Introduction -
On March 31, 2025, Judge Christopher Lopez of the U.S. Bankruptcy Court for the Southern District of Texas denied confirmation of the prepackaged Chapter 11 plan of Johnson & Johnson (“J&J”) affiliate Red...more
Introduction & Key Takeaways - The year 2024 ended with some major legal fireworks, as two important courts issued contrasting New Year’s Eve decisions on the validity of “uptier” liability management transactions that have...more
Until recently, two of the most important cases interpreting the Bankruptcy Code’s “safe harbor” provisions appeared to be in potential tension. First, in the U.S. Supreme Court’s 2018 Merit Management decision, the Supreme...more
10/1/2024
/ Bankruptcy Code ,
Chapter 11 ,
Financial Institutions ,
Financial Services Industry ,
Financial Transactions ,
Liquidation ,
Parent Corporation ,
Recapitalization ,
Safe Harbors ,
Securities ,
Trustees
On September 10, 2024, the U.S. Court of Appeals for the Third Circuit held in In re The Hertz Corporation that unsecured creditors of a solvent debtor are entitled to receive the contractual rate of interest, rather than...more
Three years have passed since the COVID-19 pandemic reached the United States and its effects are still being felt today. Even though lockdown measures have largely disappeared and many workers have returned to the office,...more
8/17/2023
/ Bankruptcy Code ,
Bankruptcy Court ,
Chapter 11 ,
Commercial Bankruptcy ,
Creditors ,
Debtors ,
Executory Contracts ,
Financial Distress ,
Office Space ,
Remote Working ,
Restructuring ,
Section 365
In a ruling issued just yesterday, MOAC Mall Holdings LLC v. Transform Holdco LLC et al., 598 U.S. ----, 2023 WL 2992693 (2023) (“MOAC”), the United States Supreme Court (the “Supreme Court”) held that Bankruptcy Code section...more
4/21/2023
/ 363 Sales ,
Bankruptcy Code ,
Bankruptcy Court ,
Chapter 11 ,
Commercial Bankruptcy ,
Debtors ,
Jurisdiction ,
MOAC Mall Holdings LLC v Transform Holdco LLC ,
Mootness ,
Sale of Assets ,
SCOTUS ,
Sears ,
Section 363
As many parties expected, on March 17, 2023 SVB Financial Group (“SVB Financial” or the “Debtor”) the holding company for Silicon Valley Bank, commenced a case under chapter 11 of the United States Bankruptcy Code (the...more
3/22/2023
/ Bankruptcy Code ,
Banks ,
Chapter 11 ,
Commercial Bankruptcy ,
Deposit Accounts ,
Depository Institutions ,
FDIC ,
Financial Institutions ,
Financial Services Industry ,
Insolvency ,
Receivership ,
Silicon Valley
Executive Summary:
On January 30, 2023, the U.S. Court of Appeals for the Third Circuit (the “Court”) issued an opinion in In re LTL Management, LLC, No. 22-2003, 2023 WL 1098189, at *1 (3d Cir. Jan. 30, 2023) (“LTL...more
2/10/2023
/ Bankruptcy Court ,
Chapter 11 ,
Commercial Bankruptcy ,
Corporate Liability ,
Debt ,
Financial Distress ,
Good Faith ,
Johnson & Johnson ,
Mass Tort Litigation ,
Pharmaceutical Industry ,
Popular
On December 22, 2021, Judge Mary Walrath of the Bankruptcy Court for the District of Delaware held in In re The Hertz Corp. that redemption premiums may potentially qualify as unmatured interest, and that, to the extent that...more
1/14/2022
/ Bankruptcy Court ,
Chapter 11 ,
Commercial Bankruptcy ,
Creditors ,
Debtors ,
Hertz ,
Liquidation ,
Motion to Dismiss ,
Post-Petition Interest ,
Premiums ,
Reorganizations ,
Unsecured Debt ,
Wells Fargo
On August 11, 2020, the United States Court of Appeals for the Second Circuit affirmed lower court decisions rejecting Lehman Brothers Special Financing Inc.’s (“LBSF”) attempt to recover nearly $1 billion in payments to...more
On December 19, 2019, the United States Court of Appeals for the Second Circuit (the “Second Circuit”) affirmed a ruling of the United States District Court for the Southern District of New York (the “District Court”)...more
1/8/2020
/ Acquisitions ,
Appeals ,
Bankruptcy Code ,
Chapter 11 ,
Clearing Agencies ,
Commercial Bankruptcy ,
Contract Terms ,
Creditors ,
Debt Restructuring ,
Financial Institutions ,
Fraudulent Conveyance ,
Intermediaries ,
Leveraged Buyout ,
Motion to Dismiss ,
Safe Harbors ,
Section 546(e) ,
Securities Transactions ,
Shareholders ,
Unsecured Debt
On August 9, 2019, in a unanimous decision (written by a former bankruptcy judge), the Eighth Circuit Court of Appeals affirmed the confirmation of the Peabody Energy Chapter 11 plan (“Plan”) with a prominent backstopped...more
9/11/2019
/ Adversary Proceedings ,
Appeals ,
Backstop Agreements ,
Bankruptcy Code ,
Bankruptcy Court ,
Chapter 11 ,
Coal Industry ,
Commercial Bankruptcy ,
Debt Restructuring ,
Debtors ,
Energy Sector ,
Equitable Mootness ,
Good Faith ,
Judgment on the Merits ,
Offerings ,
Peabody Energy ,
Preferred Shares ,
Private Placements ,
Pro Rata Allocation Rule ,
Reorganizations ,
Sales of Securities ,
Secured Debt ,
Securities Regulation ,
Unsecured Debt
On March 18, 2019, Judge Stuart M. Bernstein of the United States Bankruptcy Court for the Southern District of New York issued a decision enforcing a mortgage lender’s claim for a prepayment premium (a/k/a make-whole or...more
3/28/2019
/ Acceleration ,
Bankruptcy Court ,
Chapter 11 ,
Commercial Bankruptcy ,
Consumer Financial Products ,
Default ,
Loan Agreements ,
Make-Whole Premium ,
Mortgage Lenders ,
Mortgages ,
Prepayments
Although almost eight years have lapsed since the chapter 11 cases of Tulsa, Oklahoma-based SemCrude L.P. were confirmed, many of the issues at the forefront of those cases are re-emerging in light of the recent uptick in oil...more
10/14/2015
/ Article 9 ,
Chapter 11 ,
Commercial Bankruptcy ,
Commodities ,
Corporate Restructuring ,
Energy Sector ,
Lenders ,
Liens ,
Mineral Leases ,
Mineral Rights ,
Oil & Gas ,
Petroleum Refining ,
Producers ,
Secured Debt
On May 4, 2015, a unanimous United States Supreme Court in Bullard v. Blue Hills, 135 S. Ct. 1686 (2015), resolved a long-standing circuit court split by holding that a bankruptcy court’s order denying confirmation of a...more