An influential appellate court has agreed to take up a bankruptcy involving the controversial "Texas two-step," potentially deciding the merger tactic's fate in future Chapter 11 cases. The Fourth Circuit agreed to hear a petition to dismiss the bankruptcy of Bestwall, a subsidiary of Koch Industries-owned Georgia-Pacific, created through a "Texas two-step" to resolve 60,000 lawsuits over asbestos exposure.
The appropriate remedy for the past disparity in bankruptcy fees between federal Bankruptcy Trustee and Administrator districts is simply to ensure all the courts are charging the same going forward, the Supreme Court ruled on June 14.
Highlights some of the in-depth analysis and insights from lawyers and other practice area experts from the nine LJN Newsletters titles over the first quarter of 2024.
If a foreign debtor doesn't reside in, have a domicile or place of business in, or have property in the U.S., can the foreign representative of the debtor utilize Chapter 15 to obtain discovery to use in the foreign proceeding?
A recent decision from Chief Judge Glenn of the Southern District of New York Bankruptcy Court provides clarity to creditors and debtors alike in cases where the parties' settlement negotiations include an agreement requiring a creditor to support the debtor's Chapter 11 plan.
The Southern District of New York affirmed a bankruptcy court's holding that the statutory cap on a landlord's damage claim "applies to [its] claim against a [Chapter 11] debtor-guarantor."
The court's decision, supported by a well-reasoned bankruptcy court decision, provides a helpful overview of the most recent law governing landlords' damage claims in bankruptcy cases.
One aspect of the dispute in interpreting clauses in an agreement from a financial point of view, and one with significant consequences, centered around the term indubitable equivalent value for a Class 5 creditor in the context of a debtor's fifth amended Chapter 11 plan and objection to confirmation filed by creditor. The U.S. Bankruptcy Court, Middle District of Florida, Jacksonville Division opined on that issue.
The U.S. Bankruptcy appellate panel for the Ninth Circuit addressed a matter of first impression: what happens when a debt that may be considered nondischargeable is later determined to be dischargeable, and more importantly, whether efforts to collect such a debt be exempt from penalties for violating the discharge injunction?
A rise in bankruptcies involving fraud and mass tort litigation is causing more bankruptcy lawyers to face scrutiny over their billing practices.
