News & Analysis as of

Fraud Chapter 11 Commercial Bankruptcy

Fraud is the making of false representations or engaging in deceptive behavior in order to unlawfully secure financial or personal gain. 
Seward & Kissel LLP

Watching the Watchers, Celebrity Status, and Harvester of Sorrow

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Weight Watchers files bankruptcy after growth in GLP-1 drugs | Bloomberg via Yahoo! Finance - Having rebranded as WW International in 2018 and acquired Sequence, a telehealth company, in 2023, the 62-year-old health and...more

Ward and Smith, P.A.

Entitled to Stay Relief? Prove it.

Ward and Smith, P.A. on

For example, you make a commercial real estate loan and record your deed of trust. The borrower pays you for a time but then defaults.  You tried loan forbearance and modification, but it was unsuccessful. The borrower falls...more

Patterson Belknap Webb & Tyler LLP

What To Do When You Expect a Debtor Has Committed Bankruptcy Fraud

The U.S. bankruptcy system is generally an efficient mechanism for companies and individuals seeking to restructure their debts and obtain a fresh start. However, the effectiveness of the bankruptcy system relies on integrity...more

Seward & Kissel LLP

Vodka on the Rocks, Bon Voyage, and Hard to Contain

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Vodka maker Stoli Group USA files for chapter 11 bankruptcy | CBS News - Stoli Group’s US-based distributor unit filed for bankruptcy protection this week in the Northern District of Texas....more

Pillsbury Winthrop Shaw Pittman LLP

SCOTUS Grants Insurers “Party in Interest” Standing in Chapter 11 Cases

In a rebuke of a common law doctrine that denied insurer standing in chapter 11, the U.S. Supreme Court ruled unanimously that insurers with financial responsibility for claims asserted in bankruptcy are parties in interest...more

Seward & Kissel LLP

Put Me in Coach, Token Settlement, Insurance Policy, and Parting Seas

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Bus Carrier Coach USA Goes Bankrupt After Ridership Drops | Bloomberg - Bus carrier and owner of the Megabus brand and commuter bus lines connecting New York and New Jersey, Coach USA filed for Chapter 11 bankruptcy in...more

Seward & Kissel LLP

99 Problems, Putting in Work, Sacramento Bee, Same Sad Story, and Unappealing Prospects

Seward & Kissel LLP on

Retailer 99 Cents Only Files for Bankruptcy, Plans to Shut Down | Reuters - Budget retailer 99 Cents Only filed for Chapter 11 bankruptcy protection in Wilmington, Delaware, and stated that it plans to shut down all of its...more

Lathrop GPM

Eleventh Circuit Holds Franchisor’s Justified Threat of Criminal Prosecution Does Not Justify Setting Aside Settlement Agreement...

Lathrop GPM on

The Eleventh Circuit Court of Appeals recently upheld a settlement agreement between a franchisor and former franchisee that the franchisee alleged was obtained under the threat of criminal prosecution. Sewalk v. Valpak...more

Kaufman & Canoles

K&C Sports & Entertainment Law Weekly Roundup - January 2024 #2

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A Florida State assistant coach has been suspended for the first three games of the 2024 season for violating recruiting rules by connecting a potential transfer with a representative from an NIL collective during an official...more

Spilman Thomas & Battle, PLLC

Promissory Notes - Banking & Finance Insights: V 3, Issue 5, May 2023

Survey Finds Small-Business Lending Fraud on Rise - “Lending fraud with small and midsize businesses has increased significantly over the last 12 months, and many financial institutions expect it to get worse, according to...more

Seward & Kissel LLP

Not So Silver Lining, Weird Science, F is for Fraud, and Alex Jones Under the Microscope

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Below is our initial take on recent bankruptcy-related developments: Silvergate reported a $1 billion loss for the fourth quarter and said it is unable to meet an extended March 16 deadline for submitting its annual...more

Jenner & Block

Compilation of Recent Developments in Bankruptcy Law - January 2023

Jenner & Block on

1. AUTOMATIC STAY - 1.1 Covered Activities - 1.1.a Court declines to enjoin third party claims against the debtor’s jointly liable parent corporation. The debtor manufactured earplugs for many years. A major...more

Jenner & Block

Recent Developments in Bankruptcy Law, January 2023

Jenner & Block on

1. AUTOMATIC STAY - 1.1 Covered Activities - 1.1.a Court declines to enjoin third party claims against the debtor’s jointly liable parent corporation. The debtor manufactured earplugs for many years. A major multinational...more

Patterson Belknap Webb & Tyler LLP

Substantial Contribution: A New Decision from the Third Circuit

It’s often hard to persuade a bankruptcy court to grant a motion for substantial contribution. Any attorney thinking about making a motion should first ask herself two questions. First, has my work benefitted both my client...more

Eversheds Sutherland (US) LLP

FTX files for Chapter 11 bankruptcy

On November 11, 2022, FTX, the world’s third-largest cryptocurrency exchange, filed for Chapter 11 bankruptcy protection in the United States. Reports suggest that the exchange might have a shortfall of as much as US$8...more

Patterson Belknap Webb & Tyler LLP

Crypto Company FTX Files Massive Bankruptcy in Delaware

Another domino has fallen.  Earlier this year, we wrote about the challenges facing the crypto industry that resulted in the bankruptcy filings of Three Arrows Capital, Celsius Network, and Voyager Digital. We noted that...more

Dorsey & Whitney LLP

Borrowers and Banks Beware: The New Year Brings the Nation’s First False Claims Act Settlement for Paycheck Protection Program...

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On January 12, 2021, the Eastern District of California entered into a civil settlement with a Paycheck Protection Program (“PPP”) borrower and its CEO to resolve allegations of fraud. The settlement stemmed from a $350,000...more

Tucker Arensberg, P.C.

Informal but Actual Notice of Bankruptcy: What Difference Does It Make?

On January 3, 2021, in In re Ditech Holding Corporation, Case No. 19-10412 (JLG), an unpublished opinion, Bankruptcy Judge James L. Garrity, Jr., discussed an important distinction for creditors of a non-individual chapter 11...more

Robins Kaplan LLP

Financial Daily Dose 8.4.2020 | Top Story: Twitter to Pay FTC Up to $250 Over Privacy Violations

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Twitter will pay the Federal Trade Commission up to $250 million to “resolve new charges . . . that the social media giant breached a 2011 consent decree by using data provided for security purposes to target users with...more

Lowenstein Sandler LLP

Avoid Claims Of Bankruptcy Fraud Amid Creditor Scrutiny

Lowenstein Sandler LLP on

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

Spilman Thomas & Battle, PLLC

Bankruptcy Chatter and COVID-19: Bankruptcy & Creditors' Rights Insights, Issue 1

Welcome to our first edition of Bankruptcy Chatter - our e-newsletter devoted to bankruptcy and creditors' rights. Our goal is to bring you the most up-to-date information, especially given this uncertain time during the...more

Perkins Coie

Regulatory Fines Dischargeable in Bankruptcy

Perkins Coie on

Debtors facing regulatory fines and penalties want to shed them in bankruptcy and emerge without paying them. With certain exceptions, the Bankruptcy Code provides for the discharge of most debts that arise before a plan is...more

Hogan Lovells

Management of large liabilities of health care companies through bankruptcy

Hogan Lovells on

Two recent decisions involving health care companies demonstrate how reorganization under Chapter 11 of the Bankruptcy Code can be used to manage large liabilities. ...more

Herbert Smith Freehills Kramer

Debt Dialogue: July 2017 - A New Millennium: Bankruptcy Courts May Lack Constitutional Authority to Approve Nonconsensual Plan...

Third-party releases have become a common and oft-litigated issue in connection with confirmation of a Chapter 11 plan. This is especially so if the party being released is the target of claims arising out of questionable...more

Cole Schotz

Affirmed: New York’s Application of the In Pari Delicto Doctrine Bars Faithless Servant Claim and Bankruptcy Insider Exception

Cole Schotz on

A recent decision of the United States District Court for the Southern District of New York (the “District Court”), affirming a decision of the United States Bankruptcy Court for the Southern District of New York (the...more

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