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Bankruptcy
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November 20, 2024
CFPB Subpoenas Trustee In Debt Relief Firm Bankruptcy Case
The U.S. Consumer Financial Protection Bureau has served a subpoena on the Chapter 11 trustee in charge of collapsed California debt relief law firm Litigation Practice Group's bankruptcy estate, the trustee's law firm said in a recent court filing.
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November 20, 2024
Girardi Pushes For New Trial Over Competency Claims
Counsel for Tom Girardi told a federal judge the disbarred attorney is plainly mentally incompetent and deserves a new trial over charges he defrauded clients of $15 million worth of settlement money.
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November 20, 2024
Beasley Allen And J&J Tussle Over Atty Sanctions Bid
Beasley Allen Law Firm accused a Johnson & Johnson talc unit of using "deposition notices as weapons" in its quest to sanction a firm lawyer, while the company said the firm "refused to meaningfully subject itself or its members to any discovery" in its bankruptcy case.
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November 20, 2024
TGI Fridays Gets OK On Bid Process As It Seeks Out Buyers
A Texas bankruptcy judge on Wednesday approved TGI Fridays' procedures for contacting and selecting prospective buyers for its assets after the struggling restaurant chain said it was in discussions with at least 21 potential bidders.
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November 20, 2024
Bankman-Fried Tech Deputy Who Parsed Code Avoids Prison
A Manhattan federal judge allowed tech expert Zixiao "Gary" Wang to avoid jail Wednesday for his role in the $11 billion FTX fraud, crediting his effort to detail programming "back doors" that enabled Sam Bankman-Fried to loot the bankrupt crypto exchange.
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November 19, 2024
AI School Tech Founder Stole $10M From Investors, DOJ Says
The founder of AllHere Education Inc., a startup venture that sold artificial intelligence-powered chatbots to schools, is charged with fleecing investors out of nearly $10 million by lying about the company's revenue and using some of the money to pay for her wedding and a house, New York federal prosecutors announced Tuesday.
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November 19, 2024
J&J Wants Beasley Allen Atty Sanctioned For Depo No-Show
Johnson & Johnson's talc unit called on a Texas bankruptcy court to sanction a Beasley Allen Law Firm attorney for "unilaterally" deciding not to attend a scheduled deposition in the company's bankruptcy case.
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November 19, 2024
Poll Workers Fight Giuliani Attys' Bid To Exit Collection Cases
Two of Rudy Giuliani's attorneys doubled down Tuesday on their attempt to withdraw as counsel in the $148 million defamation case against him, saying in a redacted letter that the two Georgia poll workers hoping to stop their withdrawal are unaware of the facts that led up to the request.
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November 19, 2024
Alex Jones Seeks To Stop The Onion From Buying Infowars
Right-wing media fabulist Alex Jones asked a Texas bankruptcy judge to stop the sale of his Infowars website to satirical news publisher The Onion, arguing that the winning bid violated the court's bidding procedures order.
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November 19, 2024
College Decor Co. Dormify Hits Ch. 11 With Up To $50M Debt
Dormify Inc., a retailer that sells college gear and decor for dorms, filed for bankruptcy in Delaware, estimating between $10 million and $50 million in debt less than a week after a Pennsylvania federal court entered a default judgment against it in a lawsuit from an affiliate marketing firm.
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November 18, 2024
Backup Bidder For Jones' Infowars Wants The Onion Bid DQ'd
The Alex Jones-affiliated backup Chapter 7 auction bidder for Jones' right-wing website Infowars asked a Texas bankruptcy judge Monday to disqualify the winning bid from The Onion, a satirical news website, arguing that the bid did not follow the auction procedures.
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November 18, 2024
Biopharm Co. Seelos Files For Ch. 11 After Nasdaq Delisting
Publicly traded biopharmaceutical company Seelos Therapeutics Inc. sought Chapter 11 protection in New York on Saturday, citing between $10 million and $50 million in estimated liabilities.
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November 18, 2024
Brazil's Unigel Seeks Ch. 15 Nod For $810M Restructuring
Several units of Brazilian petrochemical producer Unigel Group have urged a New York bankruptcy court to recognize their overseas bankruptcy plans to address roughly $810 million of debt, saying factors including the war in Ukraine and inflation have hampered the companies' liquidity.
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November 18, 2024
Proskauer Atty Is Part Of 'Rich' Harvard Football Tradition
Proskauer bankruptcy partner and longtime Harvard football public address announcer Chad Dale had no experience when he became the voice of the football program 33 years ago, but he followed in his late grandfather's footsteps and received an influential endorsement for the gig from his grieving grandmother.
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November 18, 2024
Health Care Co. CareMax Hits Ch. 11 With Plans To Sell Assets
Medical services company CareMax Inc. has filed for Chapter 11 protection in Texas bankruptcy court, listing $422.6 million of funded debt and disclosing plans to sell its assets during the case.
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November 18, 2024
Spirit Airlines Files For Ch. 11 With Equity-Swap Plan
Budget air carrier Spirit Airlines filed for Chapter 11 protection in a New York bankruptcy court Monday with $3.6 billion in funded debt and a preapproved equity swap restructuring plan.
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November 15, 2024
Giuliani Gets New Atty As Poll Workers Seek To Collect $148M
Two days after Rudy Giuliani's lawyers asked a federal judge to allow them to withdraw from representing him in a pair of cases from former Georgia poll workers seeking to collect a $148 million defamation award against him, the embattled former mayor of New York found himself new representation.
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November 15, 2024
PetroQuest Gets Interim OK To Tap $847K In Del. Ch. 11
A Delaware bankruptcy judge Friday granted interim permission for oil and gas company PetroQuest Energy Inc. to access $847,500 of new money financing from its lenders as it plans to sell its assets in East Texas.
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November 15, 2024
Colo. Judge Nixes Debtor's Transfer Try For Not Conferring
A Colorado federal judge on Friday struck a motion to transfer a putative class action suit against a bankrupt truck rental company to the Delaware court handling the business's Chapter 11 case, saying the company had failed to consult with the plaintiffs before filing the motion.
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November 15, 2024
Swedish Debt Collector Intrum Files Prepack Ch. 11 In Texas
Swedish debt collector Intrum filed its pre-announced, prepackaged Chapter 11 in a Texas bankruptcy court Friday, saying it had secured creditor approval to restructure $4.9 billion in debt.
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November 15, 2024
Girardi Seeks Sentencing Delay Amid Atty's Departure
Disbarred attorney Tom Girardi is asking a California federal judge for more time before his sentencing date because a key member of his legal team is leaving the Federal Public Defender's Office on Monday.
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November 15, 2024
Ex-McElroy Deutsch Exec Says Firm Has No Claim On House
The former McElroy Deutsch Mulvaney & Carpenter LLP business development director whose husband pled guilty to stealing millions from the firm has argued that the time has come for the court to toss an attempt by the firm to put her house in a constructive trust.
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November 15, 2024
Off The Bench: NCAA Eligibility Fight, Movie Script Dispute
In this week's Off The Bench, a college football star takes the NCAA to court seeking one more year to play, the plot of a recent Netflix release might have been lifted from another creator and a transgender college athlete's right to compete is challenged by other players.
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November 15, 2024
Sterilization Co. Cosmed Hits Ch. 11 Amid Cancer Claims
Sterilization company Cosmed Group Inc. filed for Chapter 11 protection in a Texas bankruptcy court Thursday with over $100 million in liabilities, much of it related to cancer claims over the gas that it uses for sterilization.
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November 15, 2024
UK Litigation Roundup: Here's What You Missed In London
This past week in London has seen Ocado file an intellectual property claim against an African fruit and vegetable importer, a claim filed against a Swiss bank founded by Indian billionaire Srichand Parmanand Hinduja and 300 individuals sue travel company TUI. Here, Law360 looks at these and other new claims in the U.K.
Expert Analysis
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The Bar Needs More Clarity On The Discovery Objection Rule
Almost 10 years after Federal Rule of Civil Procedure 34 was amended, attorneys still seem confused about what they should include in objections to discovery requests, and until the rules committee provides additional clarity, practitioners must beware the steep costs of noncompliance, says Tristan Ellis at Shanies Law Office.
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Series
Being A Navy Reservist Makes Me A Better Lawyer
Serving this country in uniform has not only been one of the greatest honors of my life, but it has also provided me with opportunities to broaden my legal acumen and interpersonal skills in ways that have indelibly contributed to my civilian practice, says Phillip Smith at Weinberg Wheeler.
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So You Want To Move Your Law Practice To Canada, Eh?
Google searches for how to move to Canada have surged in the wake of the U.S. presidential election, and if you’re an attorney considering a move to the Great White North, you’ll need to understand how the practice of law differs across the border, says David Postel at Henein Hutchison.
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A Strategic Checklist For Bankruptcy Motion Objections
Excerpt from Practical Guidance
Hewing to a set of best practices for objecting to a motion in bankruptcy cases can help creditors’ counsel stay on track as they juggle deadlines and jurisdictions, determine whether filing will help or harm the client, and negotiate with the debtor.
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Promoting Diversity In The Selection Of ADR Neutrals
Excerpt from Practical Guidance
Choosing neutrals from diverse backgrounds is an important step in promoting inclusion in the legal profession, and it can enhance the legitimacy and public perception of alternative dispute resolution proceedings, say attorneys at Lowenstein Sandler.
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Series
Playing Ultimate Makes Us Better Lawyers
In addition to being fun, ultimate Frisbee has improved our legal careers by emphasizing the importance of professionalism, teamwork, perseverance, enthusiasm and vulnerability, say Arunabha Bhoumik and Adam Bernstein at Regeneron.
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E-Discovery Quarterly: Recent Rulings On Metadata
Several recent rulings reflect the competing considerations that arise when parties dispute the form of production for electronically stored information, underscoring that counsel must carefully consider how to produce and request reasonably usable data, say attorneys at Sidley.
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The 3rd-Party Bankruptcy Release Landscape After Purdue
In its Purdue Pharma ruling prohibiting nonconsensual third-party releases, the U.S. Supreme Court did not comment on criteria to render a third-party release consensual, opening a debate in the bankruptcy courts on the permissibility of opt-out versus opt-in releases, say attorneys at Morgan Lewis.
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Striking A Balance Between AI Use And Attorney Well-Being
As the legal industry increasingly adopts generative artificial intelligence tools to boost efficiency, leaders must note the hidden costs of increased productivity, and work to protect attorneys’ well-being while unlocking AI’s full potential, says Ed Sohn at Factor.
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Empathy In Mediation Offers A Soft Landing For Disputes
Experiencing a crash-landing on a recent flight underscored to me how much difference empathy makes in times of crisis or stress, including during mediation, says Eydith Kaufman at Alternative Resolution Centers.
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Series
Being An Artist Makes Me A Better Lawyer
My work as an artist has highlighted how using creativity and precision together — qualities that are equally essential in both art and law — not only improves outcomes, but also leads to more innovative and thoughtful work, says Sarah La Pearl at Segal McCambridge.
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How Judiciary Can Minimize AI Risks In Secondary Sources
Because courts’ standing orders on generative artificial intelligence and other safeguards do not address the risk of hallucinations in secondary source materials, the judiciary should consider enlisting legal publishers and database hosts to protect against AI-generated inaccuracies, say attorneys at Lankler Siffert & Wohl.
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How Attorneys Can Break Free From Career Enmeshment
Ambitious attorneys can sometimes experience career enmeshment — when your sense of self-worth becomes unhealthily tangled up in your legal vocation — but taking the time to discover and realign with your core personal values can help you recover your identity, says Janna Koretz at Azimuth Psychological.
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Bankruptcy Decision Exemplifies Venue Issue For Franchisees
A California bankruptcy court's decision earlier this month in Pinnacle Foods and a lingering circuit split on assumption of executory franchise contracts highlights the issue of whether franchisee debtors can qualify for case venue in friendlier circuits, says David Gamble at Parkins Rubio.
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Lawyers With Disabilities Are Seeking Equity, Not Pity
Attorneys living with disabilities face extra challenges — including the need for special accommodations, the fear of stigmatization and the risk of being tokenized — but if given equitable opportunities, they can still rise to the top of their field, says Kate Reder Sheikh, a former attorney and legal recruiter at Major Lindsey & Africa.