In In re Gol Linhas Aéreas Inteligentes S.A. Judge Martin Glenn recently held that a “lockup” provision in certain settlement agreements was unenforceable under section 1125 of the Bankruptcy Code because settling creditors...more
On August 24, 2023, the U.S. Court of Appeals for the Second Circuit in Kirschner unanimously held that notes evidencing syndicated loans do not plausibly qualify as “securities” covered by state and federal securities laws...more
9/11/2023
/ Borrowers ,
Breach of Duty ,
Chapter 11 ,
Commercial Loans ,
Covenant of Good Faith and Fair Dealing ,
Debt Securities ,
Ernst & Young ,
Fiduciary Duty ,
Financial Institutions ,
Lenders ,
Multi-Factor Test ,
Rebuttable Presumptions ,
Reves v Ernst & Young ,
SCOTUS ,
Securities Regulation ,
State Law Claims ,
Syndicated Loans ,
Trustees
Much has been written about how to calculate the appropriate interest rate for the deferred cash payments a debtor may propose to pay to a rejecting secured creditor under a “cramdown” Chapter 11 plan to meet the “fair and...more
Social media continues to grow at an extraordinary pace. Companies regularly introduce new social media platforms to the marketplace and seek new ways to utilize such platforms to advance their businesses. At the same time,...more
8/18/2023
/ Brand ,
Chapter 11 ,
Commercial Bankruptcy ,
Corporate Branding ,
Facebook ,
Marketing ,
Multi-Factor Test ,
Online Platforms ,
Ownership Interest ,
Personal Brands ,
Social Media ,
Social Media Account Ownership ,
Social Networks
In a decision of first impression regarding whether certain digital assets are property of a bankrupt debtor’s estate (attached here), Chief Judge Martin Glenn of the United States Bankruptcy Court for the Southern District...more
A recent U.S. District Court for the District of Delaware opinion, In re TPC Grp. Inc., provided another instance of an uptiering transaction withstanding legal scrutiny and provides further support for the view that courts...more
8/17/2022
/ Appeals ,
Bankruptcy Court ,
Chapter 11 ,
Commercial Bankruptcy ,
Commercial Loans ,
Contract Terms ,
Debt Instruments ,
Legal Opinion ,
Lenders ,
Liens ,
Noteholders ,
Priority Debt ,
Senior Secured Debt ,
Waterfall Provision
Top 10 Questions About Subchapter V Reorganization -
Reorganization under Chapter 11 of the Bankruptcy Code offers powers and benefits that are simply not available in out-of-court restructurings. Chapter 11...more
4/28/2021
/ Bankruptcy Code ,
Chapter 11 ,
Commercial Bankruptcy ,
Coronavirus/COVID-19 ,
Creditors ,
Debt Restructuring ,
Debtors ,
Early Stage Companies ,
Emerging Growth Companies ,
Relief Measures ,
Reorganizations ,
Small Business ,
Small Business Reorganization Act of 2019 (SBRA) ,
Startups ,
Trustees
On November 17, 2016, in Delaware Trust Co. v. Energy Future Intermediate Holding Company LLC (In re Energy Future Holdings Corp.), Case No. 16-1351 (3d Cir. Nov. 17, 2016), the United States Court of Appeals for the Third...more