Education & Information About Restructuring & Insolvency

Third-Party Litigation Funding and Issues It Creates In Bankruptcy Cases – This Ain’t Your Father’s Contingency Fee Arrangement!

December 4, 2017

Third party litigation funding (“TPLF“) is, beyond a doubt, here to stay. In bankruptcy cases, TPLF arises in a number of contexts. First is the TPLF as a pre-petition secured or unsecured creditor—i.e. the TPLF source funded...

Read Full Article

PUBLIC NOTICE OF ARTICLE 9 SALE: Stock in Nelbud Services Group, Inc.

November 30, 2017

DISPOSITION OF COLLATERAL UNDER UCC ARTICLE 9 – STOCK IN NELBUD SERVICES GROUP, INC. 1. Background: Pursuant to (i) the Credit Agreement dated December 2, 2015 (as amended or otherwise modified from time to time, “Credit...

Read Full Article

Being Proactive: Steps a Supplier Can Take in the Face of Potential Customer Bankruptcy

November 27, 2017

  By: Erin N. Brady & James M. Gross The impending bankruptcy of a retailer is one of the most stressful experiences that a supplier may face. The supplier is confronted not only with the potential loss of a major customer, but also with the...

Read Full Article


November 26, 2017

KIRKLAND & ELLIS AND PACHULSKI STANG ZIEHL & JONES ANNOUNCE THE CHAPTER 11 AUCTION OF GST AUTOLEATHER, INC., et al.   1. Background: The Debtors in these chapter 11 cases, along with the last four digits of each Debtor’s federal...

Read Full Article

NAFER 2017 Annual Conference: The Biggest and Best So Far!

November 15, 2017

David Dantzler, Marshall Gandy, Travis Correll, and Greg Hays Time it was oh what a time it was, it was!2 A time of non-innocence and confidences, to be sure, for the Keynote Presentation of the NAFER 2017 Annual Conference featured a convicted Ponzi...

Read Full Article

Fraudulent Transfer Remedies – How Much is Enough?

November 12, 2017

One of the most powerful tools in the Bankruptcy Code available to bankruptcy trustees (or other estate representatives) to maximize the recovery of creditors is the power to avoid and recover fraudulent transfers of a debtor’s property. ...

Read Full Article
Commercial Bankruptcy Investors Commercial Bankruptcy Alternatives Commercial Bankruptcy Litigation

Best Bankruptcy Blogs

FDIC Administrative Law Judges Likely Unconstitutional

September 11, 2017

An appeals court holding, and pending U.S. Supreme Court case, could up-end FDIC enforcement procedures.  One of the interesting recent themes in Game of Thrones is the basis for power.  In these United States, the power of judges originally comes from the United States Constitution.  And, it turns out; if you don’t follow the rules of the Constitution your Court might not actually have any power. Credit: Game of Thrones....

Mette Kurth: 2nd Circuit Reverses Course on Cramdown Interest Rates

December 12, 2017

On her The Bottom Line 11 blog, Fox partner Mette Kurth examined a recent U.S. Court of Appeals for the Second Circuit decision in In re MPM Silicones (the Momentive case). The court followed the lead of the Sixth Circuit in establishing a two-step approach to setting the cramdown interest rate on debtor payments for secured claims: Copyright: bbourdages / 123RF Stock PhotoA simple proposition—that secured lenders are...

Second Circuit Decision in Momentive: Half a Loaf is Better Than None, But Even the American HomePatient Approach Does Not Conform to the Fair and Equitable Standard

October 21, 2017

On Friday, the Second Circuit panel that heard the senior secured lenders’ appeal in MPM Silicones issued its opinion affirming the lower courts’ holdings in all but one respect, that being the interest rate applicable to a cramdown / cram-up of the senior secured claims under 11 U.S.C. § 1129(b)(2)(A)(I).  The court held that the lower courts’ application of the Till formula had been incorrect as a matter of...

Recent Developments in Practice: New York, Delaware and Singapore

June 2, 2017

This piece was originally published by the International Committee of the American Bankruptcy Institute (ABI).  For more information about the ABI, see Developments in Practice: New York, Delaware and SingaporeTally M. WienerLaw Offices of Tally M. Wiener, Esq.; New YorkDate Created: Fri, 05/26/2017 - 11:17 2 Weeks before Hanjin Shipping sought protection from its creditors in Korea, I got an unexpected call:...

Second Circuit Allows Efficient Market Interest Rates For Cramdown Loans

October 23, 2017

The United States Second Circuit has issued its ruling in the Momentive Performance Materials cases resolving three separate appeals by different groups of creditors of Judge Bricetti’s judgment in the United States District Court of the Southern District of New York, which affirmed Judge Drain’s confirmation of Momentive’s plan of reorganization. Significantly, the Second Circuit ruled that the Bankruptcy Court had erred...

Judge Silverstein’s Opinion in Millennium Lab Holdings Threatens to Bring Clarity and Common Sense to Debate Regarding Constitutional Power of Bankruptcy Courts

November 6, 2017

In December 2015, U.S. Bankruptcy Court Judge Laurie Silverstein of the District of Delaware confirmed a plan of reorganization in the Millennium Lab Holdings chapter 11 case that included the non-consensual release of certain claims against various non-debtor third parties.  Earlier this year, ruling on an appeal from that decision, U.S. District Court Judge Leonard Stark remanded the case to Judge Silverstein and directed her to consider...

Second Circuit Overturns Ruling on Cram-Down Interest Rates in Momentive

October 23, 2017

    Adopts Sixth Circuit Test for Selecting Interest Rate Affirms District and Bankruptcy Court Determinations Regarding Senior Debt Status and Disallowing Make-Whole Payments Rejects Debtor’s Equitable Mootness Argument On October 20, 2017, the Second Circuit issued its long awaited ruling[1] on several appeals from a U.S. District Court (Bricetti, J.) determination affirming the United States Bankruptcy Court (Drain, J.) in the...

Aurelius v. The Control Board: What is Going On? (Part II)

December 8, 2017

First, thanks to all of you who emailed and commented with possible answers as to what the Aurelius strategy in challenging the constitutionality of the Puerto Rican Control Board might be (the subject of Part I).  My favorite answer was the simple: “Create Chaos”.  That was followed by another answer: “Once the sheep start panicking, they become easy pickings for the wolves.”  I’m not sure that I...

Delaware Organizational Meeting – Charming Charlie Holdings, Inc.

December 13, 2017

Upcoming Committee Formation Meeting:  Tuesday, December 19, 2017 10:00 AM Case Name: 17-12906 (CSS) Location: Sheraton Suites, 422 Delaware Avenue, Wilmington, DE 19801 Notice of Formation Meeting for Official Committee of Unsecured Creditors can be found here. See the petition for relief. Contact Norman L. Pernick and Nicholas J. Brannick for more information.