Mid Cap

  • May 28, 2024

    BREAKING: FTX Exec Who Acted As Bankman-Fried 'Tool' Gets 7.5 Years

    A Manhattan federal judge on Tuesday hit crypto-finance expert and former FTX executive Ryan Salame with a 7.5-year prison sentence for duping a bank to authorize $1.5 billion of illegal transfers and making fraudulent campaign contributions for the exchange's convicted founder Sam Bankman-Fried.

  • May 24, 2024

    UrgentPoint Can Use Lender Cash Despite Pushback

    Holistic healthcare provider UrgentPoint got approval in Delaware bankruptcy court Friday to use its lenders' cash collateral in its Chapter 11 case, after facing questions from the U.S. Trustee's Office and the judge presiding over the case about its prior obligations to merchant cash advance lenders.

  • May 24, 2024

    Biden's Judicial Impact And What's Left On The Wish List

    President Joe Biden secured confirmation of his 200th federal judge Wednesday and has transformed the judiciary by picking more women and people of color than any other president. But the upcoming election season could derail his hopes of confirming many more judges.

  • May 24, 2024

    Off The Bench: NCAA Settles House NIL Class Action

    In this week’s Off the Bench, the NCAA settles its court dispute with hundreds of thousands of athletes over name, image and likeness compensation, NFL rookie Marvin Harrison Jr. is taken to court over an endorsement contract, and former Super Bowl champion Antonio Brown’s post-career life is burdened further by bankruptcy. If you were sidelined this week, Law360 is here to catch you up on the sports and betting stories that had our readers talking.

  • May 24, 2024

    Weinstein Atty Trying To Chill Retrial Testimony, DA Says

    The Manhattan District Attorney's Office has argued that a lawyer for Harvey Weinstein violated ethics rules by publicly accusing one of the movie mogul's alleged rape victims of perjury in an "obvious" attempt to dissuade her from testifying again at an upcoming retrial.

  • May 24, 2024

    Biden Urges 1st Circ. To Find Debt Cap Challenge Moot

    The Biden administration asked the First Circuit to affirm a finding that a government workers' union lacks standing to challenge the debt ceiling's constitutionality and that its case was further rendered moot by passage of a deal to suspend the spending limit until January.

  • May 23, 2024

    Shoes For Crews Gets OK For $290M Credit Bid Sale

    A Delaware bankruptcy judge said at a hearing Thursday that she would approve a $290 million credit bid sale of Shoes For Crews to its first-lien lenders after no other bidders emerged for the nonslip shoes retailer.

  • May 23, 2024

    Who's Who On The NJ Bankruptcy Bench, Part 2

    Chief U.S. District Judge Renée Marie Bumb said last week that New Jersey saw the second-most Chapter 11 bankruptcy filings in the nation over the last year — up from sixth the year before — with 16% growth in overall filings and a 133% increase in Chapter 11 filings.

  • May 23, 2024

    Modells Reaches $22.7M Ch. 11 Settlement With Ex-CEO

    Modell's Sporting Goods' liquidation trust reached a $22.7 million settlement with the company's former CEO Mitchell Modell and several family-owned, real estate-owning affiliates, which would resolve the trust's claims in years-long adversary proceedings against the company's executives.

  • May 23, 2024

    Ex-Judge Pushed False Narrative On Atty Romance, Firm Says

    U.S. Bankruptcy Judge David R. Jones of Texas, who resigned last year after his secret relationship with a Jackson Walker LLP partner was revealed, attempted to head off rumors about the relationship by asking the firm to file a false, partial disclosure in 2022, the firm alleged.

  • May 23, 2024

    Houston Law Firm Wants To DQ Creditors' Counsel In Ch. 11

    Troubled MMA Law Firm PLLC is seeking to stop another firm from representing its bankruptcy creditors, arguing that MMA's principal had previously spoken with the other firm as a prospective client and had shared confidential information that now could be used against his firm.

  • May 23, 2024

    DC Judge Bars Giuliani From Defaming Ga. Poll Workers

    A D.C. federal judge has entered an injunction barring Rudy Giuliani from repeating lies that two Georgia poll workers meddled with the 2020 presidential election, resolving a second lawsuit the election workers launched after securing a $146 million judgment against the former New York City mayor.

  • May 23, 2024

    Jackson Lewis Questions Role In Wage Suit After Ch. 11

    Jackson Lewis PC attorneys were unsure if they were able to keep representing more than a dozen Pennsylvania nursing homes as an unpaid-wage case approaches a critical deadline, telling a federal court during a conference Thursday that the Bankruptcy Code suspended their service to a group of defendants who filed for Chapter 11 bankruptcy earlier in May.

  • May 23, 2024

    Alex Jones Atty Escapes Suspension, For Now

    The Connecticut Appellate Court on Thursday threw out the six-month suspension of Norm Pattis, the lead attorney in Infowars host Alex Jones' Sandy Hook Elementary School defamation trial, ordering new proceedings against the attorney for supervising the transmission of the victims' confidential records to other Jones lawyers.

  • May 22, 2024

    EB-5 Investors Say Developers' $150K Shouldn't Go To Attys

    Chinese investors looking to recoup a nearly $40 million investment in failed developments urged an Illinois federal court against allowing bankrupt developers to use $150,000 in assets to pay the developers' attorneys, saying the lawyers shouldn't be paid before the investors.

  • May 22, 2024

    Who's Who On The NJ Bankruptcy Bench, Part 1

    New Jersey saw the second-most Chapter 11 bankruptcy filings in the nation over the last year. Here, Law360 takes a look at the judges leading the increasingly busy bankruptcy court, starting with those sitting in Trenton and Camden.

  • May 22, 2024

    Cleaning Products Maker Supply Source Files For Ch. 11

    Cleaning products company Supply Source Enterprises has told a Delaware bankruptcy court that it is seeking a sale in Chapter 11 to deal with $180 million in debt after overestimating the post-pandemic market for cleaning products.

  • May 22, 2024

    Fraud Defendant Strikes Deal To End Ch. 11, Sell House

    A corporation owned by the defendant in a $93 million securities fraud case Wednesday told a Florida bankruptcy judge it has reached a deal to end its Chapter 11 case and sell the multimillion-dollar Coral Gables home that is its sole asset.

  • May 22, 2024

    Biotech Co. Gamida Gets OK For Prepack Ch. 11 Plan

    A Delaware bankruptcy judge said she would approve a prepackaged confirmation plan for Gamida Cell Inc. that would turn the biotechnology company over to its largest creditor.

  • May 22, 2024

    Soured Partnership Tanks Dallas Tower Weakened By COVID

    In the fourth story in a series on distressed office properties in various U.S. markets, Law360 Real Estate Authority examines how a solid office building in an otherwise strong market — Dallas' Uptown — started showing cracks from COVID-19 and controversy.

  • May 22, 2024

    Tommy's Boats Hits Ch. 11 After Alleged M&T Bank Default

    Boat and water sports retailer Tommy's Boats has filed for Chapter 11 protection in Texas bankruptcy court, listing up to $500 million in debt after allegedly breaching an agreement with lender M&T Bank.

  • May 21, 2024

    Full 5th Circ. Urged To Rethink Blocking Student Loan Rule

    The U.S. Department of Education has asked the full Fifth Circuit to reconsider a recent preliminary injunction a three-judge panel ordered blocking changes to a program providing student loan forgiveness to borrowers defrauded by higher education institutions. It said the panel wrongly held that the department doesn't have the authority to determine whether a borrower has a valid defense to repayment.

  • May 21, 2024

    In Red Lobster's Tale Of Ch. 11, Shrimp May Be A Red Herring

    It was more than just all-you-can-eat shrimp specials that forced casual dining chain Red Lobster into bankruptcy on Sunday — higher costs, lower foot traffic and a failure to appeal to younger customers were all additional pressures that experts say could lead other small and midsize restaurant brands to consider bankruptcy in the coming year.

  • May 21, 2024

    Red Lobster Gets OK To Tap $40M Ch. 11 Loan

    A Florida bankruptcy judge Tuesday gave seafood chain Red Lobster interim permission to draw on $40 million in Chapter 11 financing the company says is necessary to keep its restaurants running while it seeks a sale.

  • May 21, 2024

    SPAC Investor's Suit Changes Came Too Late, Chancery Rules

    A shareholder of a special-purpose acquisition company that merged with a now-defunct medical technology company in 2021 waited too long to amend his year-old proposed class action and must defend the case against a motion to dismiss in June, Delaware's Court of Chancery said Tuesday.

Expert Analysis

  • Bankruptcy Courts Have Contempt Power, Del. Case Reminds

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    A Delaware bankruptcy court recently held Camshaft Capital and its principal in contempt, serving as a reminder to bankruptcy practitioners and anyone else that appears before a bankruptcy judge that there are serious consequences for failing to comply with court orders, say Daniel Lowenthal and Kimberly Black at Patterson Belknap.

  • What Lies Behind Diverging US And UK Insolvency Trends

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    Contrasting U.K. and U.S. insolvency trends highlight the importance of policy interventions in shaping consumer financial outcomes and economic recovery, and while the U.K.'s approach seems to have mitigated issues, the U.S. faces challenges exacerbated by economic conditions and policy transitions, says Thomas Curran at Thomas H. Curran Associates.

  • E-Discovery Quarterly: Recent Rulings On Text Message Data

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    Electronically stored information on cellphones, and in particular text messages, can present unique litigation challenges, and recent court decisions demonstrate that counsel must carefully balance what data should be preserved, collected, reviewed and produced, say attorneys at Sidley.

  • How Banks Can Preserve Value Amid Corporate Default Surge

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    Amid a busy time for corporate bankruptcies, banks need a nuanced understanding of contractual rights, regulatory frameworks and evolving legal developments to protect and preserve their rights and interests, say attorneys at Phelps Dunbar.

  • A Look At Subchapter V As Debt Limit Expiration Looms

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    If proposed legislation to extend Subchapter V’s debt eligibility ceiling sunset date in June is passed, bankruptcy professionals can seek ways to work with their local jurisdictions to advocate for code changes and guidance that bring more efficiencies and clarity to the process, say Matthew Brash at Newpoint Advisors and Melinda Bennett at Stretto.

  • The Art Of Asking: Leveraging Your Contacts For Referrals

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    Though attorneys may hesitate to ask for referral recommendations to generate new business, research shows that people want to help others they know, like and trust, so consider who in your network you should approach and how to make the ask, says Rebecca Hnatowski at Edwards Advisory.

  • Ch. 11 Case Shows Why Plan Acceptance Procedures Are Key

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    Sunland Medical's recent liquidation plan proposal is an important example of how top-notch judges and attorneys propose and analyze complex issues during the confirmation process, and the bankruptcy court was forward-thinking to consider the implications of such proposed treatment in the face of the Bankruptcy Code, says Kyle Arendsen at Squire Patton.

  • Risks Of Rejecting Hotel Mgmt. Agreements Via Bankruptcy

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    In recent years, hotel owners have paid a high price when they attempted to use bankruptcy proceedings to prematurely terminate their hotel management agreements, highlighting that other options may be preferable, say attorneys at Jenner & Block.

  • NC Rulings Show Bankruptcy Isn't Only For Insolvent Debtors

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    Two recent rulings from a North Carolina bankruptcy court show that lack of financial distress is not a requirement for bankruptcy protection, particularly in the Fourth Circuit, but these types of cases can still be dismissed for other reasons, say Stuart Gordon and Alexandria Vath at Rivkin Radler.

  • Cannabis Ruling Lights Path For Bankruptcy Protection

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    A recent Massachusetts bankruptcy appellate court ruling in Blumsack v. Harrington leaves the door open for those employed in the cannabis industry to seek bankruptcy relief where certain conditions are met, but rescheduling marijuana as a Schedule III drug may complicate matters, say Jane Haviland and Kathryn Droumbakis at Mintz.

  • What Bankruptcy Deadline Appeal May Mean For Claimants

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    If the Third Circuit reverses a recent appeal made in In re: Promise Healthcare, litigation claimants within the circuit will not be able to rely on the proof of claim process to preserve the claim — but if the court affirms, the U.S. Supreme Court may need to step in to resolve the circuit split on this issue, say attorneys at DLA Piper.

  • Conn. Bankruptcy Ruling Furthers Limitation Extension Split

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    A recent Connecticut bankruptcy court decision further solidifies a split of authority on whether Bankruptcy Rule 9006(b) may be used to extend the limitations period, meaning practitioners seeking to extend should serve the motion on all applicable parties and, where possible, rely on the doctrine of equitable tolling, says Shane Ramsey at Nelson Mullins.

  • A 5th Circ. Lesson On Preserving Indemnification Rights

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    The Fifth Circuit's recent decision in Raymond James & Associates v. Jalbert offers an important lesson for creditors and parties to indemnification agreements: If a debtor has indemnified a creditor, the creditor should consider participating in the bankruptcy case to avoid being deemed to have forfeited its indemnification rights, say Dania Slim and Alana Lyman at Pillsbury.