Seasoned global insolvency professionals are aware that the Bankruptcy Code is the governing law of Chapter 11 cases. The US Bankruptcy Code contains the phrase "unless applicable non-bankruptcy law provides otherwise" in...more
In Chapter 11 cases, one of a vendor’s best shots at getting paid its pre-petition debt is being designated as a “critical vendor”....more
The fall of Enron Texas is the second largest US state (after Alaska). It is an economic engine in the US, fuelled primarily by the oil and gas industry. When Houstonbased Enron Corporation filed its Chapter 11 case in the...more
David Conaway reports on a recent Chapter 11 plan of reorganization submitted by Purdue Pharma (Oxycontin) to resolve a mass tort claim.
The Supreme Court of the United States (SCOTUS) is having difficulty swallowing the...more
10/13/2023
/ Bankruptcy Court ,
Chapter 11 ,
Commercial Bankruptcy ,
Creditors ,
Debtors ,
OxyContin ,
Pharmaceutical Industry ,
Purdue Pharma ,
Reorganizations ,
Third-Party Release Agrements ,
Willful Misconduct
Material Chapter 11 cases have morphed to the point that the outcome is often predetermined at the “first day” hearing. Unsecured creditors with material credit exposure should engage early to protect their interests and...more
On 5 July 2022, SAS AB and 13 affiliates filed for Chapter 11 protection in the Southern District of New York. Owned 44% by the Kingdoms of Denmark and Sweden, SAS encountered financial turbulence resulting from increased...more
10/14/2022
/ Airlines ,
Bankruptcy Code ,
Bankruptcy Court ,
Chapter 11 ,
Commercial Bankruptcy ,
Creditors ,
Debt Restructuring ,
Debtors ,
Insolvency ,
Lenders ,
Reorganizations
The world economy is experiencing the perfect storm of inflation, interest rate increases, supply chain disruption, and a potential global recession. These conditions exert pressure on trading partners who may have nowhere to...more
As a result of recent high profile Chapter 11 cases, such as Purdue Pharma and Johnson & Johnson, there has been great Congressional and media attention to controversial Chapter 11 practices. These include debtors’ forum- and...more
8/3/2022
/ Bankruptcy Court ,
Bankruptcy Reform ,
Chapter 11 ,
Commercial Bankruptcy ,
Corporate Counsel ,
Corporate Financing ,
Corporate Management ,
Corporate Officers ,
Corporate Restructuring ,
New Legislation ,
Proposed Legislation
WE WON. WE MADE NEW LAW -
In the Chapter 11 case of Beaulieu Group, LLC (carpet industry in Dalton, Georgia) in the U.S. Bankruptcy Court for the Northern District of Georgia, we defended Auriga Polymers Inc. (a...more
As a result of recent high profile Chapter 11 cases, such as Purdue Pharma and Johnson & Johnson, there has been great Congressional and media attention to controversial Chapter 11 practices. These include debtors’ forum and...more
David Conaway, Partner and Finance, Banking, Creditors’ Rights and Insolvency Regional Service Line Leader, reports on the world-wide reach of the US Chapter 11 'Automatic Stay."
Originally published in Eurofenix, Winter...more
In this first part of his article, David sets the parameters for understanding U.S. bankruptcy concepts…
According to the American Bankruptcy Institute, total commercial Chapter 11 filings in July 2021 decreased 62...more
Since its beginning in 1978, Chapter 11 has been the primary tool for financially distressed U.S. and foreign companies to efficiently restructure their balance sheets and business operations.
Successful Chapter 11 cases...more
According to the American Bankruptcy Institute, total commercial Chapter 11 filings in July 2021 decreased 62 percent from the previous year. Commercial Chapter 11 filings totaled 244 in July 2021, down from the July 2020...more
According to the American Bankruptcy Institute, 3,600 companies filed Chapter 11 in the first half of 2020. Chapter 11 filings for 2020 are on pace to eclipse any year since 2012. During the same period, businesses worldwide...more
COVID-19 has, and for the foreseeable future will, have an unprecedented adverse impact on the global economy and all companies’ business operations.
Governments and banking systems throughout the world have initiated...more
In assisting companies doing business with their customers and the supply chain, we have noted that companies increasingly propose to their customers incentives to purchase goods, often in the form of rebates and discounts....more
The “Small Business Reorganization Act of 2019” (SBRA) signed into law on August 23, 2019 contains two amendments to Chapter 11 preference laws, which are NOT limited to small business reorganizations. ...more
On February 25, 2019, the U.S. Court of Appeals (2nd Circuit) ruled that the trustee in the Chapter 11 case for Madoff Investment Securities, LLC could use the U.S. Bankruptcy Code to recover payments made between foreign...more
An April 12, 2019 Delaware Bankruptcy Court decision in the Sports Authority Chapter 11 case (In re TSAWD Holdings, Inc.) is an important reminder for sellers of goods on properly obtaining security in the goods they sell, to...more
David Conaway reports on a ruling by the English High Court in late 2018 that impacted the US Chapter 11 proceedings in Delaware.
Originally published in Eurofenix, Spring 2019.
...more
4/10/2019
/ 363 Sales ,
Chapter 11 ,
Cross-Border Insolvency Regulations (CBIR) ,
Debt Restructuring ,
Foreign Jurisdictions ,
Foreign Subsidiaries ,
Insolvency ,
Member State ,
The Model Law ,
UK ,
UNCITRAL
David Conaway advises not to get stuck in Chapter 11 when a sales contract is deemed to be an executory contract.
Originally published in Eurofenix, Autumn 2018.
...more
A June 2018 Bankruptcy Court decision in the Southern District of New York (SDNY) held that foreign companies with no presence in the U.S. were subject to default judgments....more
10/25/2018
/ Avoidance ,
Bankruptcy Code ,
Chapter 11 ,
Commercial Bankruptcy ,
Default Judgment ,
Federal Rules of Civil Procedure ,
Foreign Corporations ,
Fraudulent Transfers ,
Hague Convention ,
Insolvency ,
Jurisdiction ,
Summons
Companies sell goods or provide services to customers usually on two bases: (1) purchase orders and invoices with references to terms and conditions, or (2) a written sales or supply agreement....more
Innovation and creativity are essential for competitive advantage and success in a global economy. The attendant intellectual property assets are the product of substantial capital investment, and companies should carefully...more
4/3/2018
/ 363 Sales ,
Appeals ,
Chapter 11 ,
Commercial Bankruptcy ,
Intellectual Property Protection ,
IP License ,
License Agreements ,
Popular ,
Royalties ,
Split of Authority ,
Trademarks