News & Analysis as of

Department of Justice (DOJ) Chapter 11

Seward & Kissel LLP

Boxed Out, Viva Virginia, and Fisker 2, Electric Boogaloo

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Company's PO Box Allows it to File for Bankruptcy in Texas, Judge Rules | Reuters - On Monday, U.S. Bankruptcy Judge Christopher Lopez in Houston, Texas, ruled that pharmaceutical company Sorrento Therapeutics may continue...more

Seward & Kissel LLP

Shopping Spree, My Own Prison, Aggregate Supply, and Bad Form

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Latham, Jackson Walker Avoid Sanctions Over Bankruptcy Forum Shopping Dispute | Reuters - In a court hearing on Monday, U.S. Bankruptcy Judge Christopher Lopez in Houston ruled that law firms Latham & Watkins and Jackson...more

Seward & Kissel LLP

Air Sickness, Token Appeal, and Cooling Down

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Editor’s Note: Hat tip to the Creditors Rights Coalition for reaching out after last week’s blog to inform yours truly that the “judge shopping” concerns of creditor advocates extend beyond just the S.D. of Texas, and that a...more

Kerr Russell

U.S. Supreme Court to Address Permissibility of Non-Consensual Third-Party Releases in Chapter 11 Bankruptcy Plans

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As the calendar turns to autumn, the United States Supreme Court (“SCOTUS”) is commencing its new term and preparing to address a monumental issue that will impact chapter 11 law and the mass tort system: the permissibility...more

Holland & Hart LLP

Why Bankruptcy Is A Budding Alternative For Cannabis Cos.

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Bankruptcy can be a remarkable tool for rehabilitating a struggling business, preserving jobs and going-concern value, and liquidating the assets of an insolvent company. The drafters of this country's bankruptcy laws...more

Harris Beach PLLC

Syndicated Loans are Not Securities, Court Rules

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In a win for banks and private credit lenders, the U.S. Court of Appeals, Second Circuit recently ruled a $1.8 billion leveraged loan was not a security. The United States syndicated loan market had been anxiously...more

Morrison & Foerster LLP

Recent Second Circuit Decision Holds That Term Loans Are Not Securities in a Win for Participants in the Syndicated Loan Markets

In Kirschner, the Court of Appeals for the Second Circuit unanimously affirmed a district court order that held that notes evidencing term loans were not securities but rather “[l]oans issued by banks for commercial...more

Seward & Kissel LLP

CEL Block One? Bridaled Enthusiasm, Baby in a Corner, and Mellow Yellow

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Below is our initial take on recent bankruptcy-related developments: Alex Mashinsky, co-founder and former CEO of bankrupt crypto lender Celsius has pleaded not guilty to U.S. fraud charges. The indictment includes seven...more

Seward & Kissel LLP

Cooking up a Bankruptcy, Best Laid Plans in Celsius, DOJ Backs Off, Aearo Appeal, Bed (Blood) Bath

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Instant Brands, maker of Instant Pot and Pyrex, files for bankruptcy | CNN - Instant Brands, the parent company of many popular kitchen products, filed for Chapter 11 bankruptcy this week. Instant Brands produces Instant...more

Seward & Kissel LLP

Put Serta to Bed? More Genesis Mediation, DOJ Conundrum, and Bye Bye Baby?

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US mattress maker Serta Simmons receives Chapter 11 plan approval | Reuters - Serta Simmons Bedding’s recent Chapter 11 reorganization plan was recently approved by a U.S. bankruptcy court, supporting the company’s goal of...more

Skadden, Arps, Slate, Meagher & Flom LLP

Insights – April 2023 | Insights

This edition of Skadden’s quarterly Insights looks at the rising number of de-SPACed companies seeking Chapter 11 protection, the growth of a market designed to assume legacy liabilities, an effort to establish...more

Vinson & Elkins LLP

CFIUS Takes Notice of Crypto Company Bankruptcy Sale, Signaling Heightened CFIUS Attention to Bankruptcy-Related Transactions

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In a provocative demonstration that it scrutinizes all types of transactions, no matter their origin, the Committee on Foreign Investment in the United States (“CFIUS”) has reportedly been vetting the proposed $1 billion sale...more

Fox Rothschild LLP

The Circuit City Landmine (Siegel v. Fitzgerald): Supremes Declare Bankruptcy Fee Hike Under United States Trustee Program...

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While it is becoming increasingly rare for the Supreme Court to speak with a singular voice on virtually anything these days, bankruptcy provides a rare exception. On June 6, 2022, the Supreme Court unanimously held in...more

McDermott Will & Emery

International Legal Highlights - December 2021

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CROSS-PRACTICE TEAM RECOVERS $6 MILLION FROM BITCOIN THIEF IN SHORT ORDER - The Challenge: In the emerging cryptocurrency space, most investors store their assets in digital wallets, where—unlike traditional bank...more

Health Care Compliance Association (HCCA)

Ingram and Debitetto on Bankruptcy and Compliance Programs

There’s no guarantee that any company won’t end up in Chapter 11 or won’t acquire another company going through it. When either happens, there are serious implications for the compliance team. As Kasey Ingram, General...more

Fox Rothschild LLP

Circuit Split Over Constitutionality Of United States Trustee Fee Increases Picks Up More Steam

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The Snowball effect, the Domino effect, and even the Streisand effect all demonstrate the accretive impact of small changes. Though without a catchy metaphor, the tendency of Circuit splits to attract new and deviating...more

Fox Rothschild LLP

The Uncertain Future Of Cannabis Bankruptcies And The 2020 Elections

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As the pendulum of American politics has shifted once again, cannabis is back on the menu. The change in presidential administrations, along with sweeping approval by voters in those states where legalization of cannabis was...more

PilieroMazza PLLC

DOJ Announces Nation’s First Settlement of Civil Case for PPP Loan Fraud

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On January 12, 2021, the U.S. Department of Justice (DOJ) entered into a settlement with California-based SlideBelts, Inc. (SlideBelts) and its president and chief executive officer in what is advertised as the country’s...more

Fox Rothschild LLP

Retention Of Counsel By Trustee Is Not An Absolute Right In Some Chapter 11 Cases

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How can you be an effective trustee appointed in a chapter 11 case if you cannot retain counsel when the case first begins? Well one bankruptcy court in North Carolina explained that a trustee’s retention of counsel is not an...more

Robins Kaplan LLP

Financial Daily Dose 10.26.2020 | Top Story: Inspire Brands In Talks to Acquire Dunkin for Deal Worth $8.8 Billion

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PE-backed Inspire Brands is in negotiations to take over Dunkin’ Brands Group, the parent of both Dunkin’ and Baskin-Robbins, in a deal valued at nearly $9 billion. Inspire includes Buffalo Wild Wings and Jimmy John’s among...more

Patterson Belknap Webb & Tyler LLP

The NAACP Wants In On the Purdue Pharma Bankruptcy. Will the Court Allow It?

On Friday August 7th, the NAACP filed a motion to intervene in the chapter 11 bankruptcy cases of Purdue Pharma L.P. and its affiliated debtors (collectively, “Debtors”). The Motion argues that “[i]ntervention is warranted...more

Robins Kaplan LLP

Financial Daily Dose 6.24.2020 | Top Story: Top German Court Upholds Antitrust Ruling Against Facebook Over Illegal Data...

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Germany’s Federal Court of Justice upheld a decision by the country’s antitrust watchdog on Tuesday that “Facebook had abused its dominance in social media to illegally harvest data about its users”—a “major victory for...more

Lowenstein Sandler LLP

Avoid Claims Of Bankruptcy Fraud Amid Creditor Scrutiny

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In the weeks and months since COVID-19 effectively brought many sectors of the U.S. economy to a screeching halt, numerous major retailers, recreation and travel companies, grocery chains and restaurants have filed for...more

Robins Kaplan LLP

Financial Daily Dose 5.19.2020 | Top Story: US Markets Surge on Hopes for Covid-19 Vaccine

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Optimism over promising results for a coronavirus vaccine from Moderna helped drive stocks up on Monday after a rough go of it last week....more

Polsinelli

BitBlog Bi-Weekly Update - March 2020

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Strikeout for Bitcoin ETF -   Another ETF bites the dust. On February 26th the SEC rejected the application of NYSE Acre for the approval of an exchange traded fund sponsored by the New York firm of Wilshire Phoenix to...more

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