Bankruptcy

  • March 04, 2025

    Judge Says She'll Ask What 'Nobody Else Will' In Romance Suit

    A federal judge expressed incredulity Tuesday that Jackson Walker didn't press its former partner harder to get the exact dates of her relationship with a former bankruptcy judge when allegations of their relationship came to light in 2021.

  • March 04, 2025

    Rochester Diocese Ch. 11 Plan Heading For Creditor Vote

    A New York bankruptcy judge on Tuesday approved a second vote on a Chapter 11 plan for the Roman Catholic Diocese of Rochester, a decision that could see a resolution of the more than 5-year-old case by the end of July.

  • March 04, 2025

    Petersen Health Care Opposes Vendor's Ch. 11 Fee Demand

    Bankrupt skilled nursing facility operator Petersen Health Care told a Delaware bankruptcy judge Tuesday that a vendor seeking payment of its legal costs in pursuing a $163,000 administrative expense claim against the debtor should have the request slashed because the fees exceed the amount of the claim.

  • March 04, 2025

    3 Kasowitz Financial Litigators Leave BigLaw For NY Boutique

    Litigation boutique Pallas Partners LLP has brought on three New York-based litigators from Kasowitz Benson Torres LLP to strengthen its commercial and financial litigation capabilities on both sides of the Atlantic, the firm said Tuesday.

  • March 04, 2025

    Exela Units File For Ch. 11 With $1.3B Debt

    A Texas bankruptcy judge granted about 60 units of business process automation company Exela Technologies Inc. interim approval to access a $185 million lending facility to finance their Chapter 11 bankruptcy cases, in which the debtors hope to refinance their more than $1.3 billion of debt.

  • March 03, 2025

    Yellow Corp. Settles Pair Of WARN Suits In Del. For $12.3M

    Shuttered Yellow Corp.'s trucking company bankruptcy estate has agreed to settlements totaling $12.3 million with two former employee groups, which were reached before a Delaware judge's posttrial denial of Worker Adjustment and Retraining Act claims covering thousands of ex-company employees, according to recent court filings.

  • March 03, 2025

    US Trustee Opposes Confirmation Of CarePoint's Ch. 11 Plan

    The U.S. Trustee's Office on Monday joined a flurry of objections against the Chapter 11 plan of CarePoint Health Systems inc., saying the hospital owner has made it hard for the trustee to gauge the plan's potential.

  • March 03, 2025

    NC Hotel Developer Hits Ch. 11 After Defaulting On $17M Loan

    A North Carolina hotel developer embroiled in a $17 million lawsuit over a defaulted loan to build a Hyatt hotel near the Asheville airport filed for bankruptcy on Sunday, reporting assets and liabilities between $10 million and $50 million.

  • March 03, 2025

    Calif. BMO Worker Can Bank On Litigating 401(k) Suit In Ill.

    A proposed class action challenging BMO Financial Corp.'s alleged misuse of forfeited retirement contributions should be litigated in Illinois, where most of the bank's evidence and witnesses are located, a California federal judge said on Friday. 

  • March 03, 2025

    Life Science Consulting Firm Hits Ch. 11 With Sale Plans

    Azzur Group, which offers services for pharmaceutical developers, filed for bankruptcy in Delaware with at least $100 million in debt and plans to hold an auction backed by a $56 million stalking horse offer.

  • March 03, 2025

    High Court Declines Souvenir Store's TM Fraud Case

    The U.S. Supreme Court said Monday it will not consider a Florida souvenir store chain's challenge to a Second Circuit decision shutting down its case that a bankrupt beachwear company fraudulently procured a trademark registration to secure a $3.5 million settlement. 

  • February 28, 2025

    J&J Talc Spinoff Wraps Two-Week Chapter 11 Trial

    A marathon Chapter 11 trial for Johnson & Johnson's talc liability unit wrapped up Friday, with attorneys defending the $10 billion plan against competing efforts to toss the Texas bankruptcy.

  • February 28, 2025

    Judge Refuses To Dismiss $500M Miss America Suit

    A Florida judge has denied the bulk of real estate developer Glenn Struab and two associates' attempt to escape a fraud and racketeering lawsuit that accuses them of conspiring to assert control and ownership of the company that runs the Miss America pageant and seeks $500 million in damages.

  • February 28, 2025

    Real Estate Recap: Gov't Lease Limbo, AI Upset, Profiteering

    Catch up on this past week's key developments by state from Law360 Real Estate Authority — including attorney insights into federal lease upheaval, the impact of AI efficiency on data centers and price-gouging in the aftermath of the Los Angeles wildfires.

  • February 28, 2025

    FDIC Can't Nix SVB Trust's Claims Feds Must Turn Over $1.93B

    A California federal judge has tossed a pair of claims from SVB Financial Trust's lawsuit alleging that the FDIC wrongfully took control of $1.93 billion in deposits amid Silicon Valley Bank's collapse, dismissing due process claims for good but allowing the trust to pursue promissory estoppel allegations and so-called turnover claims.

  • 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

    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 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

    US Trustee, Creditors Blast GOL Linhas' Plan Disclosure

    GOL Linhas noteholders and the U.S. Trustee's Office are asking a New York bankruptcy judge to reject the Brazilian airline's Chapter 11 plan disclosures, saying they lack information on items ranging from claims releases to the company's post-bankruptcy equity value.

  • 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

    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

    Yellow Corp. Beats Teamsters In WARN Act Row

    A Delaware bankruptcy judge has ruled that trucking company Yellow Corp. is not liable for its failure to provide 60 days notice of layoffs to 22,000 union workers who lost their jobs as the company descended into Chapter 11, finding that Yellow was a "liquidating fiduciary" at the time and intended to comply with the WARN Act.

  • February 27, 2025

    Jones Day Gets OK For $52M In NY Diocese Ch. 11 Fees

    A New York bankruptcy judge Thursday gave final approval to Jones Day's request for nearly $52 million in compensation for shepherding Long Island's Roman Catholic diocese through its Chapter 11 case, overruling arguments it spent too much time objecting to claims.

  • 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

    Joann To Wind Down Operations After Judge Approves Plan

    A Delaware bankruptcy judge on Wednesday approved renowned fabric and crafts retailer Joann Inc. to wind down its operations after a "global consensus" was reached among the debtor, lender and creditors committee, allowing the 80-year-old chain to hold going-out-of-business sales.

Expert Analysis

  • 'Minimal Participant' Bar Is Tough To Clear For Whistleblowers

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    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.

  • What 2024 Trends In Marketing, Comms Hiring Mean For 2025

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    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.

  • Opinion

    How The Onion Could Still Buy InfoWars

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    While a Texas bankruptcy judge nixed the sale of InfoWars to The Onion on Tuesday, a slight tweak to the novel mechanism proposed could make the sale approvable, says Christopher Hampson at the University of Florida.

  • Series

    Group Running Makes Me A Better Lawyer

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    The combination of physical fitness and community connection derived from running with a group of business leaders has, among other things, helped me to stay grounded, improve my communication skills, and develop a deeper empathy for clients and colleagues, says Jessica Shpall Rosen at Greenwald Doherty.

  • Opinion

    6 Changes I Would Make If I Ran A Law School

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    Reuben Guttman at Guttman Buschner identifies several key issues plaguing law schools and discusses potential solutions, such as opting out of the rankings game and mandating courses in basic writing skills.

  • Firms Still Have The Edge In Lateral Hiring, But Buyer Beware

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    Partner mobility data suggests that the third quarter of this year continued to be a buyer’s market, with the average candidate demanding less compensation for a larger book of business — but moving into the fourth quarter, firms should slow down their hiring process to minimize risks, say officers at Decipher Investigative Intelligence.

  • Think Like A Lawyer: 1 Type Of Case Complexity Stands Out

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    In contrast to some cases that appear complex due to voluminous evidence or esoteric subject matter, a different kind of complexity involves tangled legal and factual questions, each with a range of possible outcomes, which require a “sliding scale” approach instead of syllogistic reasoning, says Luke Andrews at Poole Huffman.

  • A Closer Look At SDNY Bankruptcy Rule Amendments

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    The U.S. Bankruptcy Court for the Southern District of New York’s recent amendments to its local rules aim to streamline key Chapter 11 processes, resolve misunderstandings about previous iterations of the rules and urge caution about the use of artificial intelligence, say attorneys at Skadden.

  • FTX Exec's Sentencing Shows Pros And Cons Of Cooperation

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    The sentencing of former FTX tech deputy Gary Wang, whose cooperation netted him a rare outcome of no prison time, offers critical takeaways for attorneys and clients navigating the burgeoning world of crypto-related prosecutions, says Andrew Meck at Whiteford.

  • Think Like A Lawyer: Note 3 Simple Types Of Legal Complexity

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    Cases can appear complex for several reasons — due to the number of issues, the volume of factual and evidentiary sources, and the sophistication of those sources — but the same basic technique can help lawyers tame their arguments into a simple and persuasive message, says Luke Andrews at Poole Huffman.

  • Series

    Gardening Makes Me A Better Lawyer

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    Beyond its practical and therapeutic benefits, gardening has bolstered important attributes that also apply to my litigation practice, including persistence, patience, grit and authenticity, says Christopher Viceconte at Gibbons.

  • Equitable Mootness Insights From Greenlit Ch. 11 Plan Appeal

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    A Texas federal court recently allowed a challenge to ConvergeOne's Chapter 11 bankruptcy plan to proceed because it wouldn't disrupt the IT company's confirmed plan or harm creditors, reinforcing the importance of judicial restraint in applying equitable mootness where limited relief is possible, say attorneys at Parkins & Rubio.

  • Litigation Inspiration: Reframing Document Review

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    For attorneys — new ones especially — there is much fulfillment to find in document review by reflecting on how important, interesting and pleasant it can be, says Bennett Rawicki at Hilgers Graben.

  • How Boards And Officers Should Prep For New Trump Admin

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    In anticipation of President-elect Donald Trump's proposed tariffs and mass deportation campaign, company officers and board members should pursue proactive, comprehensive contingency planning to not only advance the best interests of the companies they serve, but to also properly exercise their fiduciary duty of care, say attorneys at Winston & Strawn.

  • The Challenges Of Abandoned Retirement Plans In Ch. 7

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    The Department of Labor's rule for unwinding retirement accounts when plan sponsors file for Chapter 7 bankruptcy was intended to alleviate trustees' administration issues, but practical challenges, like unresolved fee and identification matters, could hinder its implementation, say David Goodrich at Golden Goodrich and Nancy Simons at Stretto.

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