The world — and particularly the U.S. economy — is navigating unprecedented and turbulent times. For bankruptcy professionals, it may feel as though we’ve fallen down Alice’s rabbit hole, where the rules we've long understood and accepted no longer apply. In this new reality, uncertainty defines both the global and American economic landscapes.
The Third Circuit, in a complicated five-year old case, avoided the merits of two groups of appeals from an order confirming the debtor’s reorganization “Plan.” In In re Boy Scouts of America (BSA), the majority used statutory mootness, while a concurring judge would have used equitable mootness to dodge the issue of nonconsensual third-party releases in the Plan and Confirmation Order.
A recent bankruptcy court decision has added its perspective to an increasingly divergent line of case law scrutinizing the enforceability of a debtor’s prepetition waiver of the automatic stay afforded to it by Section 362(a) of the Bankruptcy Code.
Consumer genetics company 23andMe’s bankruptcy in late March set off a scramble among consumers to delete their personal information held by the company, driven by fears of how an acquiring party might attempt to use or monetize their data.
The U.S. Court of Appeals for the Third Circuit has reinstated sanctions against Spector Gadon Rosen & Vinci for failing to fully disclose its fees in a Chapter 7 bankruptcy.
A person who was not a creditor of a bankruptcy estate was entitled to actual notice of an injunction that would bar the non-creditor from suing the debtors’ insurance carriers, a federal court has ruled.
The intersection of artificial intelligence and cryptocurrency was involved in a recent decision where the U.S. Bankruptcy Court for the District of Delaware dismissed claims against an alleged participant in a scheme that induced investors to fund over $30 million in an artificial intelligence company designed to generate revenue from enhanced cryptocurrency mining.
Bankruptcy courts typically scrutinize transactions that attempt to shift the jurisdiction or activities of a debtor, prior to filing for bankruptcy, on the basis that such actions may thwart creditor expectations or accomplish other improper objectives.
Bankruptcy filings with personal injury claims can pose complex challenges where self-insured retention obligations of the debtor under its insurance policies are unfulfilled as of the filing date.
Plaintiff attorneys are grappling with the fear of the rise of big companies utilizing bankruptcy court to skirt large final or anticipated judgments. The most recent and high-profile example is Johnson & Johnson’s alleged attempt to utilize this move in its talc bankruptcy litigation.
