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  • May 20, 2024

    Red Lobster Filing, Giuliani Deal, New Jersey's Rise As Venue

    Seafood restaurant chain Red Lobster filed for bankruptcy in Florida with $294 million in funded debt after a failed "endless shrimp" promotion, Rudy Giuliani and two election workers who sued him for defamation said they were close to a deal to resolve a lawsuit filed in his bankruptcy case, and a top New Jersey judge disclosed the Garden State was the second-busiest bankruptcy venue over the past year.

  • May 20, 2024

    Rite Aid Settles Trademark Suit Over New Logo

    Rite Aid has reached an agreement with Brand Design Co. to end a lawsuit claiming that the drugstore chain misused the design firm's font for a new logo, the parties have told a Pennsylvania federal court.

  • May 20, 2024

    Express Seeks To Nix 5th Ave. Store Lease, 16 Others

    Fashion retailer Express Inc. told a Delaware bankruptcy judge the company has decided to reject the leases for 17 of its stores in its Chapter 11 case, including a lease for its store on Fifth Avenue in New York City and another lodged in the Mall of America.

  • May 20, 2024

    J&J Says Beasley Allen Looking To 'Bias' Vote On $6.5B Plan

    Johnson & Johnson's bankrupt talc unit accused the Beasley Allen Law Firm of attempting to intentionally "bias" the vote against its recently announced proposal to pay out $6.5 billion in a prepackaged reorganization plan to resolve claims that its talc-based baby powder causes ovarian cancer.

  • May 20, 2024

    Girardi Wants To Probe Jurors' 'Real Housewives' Exposure

    Public defenders for Tom Girardi want to ask prospective jurors in his upcoming fraud trial whether they have seen his wife's reality television show and news reporting about his law firm's massive scandal, according to a recent motion in Los Angeles federal court.

  • May 17, 2024

    Scammer Cops To SIM Scheme Including $400M Crypto Theft

    A Colorado woman on Thursday pled guilty in D.C. federal court for her part in a SIM swapping scheme that appears to encompass more than $400 million stolen from the now-bankrupt cryptocurrency exchange FTX.

  • May 17, 2024

    ConvergeOne Lenders Cite 'Exclusivity' Of Ch. 11 Equity Deal

    A group of ConvergeOne lenders asked a Texas bankruptcy judge Friday to reject the information technology company's prepackaged Chapter 11 plan, saying an equity rights offering underpinning the proposal unfairly excludes its members.

  • May 17, 2024

    Healthcare Co. Sues Steward In Ch. 11 Over Military Contract

    A healthcare company that provides services to members of the military and their families sued debtor Steward Health Care on Thursday in Texas bankruptcy court, asking a judge there to declare that the provider properly terminated a subcontract with Steward due to its declining financial state.

  • May 17, 2024

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

    This past week in London has seen a wave of claims filed against Verity Trustees Ltd., Harley-Davidson hit retailer Next with an intellectual property claim, Turkish e-commerce entrepreneur Demet Mutlu sue her ex-husband and Trendyol co-founder Evren Üçok and the Solicitors Regulation Authority file a claim against the former boss of collapsed law firm Axiom. Here, Law360 looks at these and other new claims in the U.K.

  • May 17, 2024

    Cano Health Strikes $7M Deal With Unsecured Creditors

    A Delaware bankruptcy judge said Friday that she was prepared to send Cano Health Inc.'s Chapter 11 plan out for a creditor vote after hearing the medical care group has reached a $7 million settlement with its unsecured creditors.

  • May 17, 2024

    'We Feel It': NJ Ranks 2nd In Ch. 11 Cases, Chief Judge Says

    New Jersey federal courts saw the second most Chapter 11 bankruptcy filings in the nation over the last year, Chief U.S. District Judge Renée Marie Bumb of the District of New Jersey said on Friday.

  • May 16, 2024

    Convicted Insurance Mogul Says He'll Trim Empire

    Convicted insurance mogul Greg Lindberg told the North Carolina Supreme Court he's relinquishing control of portions of his enterprise to fulfill a deal to restructure them with independent oversight, according to court filings.

  • May 16, 2024

    NJ Judge Scrutinizes J&J Unit's Libel Claim Over Talc Study

    A bankrupt Johnson & Johnson unit's libel claims over a scientific article linking talcum powder to mesothelioma intrigued a New Jersey federal judge during an oral argument on Thursday, prompting her to muse that the author's consideration of other exposures seemed to bolster the study at issue.

  • May 16, 2024

    SVB Parent Resolves Objections To Ch. 11 Plan Disclosures

    SVB Financial Group, the former parent company of Silicon Valley Bank, told a New York bankruptcy judge Thursday that it had resolved outstanding objections to its Chapter 11 plan disclosure statement and was ready to move forward with a sale of its investment arm.

  • May 16, 2024

    DOL Unveils Long-Delayed Abandoned Retirement Plan Rules

    After being sidelined for more than a decade, a plan for expanding U.S. Department of Labor rules for terminating retirement plans abandoned by employers are moving forward again, the agency reported Thursday, along with a long-delayed role in the process for bankruptcy trustees.

  • May 15, 2024

    MLB, NHL, NBA Doubt Bally Sports Parent Can Reorganize

    The bankrupt parent of Bally Sports-branded regional sports networks touted the extension of a carriage contract with DirecTV Wednesday in Texas bankruptcy court, at the same time that the parent company's partners in major American sports leagues expressed skepticism about its ability to successfully reorganize.

  • May 15, 2024

    News Media Don't Want FTX Examiner's Report Sealed

    Major news media companies asked a Delaware bankruptcy judge to ensure that an examiner's report into crypto giant FTX's downfall is not filed under seal, arguing that a proposed redaction process runs counter to the court's previous order, a Third Circuit decision and the public interest.

  • May 15, 2024

    Ollie's Can Make $14.6M Stalking-Horse Bid For 99 Cents Only

    Discount retail chain 99 Cents Only received approval Wednesday from a Delaware bankruptcy judge for a $14.6 million stalking-horse bid for 11 of its properties in Texas from Ollie's Bargain Outlet Inc., another discount retailer.

  • May 15, 2024

    NY Diocese, Abuse Claimants Sent To Ch. 11 Plan Talks

    A New York bankruptcy judge Wednesday sent the Roman Catholic Diocese of Rockville Centre and clergy sex abuse claimants back into mediation rather than grant the diocese's request to dismiss the case after the abuse claimants rejected its Chapter 11 plan.

  • May 15, 2024

    Celsius Data Leak Highlights Privacy Puzzle In Crypto Ch. 11s

    A recent phishing attack that exposed personal information of 104,000 creditors in Celsius Network's Chapter 11 case has thrown fresh light on a vexing question for bankruptcy courts across the country: how to balance cryptocurrency companies' insistence on anonymity with bankruptcy's principle of transparency.

  • May 15, 2024

    Ex-FTX Exec Seeks Leniency, Saying He Was Kept In The Dark

    A former top FTX official has asked a Manhattan federal judge for a lenient 18-month sentence, saying he was not part of company co-founder Sam Bankman-Fried's inner circle and was as shocked as everyone else to learn that the crypto exchange was operating a fraud that siphoned billions in customer funds.

  • May 14, 2024

    5th Circ. Nixes Catholic Abuse Claimants' Ch. 11 Appeal

    Sex abuse claimants removed from a Catholic archdiocese's bankruptcy unsecured creditors committee don't have grounds for an appeal because they couldn't show the removal was a sanction on them that cost the claimants anything, the Fifth Circuit said.

  • May 14, 2024

    BlockFi Ch. 11 Judge Keeps Insurance Fight In State Court

    The judge overseeing the bankruptcy of cryptocurrency venture BlockFi Inc. ruled a fight over a $22.5 million premium for a directors and officers insurance policy should stay in New Jersey state court, saying the suit largely did not violate BlockFi's Chapter 11 plan.

  • May 14, 2024

    5 Retail Industry Questions For A Restructuring Expert

    Major headwinds have been hitting the retail industry for some time and have already blown major brand names like Express Inc., Joann Inc. and Sam Ash Music Corp. into Chapter 11.

  • May 14, 2024

    Stretto Says Data Leak Spread Beyond Celsius Case

    A New York bankruptcy judge expressed alarm Tuesday after Stretto disclosed that a data breach in the Chapter 11 of Celsius Network last month had affected creditors in additional cases, warning the claims agent he would bar it from working on cases he oversees if it fails to properly deal with the cyberattacks.

Expert Analysis

  • 11th Circ. Ruling May Foreshadow Ch. 15 Clashes

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    The Eleventh Circuit's recent decision in In re: Talal Qais Abdulmunem Al Zawawi has introduced a split from the Second Circuit regarding whether debtors in foreign proceedings must have a domicile, calling attention to the understudied nature of Chapter 15 of the Bankruptcy Code, say attorneys at Cleary.

  • Bankruptcy Courts Have Contempt Power, Del. Case Reminds

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    A Delaware bankruptcy court recently held Camshaft Capital and its principal in contempt, serving as a reminder to bankruptcy practitioners and anyone else that appears before a bankruptcy judge that there are serious consequences for failing to comply with court orders, say Daniel Lowenthal and Kimberly Black at Patterson Belknap.

  • What Lies Behind Diverging US And UK Insolvency Trends

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    Contrasting U.K. and U.S. insolvency trends highlight the importance of policy interventions in shaping consumer financial outcomes and economic recovery, and while the U.K.'s approach seems to have mitigated issues, the U.S. faces challenges exacerbated by economic conditions and policy transitions, says Thomas Curran at Thomas H. Curran Associates.

  • E-Discovery Quarterly: Recent Rulings On Text Message Data

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    Electronically stored information on cellphones, and in particular text messages, can present unique litigation challenges, and recent court decisions demonstrate that counsel must carefully balance what data should be preserved, collected, reviewed and produced, say attorneys at Sidley.

  • How Banks Can Preserve Value Amid Corporate Default Surge

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    Amid a busy time for corporate bankruptcies, banks need a nuanced understanding of contractual rights, regulatory frameworks and evolving legal developments to protect and preserve their rights and interests, say attorneys at Phelps Dunbar.

  • Key Priorities In FDIC Report On Resolving Big Bank Failures

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    The Federal Deposit Insurance Corp.'s report last month on the resolvability of large financial institutions contains little new information, but it does reiterate key policy priorities, including the agency's desire to enhance loss-absorbing capacity through long-term debt requirements and preference for single-point-of-entry resolution strategies, say attorneys at Freshfields.

  • The Art Of Asking: Leveraging Your Contacts For Referrals

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    Though attorneys may hesitate to ask for referral recommendations to generate new business, research shows that people want to help others they know, like and trust, so consider who in your network you should approach and how to make the ask, says Rebecca Hnatowski at Edwards Advisory.

  • Ch. 11 Case Shows Why Plan Acceptance Procedures Are Key

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    Sunland Medical's recent liquidation plan proposal is an important example of how top-notch judges and attorneys propose and analyze complex issues during the confirmation process, and the bankruptcy court was forward-thinking to consider the implications of such proposed treatment in the face of the Bankruptcy Code, says Kyle Arendsen at Squire Patton.

  • Risks Of Rejecting Hotel Mgmt. Agreements Via Bankruptcy

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    In recent years, hotel owners have paid a high price when they attempted to use bankruptcy proceedings to prematurely terminate their hotel management agreements, highlighting that other options may be preferable, say attorneys at Jenner & Block.

  • NC Rulings Show Bankruptcy Isn't Only For Insolvent Debtors

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    Two recent rulings from a North Carolina bankruptcy court show that lack of financial distress is not a requirement for bankruptcy protection, particularly in the Fourth Circuit, but these types of cases can still be dismissed for other reasons, say Stuart Gordon and Alexandria Vath at Rivkin Radler.

  • What Bankruptcy Deadline Appeal May Mean For Claimants

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    If the Third Circuit reverses a recent appeal made in In re: Promise Healthcare, litigation claimants within the circuit will not be able to rely on the proof of claim process to preserve the claim — but if the court affirms, the U.S. Supreme Court may need to step in to resolve the circuit split on this issue, say attorneys at DLA Piper.

  • Spartan Arbitration Tactics Against Well-Funded Opponents

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    Like the ancient Spartans who held off a numerically superior Persian army at the Battle of Thermopylae, trial attorneys and clients faced with arbitration against an opponent with a bigger war chest can take a strategic approach to create a pass to victory, say Kostas Katsiris and Benjamin Argyle at Venable.

  • Wesco Ch. 11 Ruling Marks Shift In Uptier Claim Treatment

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    A Texas bankruptcy court’s recent decision in In re: Wesco Aircraft Holdings leaves nonparticipating creditors with a road map to litigate to judgment non-pro rata liability management transactions, and foreshadows that bankruptcy courts may no longer be a friendly forum for these types of claims, say attorneys at Ropes & Gray.