Mid Cap
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May 28, 2025
IT Contractor Says Retainer Deposit Lets Ch. 11 Stay In NY
Government information technology contractor Sysorex Government Services on Wednesday argued to a New York bankruptcy judge that the retainer on deposit for its bankruptcy counsel is sufficient to establish the Southern District of New York as the venue for its Chapter 11 case.
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May 28, 2025
TreeSap Farms Gets OK To Take Votes On Ch. 11 Liquidation
A Texas bankruptcy judge on Wednesday said he would allow landscape plant grower TreeSap Farms to solicit creditor votes on its Chapter 11 liquidation plan, days after the company closed on a sale of its assets to a buyer controlled by its CEO for $88 million in cash.
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May 27, 2025
Canadian Aluminum Trader Blames Trade War For Bankruptcy
A Canadian aluminum trading group has asked an Illinois bankruptcy court to recognize its Canadian insolvency proceedings, saying rising tariffs have left it with no choice but to seek to sell its assets in bankruptcy.
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May 27, 2025
23andMe Agrees To Sale, Rite Aid Pharmacy Deals Get OK
Regeneron Pharmaceuticals emerged as the winning bidder for 23andMe last week, agreeing to buy the genetics testing company out of bankruptcy for $256 million. Meanwhile, a judge approved Rite Aid's sale of pharmacy assets to CVS, Walgreens and others, and tensions flared during a hearing in Texas on disputes stemming from an undisclosed romance between a former Jackson Walker attorney and bankruptcy judge.
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May 27, 2025
Bankrupt 23andMe To Delist Stock After Regeneron Deal
Bankrupt genetic testing provider 23andMe Inc. said Tuesday it will delist its stock from the Nasdaq exchange, following Regeneron Pharmaceuticals Inc.'s agreement last week to buy the defunct company.
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May 27, 2025
Gov't Contractor Seeks Urgent $2.3M DIP Financing In Ch. 11
Technology contractor Sysorex Government Services Inc. asked a New York bankruptcy judge to approve a $2.3 million debtor-in-possession loan from its accounts receivable lender, saying a contract with the U.S. Department of Agriculture could be in jeopardy without the funds.
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May 27, 2025
Meet The Attys Helping Li-Cycle Through Ch. 15
Lithium battery recycler Li-Cycle Holdings Corp. has tapped a team of attorneys from Freshfields LLP to help it sell its business and secure new funding in Chapter 15 bankruptcy.
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May 27, 2025
Nikola Creditors Ask To Examine Founder Over $100M Award
The creditors committee in Nikola Corp.'s Chapter 11 case has asked a Delaware bankruptcy court for permission to conduct discovery on the company's founder to investigate whether he is dissipating personal assets that should be used to satisfy a $100 million arbitration award owed to the debtor.
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May 27, 2025
Goodwin Debt Financing Ace Rejoins Gibson Dunn In LA
Gibson Dunn & Crutcher LLP is expanding its West Coast team, announcing Tuesday it is welcoming back a debt financing expert, who left for a few years to join Goodwin Procter LLP, as a partner in its Los Angeles office.
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May 27, 2025
High Court Passes On Axed $563M BMO Harris Ponzi Verdict
The U.S. Supreme Court on Tuesday declined to review the Eighth Circuit's decision to strike down a $563 million jury verdict against BMO Harris NA over claims that a bank it acquired had aided and abetted Thomas J. Petters' multibillion-dollar Ponzi scheme.
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May 23, 2025
Law360 Reveals Titans Of The Plaintiffs Bar
This past year, a handful of attorneys secured billions of dollars in settlements and judgments for both classes and individual plaintiffs against massive companies and organizations like Facebook, Dell, the National Association of Realtors, Johnson & Johnson, UFC and Credit Suisse, earning them recognition as Law360's Titans of the Plaintiffs Bar for 2025.
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May 23, 2025
Real Estate Recap: Opp Zones, SFR Sector, NYC Casinos
Catch up on this past week's key developments by state from Law360 Real Estate Authority — including how the "Big, Beautiful Bill" would tweak rules for opportunity zones, the prognosis for the single-family rental sector, and a look at the seven remaining bids for casino licenses in New York City.
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May 23, 2025
9th Circ. Upholds Ch. 13 Plan Against Debt Bifurcation Appeal
The Ninth Circuit rejected a mortgage lender's bid to overturn a California couple's bankruptcy plan, ruling their recalculated home value qualified them for Chapter 13 despite initial estimates exceeding the unsecured debt limit.
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May 23, 2025
Berkley Research Says It Should Not Be Penalized For Hack
Berkeley Research Group said Friday that it should not be penalized for a March hack of its computers that released potentially confidential information about Roman Catholic diocese bankruptcies nationwide because it was the victim of a crime.
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May 23, 2025
JLM Couture Proposes $700K Private Ch. 11 Sale To Founder
Bridal dressmaker and retailer JLM Couture proposed a private sale of its assets late Thursday in Delaware court, saying it is running out of cash to fund its Chapter 11 case and has reached an agreement with its founder and CEO to acquire the business for $713,000.
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May 23, 2025
Alex Jones Says $45.1M Sandy Hook Verdict Unconstitutional
Infowars host Alex Jones' newest attorneys have asked a Texas appeals court to overturn a $45.1 million defamation verdict awarded to Sandy Hook families, arguing the default judgment was unconstitutionally issued after limited discovery and that the award violates Texas law limiting punitive damages compared to actual harm.
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May 23, 2025
What's Happening In Bankruptcy Court This Coming Week
Over the coming week, Delaware judges will hear arguments on the Chapter 11 plans of medical device maker Exactech, app developer Creativemass and nursing facility operator Petersen Health Care, while biofuel company Global Clean Energy asks a Texas judge to send its plan out for a creditor vote and a New York judge ponders if government technology contractor Sysorex belongs in his court.
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May 23, 2025
Battery Co. Li-Cycle Gets Ch. 15 Nod Amid Glencore Sale Bid
A New York bankruptcy judge on Friday granted Chapter 15 recognition to lithium battery recycler Li-Cycle and affiliates after overruling an objection from the U.S. Trustee's Office, as the Toronto-based debtor looks to sell its business and secure new funding.
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May 23, 2025
Meet The Attys Guiding Canadian Geothermal Co. STS' Ch. 15
The foreign representative of Toronto-based geothermal energy company STS in its Delaware Chapter 15 case has enlisted a team of lawyers from Pachulski Stang Ziehl & Jones LLP to help the company secure U.S. court recognition of its bankruptcy filing in Canada.
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May 22, 2025
'Circular Firing Squad' Is Stalling Romance Case, Judge Says
A Texas federal judge told Jackson Walker LLP and Kirkland & Ellis LLP that they were stuck in a "circular firing squad" in a debate over whether the former CEO of a defunct barge company could sue the firms over a former bankruptcy judge's secret romance with an attorney.
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May 22, 2025
Senators Unveil DNA Privacy Bill Amid 23andMe's Ch. 11 Sale
A bipartisan group of U.S. senators on Thursday introduced a bill designed to safeguard customers' genetic information in bankruptcy cases, saying 23andMe's plan to sell users' DNA data to a pharmaceutical company during its Chapter 11 raises new concerns surrounding consumer privacy.
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May 22, 2025
5th Circ. Revives 'Unclean Hands' Defense In Ch. 13
A Louisiana homeowner can head back to bankruptcy court to try to discharge a $75,000 judgment against him from a contractor who said it was stiffed, a panel of the U.S. Court of Appeals for the Fifth Circuit has ruled.
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May 22, 2025
Paper Biz Royal Interco Cleared For $180M Ch. 11 Sale
Arizona-based Royal Interco LLC, a supplier of private-label paper products to grocery chains including Trader Joe's and Aldi, received the Delaware bankruptcy court's permission Thursday to sell its assets to an affiliate of an Italian tissue paper producer Sofidel for $180 million, an increase of more than $50 million from Sofidel's stalking horse bid.
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May 22, 2025
Under The Radar: Bankruptcy News You May Have Missed
Biotech company Molecular Templates defended its Chapter 11 plan against opposition from the U.S. Trustee's Office, paper product maker Royal Interco said its Chapter 11 asset auction has secured a $180 million bid, and insurers for a New Jersey Catholic diocese fought a bid from abuse victims and the diocese to lift a stay to reinvigorate settlement discussions. Here are the bankruptcy stories you may have missed this week.
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May 22, 2025
Meet The Attorneys Directing Genetics Co. Synthego's Ch. 11
A team of lawyers from Pachulski Stang Ziehl & Jones LLP is guiding Synthego Corp. through its Chapter 11 case in Delaware, as the California-based biotechnology company pursues a sale of its assets to a prepetition lender during the proceedings.
Expert Analysis
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The Pop Culture Docket: Judge D'Emic On Moby Grape
The 1968 Moby Grape song "Murder in My Heart for the Judge" tells the tale of a fictional defendant treated with scorn by the judge, illustrating how much the legal system has evolved in the past 50 years, largely due to problem-solving courts and the principles of procedural justice, says Kings County Supreme Court Administrative Judge Matthew D'Emic.
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Navigating Asset Tracing Challenges In Bankruptcy
A Virginia court’s recent ruling in Health Diagnostic Laboratory Inc.'s bankruptcy highlights the heightened demand for asset tracing and the strategic use of the lowest intermediate balance rule in recovering funds from commingled accounts, says Daniel Lowenthal at Patterson Belknap.
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Lender Agreements And Unitranche Facilities: A Fresh Look
Unitranche facilities — which offer blended interest rates in a single loan document — are gaining prevalence, and lenders and borrowers should understand their advantages, as well as concerns over the enforceability of a unitranche-style agreement among lenders in bankruptcy, say attorneys at Mayer Brown.
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What Banks Should Know About FDIC Assessment Rule
Max Bonici at Venable answers questions banking organizations may have about the Federal Deposit Insurance Corp.'s recent approval of a rule implementing a special assessment on banks to recoup costs associated with protecting uninsured depositors after the bank failures earlier this year, and highlights other considerations for uninsured deposits.
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Performing Music Makes Me A Better Lawyer
The discipline of performing live music has directly and positively influenced my effectiveness as a litigator — serving as a reminder that practice, intuition and team building are all important elements of a successful law practice, says Jeff Wakolbinger at Bryan Cave.
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Bankruptcy Must Be On The Table As A Student Loan Solution
Amid the ongoing discourse on student loan forgiveness, borrowers must have a deeper understanding of U.S. Departments of Justice and Education guidance regarding how the government will agree to discharge loans in bankruptcy, or miss a life-changing opportunity currently available to regain control over their financial condition, say Jonathan Carson and Eric Kurtzman at Stretto.
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Breaking Down High Court's New Code Of Conduct
The U.S. Supreme Court recently adopted its first-ever code of conduct, and counsel will need to work closely with clients in navigating its provisions, from gift-giving to recusal bids, say Phillip Gordon and Mateo Forero at Holtzman Vogel.
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Rockport Ch. 11 Highlights Global Settlement Considerations
A Delaware bankruptcy court’s recent rejection of Rockport’s proposed settlement serves as a reminder that there is a risk that a global settlement executed outside of a plan may be rejected as a sub rosa plan, but shouldn’t dissuade parties from seeking relief when applicable case law supports approval, says Kyle Arendsen at Squire Patton.
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How Purdue High Court Case Will Shape Ch. 11 Mass Injury
The U.S. Supreme Court's recent arguments in Harrington v. Purdue Pharma, addressing the authority of bankruptcy courts to approve nonconsensual third-party releases in Chapter 11 settlement plans, highlight the case's wide-ranging implications for how mass injury cases get resolved in bankruptcy proceedings, says George Singer at Holland & Hart.
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Legal Profession Gender Parity Requires Equal Parental Leave
To truly foster equity in the legal profession and to promote attorney retention, workplaces need to better support all parents, regardless of gender — starting by offering equal and robust parental leave to both birthing and non-birthing parents, says Ali Spindler at Irwin Fritchie.
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How Cannabis Cos. Are Adapting In Shifting Bankruptcy Arena
Recent bankruptcy cases show that federal courts have begun to demonstrate more openness to downstream businesses in the cannabis industry, and that even though receivership can be a viable option for those denied access to the bankruptcy system, it is not without its own risks and complexities, say attorneys at Troutman Pepper.
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Pa. City Ch. 9 Ruling Raises Municipal Financing Concerns
A Pennsylvania district court’s recent ruling in a Chapter 9 case filed by the city of Chester, Pennsylvania, strengthens the foundations of the municipal bond market, but also demonstrates that bankruptcy courts continue to struggle with some of the features of municipal revenue bonds and issue rulings that contradict market expectations, say attorneys at Cadwalader.
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Writing Thriller Novels Makes Me A Better Lawyer
Authoring several thriller novels has enriched my work by providing a fresh perspective on my privacy practice, expanding my knowledge, and keeping me alert to the next wave of issues in an increasingly complex space — a reminder to all lawyers that extracurricular activities can help sharpen professional instincts, says Reece Hirsch at Morgan Lewis.