Mid Cap

  • February 28, 2025

    Ex-UBS Financial Adviser Must Pay $2M Back, 11th Circ. Told

    UBS urged the Eleventh Circuit on Friday to undo rulings in a bankruptcy adversary case precluding a former financial adviser from paying back the proceeds of a $2 million loan deposited in a joint account with his wife, saying the funds shouldn't be immune to creditors.

  • February 28, 2025

    Lawyer Felled By Litigation Funders Says He'll Practice Again

    In a meeting with creditors on Friday, Texas mass tort attorney Truett Akin IV said he intends to practice law again after both he and his law firm filed for bankruptcy amid arbitration brought by a litigation funding firm, to which they potentially owe hundreds of millions of dollars.

  • February 28, 2025

    Under The Radar: Bankruptcy News You May Have Missed

    The licensing arm of Universal Studios objected to a Party City asset sale, bondholders urged a judge to lift a stay on outside litigation in the Puerto Rico Electric Power Authority's restructuring case, and a satellite service provider asked a court to dismiss an adversary suit brought by debtor Ligado Networks. These are some of the bankruptcy stories you may have missed in the last week.

  • February 28, 2025

    Carbon Project Investor C-Quest Hits Ch. 7

    Carbon project developer C-Quest Capital has filed for Chapter 7 liquidation in a Delaware bankruptcy court as its ex-CEO faces charges he fraudulently obtained millions of dollars worth of carbon credits.

  • February 28, 2025

    Nikola Ch. 11 Creditors Committee Heavy On Trade Vendors

    The U.S. Trustee's Office appointed seven parties, including several trade vendors, to the official committee of unsecured creditors in the Chapter 11 case of electric and hydrogen-powered truck maker Nikola Corp., which is hoping to hold a bankruptcy auction by the end of March.

  • February 28, 2025

    Judge Approves Revised Blink Fitness Ch. 11 Plan

    A Delaware bankruptcy judge approved Blink Fitness' Chapter 11 wind-down plan on Friday after it removed legal protections for its plan administrator.

  • February 28, 2025

    California Hotel Operator Checks Into Ch. 11

    Hotel owner and operator MOM CA Investco LLC and two affiliates filed for Chapter 11 protection Friday in Delaware, citing $100 million to $500 million each in assets and liabilities.

  • February 27, 2025

    4th Circ. Says Trustees Can't Settle Co.'s Suit Against Ex-CEO

    Separate bankruptcy trustees for a company and its former CEO have no right to settle the company's fraud claims against the CEO with insurance proceeds from a directors and officers policy, the Fourth Circuit ruled, agreeing with the insurer that only the former CEO himself has consent-to-settle rights. 

  • February 27, 2025

    Judge Axes NYC Loan Row, Sanctions Firm For Depositions

    A New York federal judge has dismissed a commercial real estate lender's claims against two guarantors for a 2022 loan it made, ripping the lender and its ex-counsel, Fox Rothschild LLP, for deposition no-shows.

  • February 27, 2025

    AI Crypto Company Joins Call For New Infowars Auction

    An artificial-intelligence cryptocurrency business has joined the backup bidder for Alex Jones' Infowars platform in asking a Texas bankruptcy judge to restart an asset auction, saying it would like its bid to be considered.

  • February 27, 2025

    Judge Urges $15.5M Tax Judgment Against Ex-NFL Champ

    A federal magistrate judge recommended a default judgment against four-time Super Bowl champion Bill Romanowski and his wife for $15.5 million in taxes, saying in a report Thursday that the couple failed to respond to the underlying government complaint against them.

  • February 27, 2025

    Aerospace Supplier Gets OK To Tap 'Rich' $4M Ch. 11 Loan

    Aerospace parts supplier Dynamic Aerostructures received a Delaware bankruptcy judge's approval Thursday to borrow a slice of $12.5 million in Chapter 11 financing that the judge said was clearly needed, albeit "expensive."

  • February 27, 2025

    Selendy Gay Names New Managing Partner, COO

    Litigation boutique Selendy Gay PLLC announced Thursday that it has appointed bankruptcy and insolvency lawyer Kelley Cornish as managing partner and landed the top legal head of Cinch Home Services as its new chief operating officer.

  • February 27, 2025

    How TreeSap Farms Got Stuck In Ch. 11

    Landscaping plants grower TreeSap Farms LLC was pushed toward filing a Chapter 11 petition by Southern California drought conditions that were followed by an unusually heavy wet season, a climbing debt burden and prepetition lenders that insisted emergency funding be tied to a bankruptcy.

  • February 27, 2025

    Housing Project To Drop Receiver After US Trustee Concern

    New York City affordable housing complex Valdesia Gardens is transferring control of the property from a receiver back to the debtor after the U.S. Trustee's Office objected to the receiver's involvement and sought instead to appoint a Chapter 11 trustee.

  • February 26, 2025

    For Large Firms, A Day In Ch. 11 Can Be Costlier Than Ever

    Large companies are paying more to restructure debt both during bankruptcy and in the months leading up to a Chapter 11 filing, with the typical cost of a day in court ballooning in recent years, according to a new paper by Harvard Law School Professor Jared A. Ellias.

  • February 26, 2025

    Fuel Co. Trustee Accuses Ex-Owners Of $100M Buyout Fraud

    The founders and former majority owners of the bankrupt fuel distributor Mountain Express Oil Co. were hit with a lawsuit by the company's trustee Monday alleging that they took nearly $100 million out of the business through a bogus stock buyout that pushed it to the brink of insolvency.

  • February 26, 2025

    Investor Says Lowenstein Sandler Violated Dispensary Deal

    An investment group involved in a complex dispute between Lowenstein Sandler LLP and a cannabis dispensary has asked a New Jersey state judge to enforce a settlement order and sale order, alleging the firm has violated previous legal rulings while pursuing its claim for purportedly unpaid legal fees.

  • February 26, 2025

    Celsius Can Continue Arbitration Against Crypto Miner

    The litigation administrator for former cryptocurrency platform Celsius Network LLC can continue its arbitration with cryptocurrency mining operation Mawson Infrastructure that was pushed into Chapter 11 in December, a Delaware bankruptcy judge said Wednesday.

  • February 26, 2025

    Meet The Attys Helping TreeSap In Ch. 11's Sticky Situation

    Landscaping plants grower TreeSap Farms LLC has assembled attorneys from the firms McKool Smith and Hunton Andrews Kurth LLP to help it through a Chapter 11 aimed at fortifying its business and enabling a sale of its assets.

  • February 26, 2025

    Boeing, Lockheed Supplier Hits Ch. 11 With Over $50M In Debt

    Dynamic Aerostructures LLC, a Los Angeles aerospace parts supplier for Lockheed Martin and Boeing, filed for bankruptcy Wednesday, citing more than $50 million in debt, after the company suffered from "manufacturing practice inconsistencies" that resulted in quality control issues.

  • February 25, 2025

    Drinks Co. Ex-CEO Files $732M Sanctions Motion Against Firm

    The former CEO of an energy drinks company on Tuesday urged a Florida state court to impose $732 million in sanctions against a law firm in a legal fees dispute, saying its attorneys' litigation misconduct caused serious financial harm while representing him in a separate federal bankruptcy case.

  • February 25, 2025

    Alex Jones Asks To Maintain Stay On Sandy Hook Payment

    Infowars founder Alex Jones told the Connecticut Appellate Court that he shouldn't be forced to pay the judgment that Sandy Hook families won in their long-running defamation case as he awaits a review by the state's Supreme Court, saying the plaintiffs are wrong that he discarded underlying constitutional arguments.

  • February 25, 2025

    Biora Therapeutics Gets OK To Take $30M Ch. 11 Asset Bid

    A Delaware bankruptcy judge on Tuesday gave biotech company Biora Therapeutics Inc. the go-ahead to accept a $30 million credit bid for its assets after secured and unsecured creditors agreed to revise a related settlement that raised objections from the U.S. trustee's office.

  • February 25, 2025

    NY AG Probe Latest Headache For Crumbling Property Empire

    Following New York's passage of a tenant-friendly rent law in 2019, a spate of distressed Emerald Equity Group LLC properties are facing foreclosure or bankruptcy. Now, scrutiny by the state Attorney General's Office has added a new layer to the landlord's ongoing struggles.

Expert Analysis

  • 9 Liability Management Tips As Debt Maturity Cliff Looms

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    As the debt maturity cliff swiftly approaches in this challenging environment, attorneys at Winston & Strawn highlight the top considerations for boards of directors and finance professionals to think about when structuring and executing liability management transactions, including reviewing capital structure, evaluating debt covenants, and more.

  • Firms Must Offer A Trifecta Of Services In Post-Chevron World

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    After the U.S. Supreme Court’s Loper Bright Enterprises v. Raimondo decision overturning Chevron deference, law firms will need to integrate litigation, lobbying and communications functions to keep up with the ramifications of the ruling and provide adequate counsel quickly, says Neil Hare at Dentons.

  • How Cos. Can Leverage IP In Corporate Bankruptcy

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    In light of an increase in year-to-date Chapter 11 filings, businesses must understand the importance and value of intellectual property in corporate bankruptcy and restructuring, from contributing to enterprise value, to providing leverage in negotiations and facilitating recovery, says Gregory Campanella at Ocean Tomo.

  • Avoiding Retail Bankruptcy As Economic Uncertainty Persists

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    Amid record retail bankruptcies and continued economic uncertainty in 2024, retailers can take specific steps like building stronger cash-flow models, managing inventory wisely and reassessing cost structures to avoid financial distress, say consultants at BRG.

  • Banking Compliance Takeaways From Joint Agency Statement

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    Federal bank regulatory agencies’ recent joint statement warning of risks associated with third-party fintech deposit services spotlights a fundamental problem that may arise with bank deposit products that are made through increasingly complex customer relationships, says Tom Witherspoon at Stinson.

  • Litigation Funding Disclosure Key To Open, Impartial Process

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    Blanket investor and funding agreement disclosures should be required in all civil cases where the investor has a financial interest in the outcome in order to address issues ranging from potential conflicts of interest to national security concerns, says Bob Goodlatte, former U.S. House Representative for Virginia.

  • Law Firms Should Move From Reactive To Proactive Marketing

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    Most law firm marketing and business development teams operate in silos, leading to an ad hoc, reactive approach, but shifting to a culture of proactive planning — beginning with comprehensive campaigns — can help firms effectively execute their broader business strategy, says Paul Manuele at PR Manuele Consulting.

  • Bankruptcy Courts May Be Budding Open To Cannabis Cases

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    Two recent California bankruptcy court rulings, denying motions to dismiss the respective debtors' bankruptcies, provide persuasive authority to allow cannabis debtors the protections of federal bankruptcy law, say Noah Weingarten and Bethany Simmons at Loeb & Loeb.

  • Vendor Rights Lessons From 2 Chapter 11 Cases

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    A Texas federal court’s recent critical vendor order in the Zachry Holdings Chapter 11 filing, as well as a settlement between Rite Aid and McKesson in New Jersey federal court last year, shows why suppliers must object to critical vendor motions that do not recognize creditors' legal rights, says David Conaway at Shumaker.

  • Mirror, Mirror On The Wall, Is My Counterclaim Bound To Fall?

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    A Pennsylvania federal court’s recent dismissal of the defendants’ counterclaims in Morgan v. Noss should remind attorneys to avoid the temptation to repackage a claim’s facts and law into a mirror-image counterclaim, as this approach will often result in a waste of time and resources, says Matthew Selmasska at Kaufman Dolowich.

  • Mercon Coffee Ch. 11 Ruling Shows Insider Releases' Limits

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    A New York bankruptcy court’s recent ruling in Mercon Coffee’s Chapter 11 case highlights the stringent requirements for retention-related transfers to insiders, even in cases where no creditor has objected, say Robert Klyman and Scott Shelley at DLA Piper.

  • Bankruptcy Trustees Need More FinCEN Guidance

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    Recent FinCEN consent orders in two North Carolina bankruptcy cases show that additional guidance is necessary for most types of fiduciaries overseeing bankruptcy estates or other insolvency vehicles, say Brian Shaw and David Doyle at Cozen O’Connor.

  • E-Discovery Quarterly: Rulings On Hyperlinked Documents

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    Recent rulings show that counsel should engage in early discussions with clients regarding the potential of hyperlinked documents in electronically stored information, which will allow for more deliberate negotiation of any agreements regarding the scope of discovery, say attorneys at Sidley.

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