Mid Cap

  • July 03, 2024

    Steward Health Downfall Prompts Calls For Tighter Regs

    The magnitude of the financial troubles plaguing bankrupt hospital operator Steward Health Care has turned the Chapter 11 case into a flash point that should prompt a regulatory overhaul, according to a new report released by advocacy group Private Equity Stakeholder Project.

  • July 02, 2024

    Purdue Sets Stage For Boy Scouts Equitable Mootness Fight

    After the U.S. Supreme Court's ruling last week in the Purdue Pharma case, the Boy Scouts' bankruptcy plan is back in focus before a federal appeals court, potentially reigniting a heated debate over equitable mootness, a doctrine courts have long used as grounds to avoid reopening and tinkering with already-consummated bankruptcy plans.

  • July 02, 2024

    Sens. Urge Synapse Partners To Free Up Customer Funds

    A group of Democratic senators led by banking committee chair Sherrod Brown, D-Ohio, called on the owners and banking partners of bankrupt fintech intermediary Synapse Financial Technologies to restore customers' access to their deposits.

  • July 02, 2024

    Toys R Us Failure Started Toymaker Basic Fun On Ch. 11 Road

    Basic Fun, a company that picked up such iconic toy brands as Lincoln Logs, Tinker Toys and Uncle Milton Ant Farm in distress sales, was itself started on the road to its Chapter 11 filing by the bankruptcy of toy retail giant Toys R Us, according to court filings.

  • July 02, 2024

    Ex-Bankruptcy Judge Will Be Deposed Over Atty Romance

    The former Texas bankruptcy judge whose secret relationship with a Jackson Walker LLP attorney ignited a major judicial ethics scandal has agreed to sit for a seven-hour deposition to answer questions about the episode.

  • July 02, 2024

    Toymaker Basic Fun Says It's Close To Deal With Lenders

    Counsel for toymaker Basic Fun told a Delaware bankruptcy judge on Tuesday the company is close to an agreement with secured creditors on a plan to restructure $65.7 million in funded debt and emerge from Chapter 11.

  • July 02, 2024

    Giuliani Disbarred In New York Over Election Falsehoods

    A New York appellate court Tuesday barred Rudolph Giuliani from practicing law in New York, citing ample evidence that the former New York City mayor made repeated false statements about the 2020 presidential election.

  • July 01, 2024

    Giuliani Wants Bankruptcy Converted To Allow For Liquidation

    Rudy Giuliani on Monday asked a New York federal bankruptcy judge to convert his voluntary Chapter 11 bankruptcy to a Chapter 7 proceeding, which would allow him to liquidate his assets to pay his debts.

  • July 01, 2024

    NJ Hospital Dodges $14.7M In Damages Over Audits

    An accounting firm for the former operator of Hoboken University Medical Center has dodged more than $14.7 million in malpractice liability damages even though a New Jersey federal jury found it had violated professional accounting standards in audits of the financially struggling hospital.

  • July 01, 2024

    How We Got To Purdue: From Johns Manville To The Sacklers

    The U.S. Supreme Court upended years of bankruptcy practice last week when it definitively barred nonconsensual releases of nondebtors in the Chapter 11 case of Purdue Pharma, saying no authority exists to extinguish claims that creditors of a bankrupt entity may have against related entities that themselves did not file for bankruptcy.

  • July 01, 2024

    Takeoff Ch. 11 Loan Delayed As Creditors Seek Liquidation

    A Delaware bankruptcy judge indicated Monday that he wouldn't give final approval to the debtor-in-possession loan in Takeoff Technologies' Chapter 11 bankruptcy in its current form, giving the grocery automation business more time to negotiate a solution and avoid conversion of its case to a Chapter 7 liquidation.

  • July 01, 2024

    Purdue Ruling Fallout, Rite Aid Confirms Ch. 11 Plan

     A long-awaited decision by the U.S. Supreme Court struck down nonconsensual third-party releases in the bankruptcy of Purdue Pharma LP, sending the bankruptcy bar toward a rethinking of the entire process of resolving mass torts through bankruptcy; pharmacy chain Rite Aid confirmed its Chapter 11 plan; and FTX Trading got court approval for its disclosure statement.

  • July 01, 2024

    Optio Rx Scores Final Green Light On $10M DIP Deal

    A Delaware bankruptcy judge on Monday gave Illinois-based specialty pharmacy chain Optio Rx final approval for a $10 million debtor-in-possession financing package to fund its Chapter 11 case after hearing issues regarding it had been resolved.

  • July 01, 2024

    Justices Told Clarity Needed On Ch. 11 Exculpations

    Highland Capital and parties opposed to the venture capital firm's Chapter 11 plan asked the U.S. Supreme Court to clear up how the high court's recent rejection of third-party claims releases in the Purdue Pharma reorganization applies to Chapter 11 exculpations.

  • July 01, 2024

    Talc Victims Can't Block J&J From Filing For Ch. 11 Outside NJ

    A New Jersey federal judge has denied a bid for a restraining order from a group of patients suing Johnson & Johnson over claims they were injured by its talc products, saying their concern that the company would try to file for bankruptcy outside the Garden State is based on speculation and not ripe for litigation.

  • July 01, 2024

    Catching Up With Delaware's Chancery Court

    Two multimillion-dollar settlement approvals, a $25 million fee-shifting demand, and a biotech merger spoiled by murder: This was just the beginning of the drama last week in the nation's preeminent court of equity. Shareholders in satellite companies filed new cases, a cannabis company headed toward trial, and there were new developments in old disputes involving Tesla and Truth Social.

  • July 01, 2024

    Clothing Maker Delta Apparel Hits Ch. 11 With Sale Plans

    Delta Apparel Inc., a Georgia-based clothes manufacturer, and six affiliates filed for Chapter 11 bankruptcy protection in Delaware with around $250 million in debt and plans to sell the lifestyle and clothes brand Salt Life while in bankruptcy.

  • June 28, 2024

    Chevron's End Is Just The Start For Energized Agency Foes

    By knocking down a powerful precedent that has towered over administrative law for 40 years, the U.S. Supreme Court's right wing Friday gave a crowning achievement to anti-agency attorneys. But for those attorneys, the achievement is merely a means to an end, and experts expect a litigation blitzkrieg to materialize quickly in the aftermath.

  • June 28, 2024

    In Chevron Case, Justices Trade One Unknown For Another

    The U.S. Supreme Court's decision to overrule a decades-old judicial deference doctrine may cause the "eternal fog of uncertainty" surrounding federal agency actions to dissipate and level the playing field in challenges of government policies, but lawyers warn it raises new questions over what rules courts must follow and how judges will implement them.

  • June 28, 2024

    Problems Linger Amid Efforts To Clean Up Debt Firm's Mess

    After the collapse of a California debt relief firm last year amid allegations of fraud, a bankruptcy judge signed off on a plan to allow a new firm to begin providing services for thousands of affected clients. While the new firm has promised to clean up its predecessor’s mess, some consumers say little to nothing has changed, and now enforcement agencies including the Consumer Financial Protection Bureau have started asking questions.

  • June 28, 2024

    Mercon Coffee Given More Time To Explain Insider Releases

    At its confirmation hearing Friday, Mercon Coffee Corp. said it needs more time to brief a New York bankruptcy judge on why certain employees are eligible for releases that were meant to keep them at the company.

  • June 28, 2024

    Ex-NS8 Exec Was 'Willing Participant' In Fraud, Trustee Says

    The litigation trustee in defunct cybersecurity startup NS8's Chapter 11 said co-founder David Hansen must return over $5 million to the bankruptcy estate, alleging in a lawsuit in the Delaware bankruptcy court that Hansen knew about and helped cover up years of fraud by the firm's former CEO that cost investors more than $100 million.

  • June 28, 2024

    Girardi's Ch. 7 Evidence Fight May Raise Novel Issues

    Tom Girardi told a California federal judge that FBI agents violated his constitutional rights by obtaining evidence from his law firm's bankruptcy trustee without a search warrant, an argument that, if successful, could hamstring prosecutors in his upcoming wire fraud trial and shake up law enforcement's dealings with trustees.

  • June 28, 2024

    US Logistics Liquidation Comes Amid Industry Headwinds

    A lender cutting off funding may have been the direct cause of trucking company U.S. Logistics Solutions Inc. filing for Chapter 7 liquidation in Texas, but it came amid a challenging environment for truck carriers.

  • June 28, 2024

    Telecom Co. Airspan Cleared For $200M Equity Swap

    Wireless telecommunications equipment maker Airspan Networks received court approval for its prepackaged Chapter 11 plan Friday in Delaware, paving the way for a $200 million debt-for-equity transaction that the company's attorney said will give it sure financial footing for the future.

Expert Analysis

  • Why 7th Circ. Libel Ruling Is Crucial For The Media

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    As more defamation plaintiffs attorneys argue that allowing a published statement to remain online after additional evidence of falsity emerges equates to actual malice, the Seventh Circuit's recent National Police Association v. Gannett opinion should be lauded by the media and online publishers as a favorable decision, say attorneys at Vedder Price.

  • Tips For Litigating Against Pro Se Parties In Complex Disputes

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    Litigating against self-represented parties in complex cases can pose unique challenges for attorneys, but for the most part, it requires the same skills that are useful in other cases — from documenting everything to understanding one’s ethical duties, says Bryan Ketroser at Alto Litigation.

  • 3 Cases Show Tensions Between Arbitration And Insolvency

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    The intersection of international arbitration and insolvency may influence the formulation of litigation strategy on a global scale, and several recent cases illustrate the need for counsel to understand how courts are varying in their approaches, say attorneys at Skadden.

  • Air Ambulance Ch. 11s Show Dispute Program Must Resume

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    Air Methods’ recent bankruptcy filing highlights the urgent need to reopen the No Surprises Act’s independent dispute resolution program for air ambulances, whose shutdown benefits insurance companies and hurts providers, says Adam Schramek at Norton Rose.

  • Pro Bono Work Is Powerful Self-Help For Attorneys

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    Oct. 22-28 is Pro Bono Week, serving as a useful reminder that offering free legal help to the public can help attorneys expand their legal toolbox, forge community relationships and create human connections, despite the challenges of this kind of work, says Orlando Lopez at Culhane Meadows.

  • Why Delaware ABCs Are No Longer As Easy As 1-2-3

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    In light of the Court of Chancery's recent focus on additional disclosures, the assignment for the benefit of creditors process in Delaware may no longer be as efficient as it once was, and companies should be prepared to provide significantly more information leading up to an ABC, say attorneys at Goodwin.

  • Diamond Sports Cases Shed Light On Executory Contracts

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    Recent Texas bankruptcy cases involving telecast fees payable by Diamond Sports to certain Major League Baseball teams provide a window into the dynamic relationship that can develop between debtors and counterparties under some executory contracts, say Joseph Badtke-Berkow and Robin Spigel at Allen & Overy.

  • Playing In A Rock Cover Band Makes Me A Better Lawyer

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    Performing in a classic rock cover band has driven me to hone several skills — including focus, organization and networking — that have benefited my professional development, demonstrating that taking time to follow your muse outside of work can be a boon to your career, says Michael Gambro at Cadwalader.

  • The Pop Culture Docket: Judge Espinosa On 'Lincoln Lawyer'

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    The murder trials in Netflix’s “The Lincoln Lawyer” illustrate the stark contrast between the ethical high ground that fosters and maintains the criminal justice system's integrity, and the ethical abyss that can undermine it, with an important reminder for all legal practitioners, say Judge Adam Espinosa and Andrew Howard at the Colorado 2nd Judicial District Court.

  • Balancing Justice And Accountability In Opioid Bankruptcies

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    As Rite Aid joins other pharmaceutical companies in pursuing bankruptcy following the onslaught of state and federal litigation related to the opioid epidemic, courts and the country will have to reconcile the ideals of economic justice and accountability against the U.S. Constitution’s promise of a fresh start through bankruptcy, says Monique Hayes at DGIM Law.

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