Mid Cap
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January 29, 2025
Cobalt Refiner Hits Ch. 11 With Plan To Cut $164M In Debt
A Texas bankruptcy judge Wednesday put the operator of one of the world's largest cobalt refineries on course for a March hearing on a Chapter 11 plan to shed nearly $164 million in debt as it deals with depressed cobalt prices it blames on Chinese oversupply.
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January 29, 2025
Calif. Trucking Group In Talks With Possible Ch. 11 Buyer
KAL Freight Inc. expects to file a Chapter 11 plan in February that may toggle between a sale of the business or another form of reorganization, lawyers for the trucking group told a Texas bankruptcy judge on Wednesday.
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January 29, 2025
Calif. Woman Denied Relief From Joint Tax Debt
A California woman is ineligible for relief from the tax liability she and her husband accrued due to incorrectly claimed retirement fund withdrawals, the U.S. Tax Court ruled Wednesday, upholding the Internal Revenue Service's decision to deny the relief.
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January 29, 2025
NY Battery Startup Gets Interim OK For Ch. 11 Loan
A Delaware bankruptcy judge on Wednesday gave interim permission for lithium-ion battery maker iM3NY to access part of a $17.5 million Chapter 11 financing from its senior lender, along with a host of other routine motions.
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January 29, 2025
Fla. Judge OKs Settlement In Energy Drink Co. Bankruptcy
A Florida federal bankruptcy judge on Wednesday approved a $3 million settlement in the bankruptcy case of Vital Pharmaceuticals Inc., the company that produces Bang Energy drinks, but declined to seal an agreement with an insurer over the costs of litigation in a Monster Energy Co. lawsuit.
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January 29, 2025
Rental Co. Urges NC Justices To Review Debt Deadline Ruling
A South Carolina real estate rental company urged the North Carolina Supreme Court on Tuesday to overturn a lower court's decision that the company missed the window to enforce a debt because the automatic stay triggered by the debtor's bankruptcy filing didn't toll the statutory 10-year period for the company to renew the judgment.
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January 29, 2025
NY Archdiocese Wants Abuse Coverage Row Segmented
The Archdiocese of New York urged a New York state court to analyze coverage in phases for over 1,300 sex abuse lawsuits it and its affiliated entities face, arguing that because the "vast majority" of the underlying lawsuits are still being litigated, assessing coverage prematurely could be "highly prejudicial."
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January 29, 2025
JCPenney Says Jackson Walker Owes $1M For Judge's Affair
Jackson Walker LLP should have to return the more than $1 million paid to it by J.C. Penney given the firm's failure to disclose that one of its partners had a romantic relationship with the judge who had over the retailer's bankruptcy, the retailer's estate says in a new lawsuit in Texas federal court.
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January 29, 2025
Bankrupt MMA Law Seeks Hurricane Case Fees From 2 Firms
Bankrupt firm MMA Law has filed adversary suits against two law firms in Texas bankruptcy court seeking to recover fees related to work done on behalf of hurricane victim clients that it says belong to its bankruptcy estate.
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January 29, 2025
3rd Circ. Skeptical Of Philly Firm's Ch. 7 Case Fee Quest
The Third Circuit on Wednesday seemed skeptical that Spector Gaden Rosen Vinci PC properly informed a bankruptcy court of the billing and services provided to a couple in a Chapter 7 case in which a judge sanctioned the firm for violating disclosure rules, a matter that left one appeals judge "shocked" at the Philadelphia firm's alleged shortfall.
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January 29, 2025
Bankruptcy Group Of The Year: Sullivan & Cromwell
Sullivan & Cromwell LLP in 2024 carried two complex, crisis-driven Chapter 11s across the bankruptcy finish line, confirming plans for defunct crypto exchange FTX and the former operator of Silicon Valley Bank, earning it a spot as one of the 2024 Law360 Bankruptcy Groups of the Year.
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January 29, 2025
Lowenstein Sandler Hit With Malpractice Suit From Dispensary
A cannabis dispensary facing a lawsuit from Lowenstein Sandler LLP for unpaid legal fees has fired back with a malpractice suit against the firm, alleging its attorneys helped the dispensary's former CEO in an attempted hostile takeover of the company.
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January 29, 2025
Katten Real Estate Leaders Suggest Prenegotiated Bankruptcy
Bankruptcy protection is usually a last resort for commercial real estate borrowers. But for a large distressed asset in a high-tax district, a prepackaged bankruptcy is a no-brainer, according to Katten partners Scott M. Vetri and Timothy G. Little. Here's how it would work.
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January 29, 2025
Milbank Adds Ex-Skadden Financial Restructuring Pro In NY
Milbank LLP has added a corporate restructuring attorney previously with Skadden Arps Slate Meagher & Flom LLP as a partner in its New York office, the firm has announced.
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January 29, 2025
Reed Smith Fee App Held For Eletson Probe
A New York bankruptcy judge Wednesday agreed to delay a hearing on Reed Smith's fees in the Eletson Holdings bankruptcy case while the reorganized debtor probes Reed Smith's alleged past ties with Eletson executives.
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January 29, 2025
Packaging Co. Plastic Suppliers Gets Initial OK For $16M Sale
A New Jersey bankruptcy judge on Wednesday conditionally approved packaging company Plastic Suppliers Inc.'s bid to sell its business for $16.4 million, saying a competitive auction proved the deal process had been conducted fairly.
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January 28, 2025
Jury Clears LED Distributor Of Korean Co.'s Fraud Claims
A California federal jury returned a verdict Tuesday clearing the head of a now-defunct LED screen distribution company of allegations that he lied to his Korean manufacturing partner about efforts to repay millions of dollars worth of mounting debts.
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January 28, 2025
Dubai Co. Begins Condo Project At Surfside Collapse Site
Dubai-based developer DAMAC International said Tuesday it plans to build its first U.S. real estate project in the town of Surfside, Florida, at the site where the 12-story Champlain Towers South condominium collapsed in June 2021, resulting in the deaths of 98 people.
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January 28, 2025
Solar Biotech Gets OK For Failed Bidder Breakup Fee
A Delaware bankruptcy judge on Tuesday gave biotechnology firm Solar Biotech permission to pay a $456,000 breakup fee to the unsuccessful bidder in its Chapter 11 auction, saying the baseline offer provided a benefit to the estate.
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January 28, 2025
Corsa Coal Sale Date, Use Of Morgan Stanley Account OK'd
Bankrupt coal miner Corsa Coal Corp. won court approval on Tuesday to extend its asset sale process by two weeks, after assuring the court its debtor-in-possession financing will last long enough to fund the Chapter 11 case until a transaction can close in March.
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January 28, 2025
Healthcare Ch. 11s Stay High Amid Costs Surge, Labor Woes
Healthcare sector bankruptcy filings reached their second-highest level in six years in 2024, with 57 companies seeking Chapter 11 protection as rising costs and sluggish reimbursement rates continued to ripple through the industry, according to a new report by restructuring advisory firm Gibbins Advisors.
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January 28, 2025
Creditors Can Join Nostrum Sale Talks, Ch. 11 Judge Rules
A bankruptcy judge on Tuesday approved a bid from the official committee of unsecured creditors in drugmaker Nostrum Laboratories Inc.'s Chapter 11 case to help investment bank Raymond James find a buyer for the debtor's assets.
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January 28, 2025
Bankruptcy Group Of The Year: Brown Rudnick
Brown Rudnick LLP's bankruptcy group helped secure a full recovery for BlockFi customers and persuaded a New Jersey bankruptcy judge to grant Chapter 15 recognition to a decentralized autonomous organization for the first time ever, earning it a spot among the 2024 Law360 Bankruptcy Groups of the Year.
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January 28, 2025
NY Battery Startup Hits Ch. 11 With $136M Debt, Sale Plans
Electric vehicle and renewable energy storage lithium-ion battery maker iM3NY filed for bankruptcy protection in Delaware, reporting around $136 million in debt after it wasn't able to drum up new funding for a battery production plant in New York.
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January 27, 2025
Purdue Nears Ch. 11 Deal, Yellow Corp. Fends Off WARN Suit
From a looming settlement in the Purdue bankruptcy to a pair of retailers overcoming objections to their Chapter 11 plans, here are some of the biggest bankruptcy news from the past week.
Meet The Attys Guiding Biora's Ch. 11
Clinical-stage biotechnology company Biora has hired a team of lawyers from McDermott Will & Emery LLP to see it through its Chapter 11, which the debtor started to address funded debt obligations and sell assets to finance its ongoing clinical development.
Catching Up With New Bankruptcy Case Action
New York-based lithium-ion battery maker iM3NY filed for bankruptcy in Delaware, saying it was burdened by $136 million in debt after failing to secure funding for its production plant. Books Inc., a 174-year-old independent bookstore operator in the San Francisco Bay Area, is seeking Chapter 11 protection with $5.2 million in liabilities, and has blamed pandemic-related declines in in-store shopping for its financial woes.
174-Year-Old Bookstore Says Its Story Won't End On Ch. 11
Changes in customer buying patterns following the COVID-19 pandemic have led Books Inc., the Bay Area's oldest independent bookstore operator, to enter Chapter 11 with plans to close its Berkeley location early next month while continuing to operate 10 other shops in and around San Francisco.
Expert Analysis
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How Ch. 11 Can Alleviate Merchant Cash Advance Concerns
Merchant cash advance funding is one of the biggest challenges for small businesses today because funders are so prevalent, aggressive and expensive, but bankruptcy can provide several tools for dealing with MCA agreements that may allow the debtor business to restructure and survive, says Patricia Fugée at FisherBroyles.
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5 Ways To Create Effective Mock Assignments For Associates
In order to effectively develop associates’ critical thinking skills, firms should design mock assignments that contain a few key ingredients, from messy fact patterns to actionable feedback, says Abdi Shayesteh at AltaClaro.
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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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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.