia and the U.K.

  • November 12, 2019

    Texas Judge Says 'Too Draconian' To Toss $63M Investor Suit

    A federal judge in Texas has trimmed a lawsuit brought by jilted creditors seeking to collect on a $63 million judgment against a real estate investment company, while holding that tossing the entire lawsuit would be “too draconian, unduly prejudicial to plaintiffs and unwarranted.”

  • November 12, 2019

    MDC Energy Hearing Paused For Talks On Ch. 11 Funding

    The first-day hearing in the Chapter 11 cases of oil and gas driller MDC Energy LLC and its affiliates will resume Friday after a Delaware judge said Tuesday the debtors and their secured lenders should discuss how the cases will be funded as litigation over control of the bankruptcy looms.

  • November 12, 2019

    Jeweler Says It Can Still Sue Over Rejected Firestar Deal

    A former party to a licensing deal with Firestar Diamond is arguing to a New York bankruptcy court that it can still pursue breach of contract claims after reaching an agreement with Firestar's Chapter 11 trustee to formally reject the contract last year.

  • November 12, 2019

    Baker Donelson Atty Accused Of Lying For Loan Before Ch. 11

    A director at Baker Donelson Bearman Caldwell & Berkowitz PC borrowed more than $81,000 to insure trucks in a floundering shipping business just hours after the venture filed for Chapter 11, a Michigan financing company told a Mississippi federal bankruptcy court.

  • November 12, 2019

    Arsenal Resources Fast-Tracks Mid-Dec. Ch. 11 Confirmation

    West Virginia natural gas driller Arsenal Resources Development LLC received court approval Tuesday in Delaware bankruptcy court for a fast-tracked schedule that will have the company seeking approval of a prepackaged plan of reorganization in mid-December.

  • November 12, 2019

    Milk Producer Dean Foods Files Ch. 11 Amid Sale Talks

    Dean Foods, one of the largest milk producers in the U.S., filed for Chapter 11 in a Dallas bankruptcy court Tuesday, saying it is seeking an asset sale to escape problems brought on in part by falling milk consumption and unfunded pension obligations.

  • November 08, 2019

    Law360 MVP Awards Go To Top Attorneys From 76 Firms

    The elite slate of attorneys chosen as Law360's 2019 MVPs have distinguished themselves from their peers by securing hard-earned successes in high-stakes litigation, complex global matters and record-breaking deals.

Expert Analysis

  • Texas Could Take Page From Mass.'s Judicial Selection Book

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    As Texas and other states review their judicial election processes, they would be well served by taking guidance from Massachusetts' Governor’s Council system, which protects the judiciary from the hazards of campaigning, says Richard Baker of New England Intellectual Property.

  • Series

    Judging A Book: McKeown Reviews 'Conversations With RBG'

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    Reading Jeffrey Rosen’s "Conversations With RBG: Ruth Bader Ginsburg on Life, Love, Liberty, and Law" is like eavesdropping on the author and his subject while they discuss how the restrained judicial minimalist became the fiery leader of the opposition, says Ninth Circuit Judge M. Margaret McKeown.

  • Opinion

    Flat-Fee Legal Billing Can Liberate Attorneys

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    Replacing hourly billing with flat-fee arrangements, especially for appellate work, will leave attorneys feeling free to spend as much time as necessary to produce their highest quality work, says Lawrence Ebner of Capital Appellate Advocacy.

  • Spoliation Rule Remains Ambiguous Despite Amendments

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    Although the Federal Rules of Civil Procedure were amended to provide a uniform standard of culpability for spoliation, cases with similar facts are still reaching differing results because the rule does not specify how a court should evaluate a party's intent, say attorneys at Pepper Hamilton.

  • 5 Trends Influencing RFPs For Law Firms

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    Requests for proposals, the standard tool of companies evaluating law firms, are becoming better suited to the legal industry, says Matthew Prinn of RFP Advisory Group.

  • Private Equity Wants To Buy Your Asbestos Liabilities

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    BorgWarner's deal to sell off its asbestos liabilities this week confirms that such sales are a viable corporate strategy that can be less expensive than, and offer disclosure advantages over, prepackaged bankruptcy and loss portfolio insurance. But they still come with a cost, and can raise trust and security issues, says Stephen Hoke of Hoke LLC.

  • Series

    Why I Became A Lawyer: Being There For Families In Trouble

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    My parents' contentious, drawn-out divorce was one of the worst experiences of my life. But it taught me how to be resilient — and ultimately led me to leave corporate litigation for a career in family law, helping other families during their own difficult times, says Sheryl Seiden of Seiden Family Law.

  • A Hard Choice Ahead For Sears Ch. 11 Creditors

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    After last week's written order confirming the Sears bankruptcy joint plan, the company's creditors should expect to receive preference complaints and may want to review their defenses ahead of the Nov. 18 opt-in deadline to avoid an unfavorable settlement due to lack of time, say Ronald Spinner and Marc Swanson of Miller Canfield.

  • Where Law Firm Partners Go When Changing Jobs

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    We reviewed 177 law firm partners' job changes from the last seven years and discovered some migration patterns and gender dynamics, say James Bailey of the George Washington University School of Business and Jane Azzinaro of Cognizant.

  • Consumer Protection Issues For Single-Family Rental Market

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    As institutional appetite for single-family rental properties surges, investor landlords need to understand the applicable consumer protection laws — including a new series of fair housing bills — to manage their legal risk amid increasing scrutiny, say attorneys with King & Spalding.

  • 3 Ways To Leverage Vulnerability For Lawyer Well-Being

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    Admitting to imperfection is an elusive construct in the legal industry, but addressing this roadblock by capitalizing on vulnerabilities can increase personal and professional power, says life coach and attorney Julie Krolczyk.

  • How 401(k) Bankruptcy Exemption Can Be Lost

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    A recent Connecticut federal court decision considers circumstances under which qualified retirement funds can slip outside an important Bankruptcy Code exemption and illustrates compliance challenges faced by small business owners navigating the tax code without adequate resources, says Daniel Morgan at Blank Rome.

  • New Data Shows BigLaw's True Profitability

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    Based on an analysis adjusting BigLaw operating income and revenue to account for equity partners and taxes, the profitability of firms is lower than commonly thought, says Madhav Srinivasan at Hunton.

  • Midstream Agreements Can Still 'Run With The Land'

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    Colorado's federal bankruptcy court recently held that a gas gathering and processing agreement and a salt water disposal agreement were "covenants running with the land," and were not extinguished through a bankruptcy sale. The ruling is welcome news for upstream and midstream companies in the oil and gas space, say attorneys at Davis Graham.

  • Opinion

    Courts Keep Rejecting Litigation Funding Discovery Campaign

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    As shown by recent case law, including a New Jersey federal court holding last month in Valsartan Products Liability Litigation, there is no "shifting tide" in favor of disclosing litigation funding arrangements, say Matthew Harrison and Stephanie Southwick of Bentham IMF.