Large Cap
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April 14, 2025
UK Co. Says Ex-Sikorsky Atty Gave 'Inconsistent' Testimony
A British company locked in a $64 million contract feud with Lockheed Martin subsidiary Sikorsky Aircraft accused its former in-house counsel of giving testimony "blatantly inconsistent" with other evidence at a Connecticut trial, requesting the alleged transgressions be discussed after a Texas bankruptcy judge slammed the lawyer for providing "false statements" in a separate matter.
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April 14, 2025
Nashville Objects To Wellpath's Ch. 11 Plan Over Releases
The government of Nashville, Tennessee, has asked a Texas bankruptcy judge to reject confirmation of prison healthcare company Wellpath's Chapter 11 plan, arguing it improperly includes releases and exculpations for parties who are not part of the bankruptcy case.
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April 11, 2025
Outdated Brand Could Hinder Hooters' Ch. 11 Recovery
Hooters has built its brand on buxom women wearing orange micro shorts while serving hot wings and frosty mugs of beer, but experts said the racy concept that made it a household name is outdated and could stymie the company's recovery as it seeks to emerge from Chapter 11.
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April 11, 2025
Under The Radar: Bankruptcy News You May Have Missed
The Texas Attorney General asked for a consumer privacy ombudsman in 23andMe's Ch. 11 case; The Chapter 11 trustee handling Chinese exile Miles Guo's estate balked at an appeal against a decision advancing dozens of clawback proceedings; and a Delaware bankruptcy judge dismissed the Chapter 7 case of electronics recycler Camston Wrather at the request of the estate trustee.
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April 11, 2025
Forever 21 Can't Tap Cash Collateral In Ch. 11, Creditors Say
The unsecured creditors committee in fast-fashion chain Forever 21's Chapter 11 has challenged the debtor's motion to use cash collateral, telling the Delaware bankruptcy court that the funding bid is part of a plan that would prejudice the group and leave the creditors with insufficient recoveries.
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April 11, 2025
US Trustee Calls Mitel Networks Ch. 11 Plan Unconfirmable
Software group Mitel Networks' prepackaged Chapter 11 plan trimming $1.1 billion of debt has nonconsensual third party releases and can't be confirmed, the Office of the U.S. Trustee told a Texas bankruptcy judge.
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April 11, 2025
Alex Jones' Sandy Hook Atty Lands 7-Day Suspension Credit
Alex Jones' former lead Connecticut attorney will be suspended for only one additional week because of a prior sit-out in 2023, a state court judge has clarified, saying she hadn't considered that Norm Pattis was previously benched while he appealed his discipline for his role in transferring Sandy Hook families' confidential records to another Jones attorney.
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April 11, 2025
Ex-Girardi CFO Gets 10 Years For 'Devastating' Fraud
A California federal judge sentenced Girardi Keese's former chief financial officer to just over 10 years in prison Friday for aiding firm leader Tom Girardi's $15 million client theft scheme while also embezzling $6 million for himself, saying the two interrelated schemes "had devastating and far-reaching effects."
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April 10, 2025
Judge Isgur To Mediate Sorrento Ch. 11 Dispute
One of the most prominent bankruptcy judges in the United States is mediating a dispute between the liquidating trustee for biopharmaceutical company Sorrento Therapeutics Inc. and a unit of B. Riley Financial as the parties try to reach a settlement to avoid litigation.
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April 10, 2025
Prospect Medical Hospitals Get One More Reprieve In Ch. 11
Hospital operator Prospect Medical has scored $6 million in financing to temporarily stave off the closure of three Pennsylvania hospitals, the debtor's counsel told a Texas bankruptcy judge Thursday.
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April 10, 2025
Amyris Ch. 11 Trust Sues Ex-CEO Over $200M Skin Care Deal
A creditor trust created under Amyris' Chapter 11 plan has sued the biotechnology company's former CEO in Delaware bankruptcy court, accusing him of abandoning his fiduciary duties by entering into a product licensing deal that locked in low prices for its cosmetics ingredients and contributed to the firm's insolvency.
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April 10, 2025
Byju's Alpha Sues Co-Founder Over $533M In Missing Funds
The bankrupt U.S. subsidiary of Indian tech giant Byju's has filed a suit alleging the company's founder had a direct hand in the disappearance of $533 million in company assets prior to its Chapter 11 filing.
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April 10, 2025
Judge Romance Fee Disputes Moved From Bankruptcy Court
A Texas federal district court agreed to preside over a suit brought by the U.S. Trustee's Office to make Jackson Walker LLP forfeit fees from more than 30 cases overseen by a former bankruptcy judge who was romantically involved with a one time-partner from the firm.
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April 10, 2025
Carlton Fields Beats DQ Bid In Fla. $500M Miss America Suit
A Florida federal judge denied a bid to disqualify Carlton Fields in a $500 million lawsuit over the ownership of the company that runs the Miss America pageant, saying such a remedy is extraordinary, and that the allegations are "scattered and speculative."
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April 10, 2025
No Plan To Trim Do Kwon Case After Crypto Memo, Feds Say
A U.S. Department of Justice memo outlining the Trump administration's cryptocurrency policy and enforcement priorities has not prompted prosecutors to alter their $40 billion criminal fraud case against Terraform founder Do Kwon, a government lawyer told a Manhattan federal judge Thursday.
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April 10, 2025
Gunster Adds Byrd Campbell Litigation Atty In Orlando
Florida business law firm Gunster has added a new shareholder with expertise in complex commercial litigation, bankruptcy law and creditors' rights matters to its Orlando office from Byrd Campbell PA.
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April 10, 2025
Purdue Cleared To Start Ch. 11 Claims Processing Early
A New York bankruptcy judge on Thursday approved Purdue Pharma's request to appoint claims administrators and begin processing the tens of thousands of claims against the drugmaker, reasoning that doing so ahead of plan confirmation would enable the debtor to make faster distributions to creditors.
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April 09, 2025
Wellpath Can Sell Struggling Hospitals For $1 In Ch. 11
A Texas bankruptcy judge on Wednesday approved prison healthcare business Wellpath's request to sell two behavioral care-focused hospitals for $1, finding that the debtor had made the case that the facilities were money losers that the debtor needed to get off its books.
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April 09, 2025
Celsius' Suit Against Blockchain Analysts Heads To Fed. Court
A New York federal district court has granted a request from blockchain analysis company Chainalysis to preside over an adversary lawsuit brought against it by the litigation administrator for defunct cryptocurrency platform Celsius Network LLC, after the parties indicated they agreed to transfer the case out of bankruptcy court.
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April 09, 2025
Ch. 11 Filings Surge In March, While Small Biz Filings Flat
A new report shows that Subchapter V filings have leveled off after the debt limit for the streamlined restructuring method was reduced in June, as experts warned that the lower threshold could push businesses to either more expensive Chapter 11 filings or out of business.
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April 09, 2025
Puerto Rico Utility Shorted Bondholders By $2.9B, Docs Say
Bondholders of the Puerto Rico Electric Power Authority requested permission from a Puerto Rico bankruptcy judge to file a financial report revealing that the bankrupt utility failed to transfer $2.9 billion over six years into a trust account designated for debt repayment.
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April 09, 2025
White & Case's $430K Fee Claim Denied In Terraform Ch. 11
A Delaware bankruptcy judge denied a $430,000 fee claim filed by law firm White & Case LLP in the Chapter 11 case of Terraform Labs Wednesday, saying payment of the claim was not allowed under the Bankruptcy Code because the firm was never officially retained for its work on behalf of the creditors committee.
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April 09, 2025
Conn. Justices Won't Review $1.4B Verdict Against Alex Jones
The Connecticut Supreme Court has denied a bid by bankrupt Infowars host Alex Jones to appeal a judgment awarding more than $1 billion to the families of Sandy Hook Elementary School shooting victims who sued him for defamation.
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April 08, 2025
Jazz Agrees To Pay $145M To Settle Xyrem Antitrust Fight
Jazz Pharmaceuticals has agreed to pay $145 million to resolve antitrust litigation accusing it of working with its rival Hikma Pharmaceuticals to stave off generic competitors to Jazz's narcolepsy drug Xyrem, the Ireland-based pharmaceutical company revealed Tuesday.
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April 08, 2025
Catching Up With New Bankruptcy Case Action
Oregon whiskey producer House Spirits Distillery filed a Chapter 11 petition in Delaware, citing a post-COVID slump in alcohol demand and excess inventory. Customer loyalty platform Kognitiv also launched a Chapter 11 case in Delaware, reporting more than $10 million in liabilities and planning to sell its assets to a competitor. Meanwhile, fintech company Solid Financial Technologies sought bankruptcy protection following years of fraud allegations.
Expert Analysis
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8 Lessons Yellow Corp. Layoffs Can Teach Distressed Cos.
A Delaware bankruptcy court’s recent decision, examining trucking company Yellow Corp.’s abrupt termination of roughly 25,500 employees, offers financially distressed businesses a road map for navigating layoffs under the Worker Adjustment and Retraining Notification Act, say attorneys at King & Spalding.
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Mentorship Resolutions For The New Year
Attorneys tend to focus on personal achievements or career milestones when they set yearly goals, but one important area often gets overlooked in this process — mentoring relationships, which are some of the most effective tools for professional growth, say Kelly Galligan at Rutan & Tucker and Andra Greene at Phillips ADR.
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Coaching Little League Makes Me A Better Lawyer
While coaching poorly played Little League Baseball early in the morning doesn't sound like a good time, I love it — and the experience has taught me valuable lessons about imperfection, compassion and acceptance that have helped me grow as a person and as a lawyer, says Alex Barnett at DiCello Levitt.
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5 Litigation Funding Trends To Note In 2025
Lawyers and their clients must be prepared to navigate an evolving litigation funding market in 2025, made more complicated by a new administration and the increasing overall cost of litigation, says Jeffery Lula at GLS Capital.
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Rethinking Litigation Risk And What It Really Means To Win
Attorneys have a tendency to overestimate litigation risk before summary judgment and underestimate risk after it, but an eight-stage litigation framework can clarify risk at different points and help litigators reassess what true success looks like in any particular case, says Joshua Libling at Arcadia Finance.
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Lessons From Two New Year's Eve Uptier Exchange Decisions
On the last day of 2024, two different courts issued important decisions relating to non-pro rata uptier exchanges — and while they differ, both rulings highlight that transactions effected in reliance on undefined terms in debt agreements come with increased risk, say attorneys at Simpson Thacher.
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Playing Rugby Makes Me A Better Lawyer
My experience playing rugby, including a near-fatal accident, has influenced my legal practice on a professional, organizational and personal level by showing me the importance of maintaining empathy, fostering team empowerment and embracing the art of preparation, says James Gillenwater at Greenberg Traurig.
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No, Litigation Funders Are Not 'Fleeing' The District Of Del.
A recent study claimed that litigation funders have “fled” Delaware federal court due to a standing order requiring disclosure of third-party financing, but responsible funders have no problem litigating in this jurisdiction, and many other factors could explain the decline in filings, say Will Freeman and Sarah Tsou at Omni Bridgeway.
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5 E-Discovery Predictions For 2025 And Beyond
In the year to come, e-discovery will be shaped by new and emerging trends, from the adoption of artificial intelligence provisions in protective orders, to the proliferation of emojis as a source of evidence in contemporary litigation, say attorneys at Littler.
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7 Ways 2nd Trump Administration May Affect Partner Hiring
President-elect Donald Trump's return to the White House will likely have a number of downstream effects on partner hiring in the legal industry, from accelerated hiring timelines to increased vetting of prospective employees, say recruiters at Macrae.
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E-Discovery Quarterly: Rulings On Custodian Selection
Several recent rulings make clear that the proportionality of additional proposed custodians will depend on whether the custodians have unique relevant documents, and producing parties should consider whether information already in the record will show that they have relevant documents that otherwise might not be produced, say attorneys at Sidley.
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Exercising On My Peloton Bike Makes Me A Better Lawyer
While I originally came to the Peloton bike for exercise, one cycling instructor’s teachings have come to serve as a road map for practicing law thoughtfully and mindfully, which has opened opportunities for growth and change in my career, says Andrea Kirshenbaum at Littler.
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3 Factors Affecting Retail M&A Deals In 2025
Retailers considering mergers and acquisitions this year face an evolving antitrust environment, including a new administration under President-elect Donald Trump, revised merger guidelines and a precedent set last year by a canceled $8.5 billion handbag merger, say attorneys at DLA Piper.