Large Cap
-
September 12, 2024
Steward Health Care CEO Faces Contempt For No-Show
A Senate committee said it would vote next week to hold now-bankrupt Steward Health Care CEO Dr. Ralph de la Torre in contempt after he failed to comply Thursday with a subpoena ordering him to testify at a hearing.
-
September 12, 2024
Feds Eye Nixing Girardi's Ill. Case After Calif. Theft Conviction
The federal government might drop its criminal charges in Illinois against disbarred attorney Tom Girardi following his recent conviction in California on similar charges of stealing millions from clients, a prosecutor indicated Thursday during a status hearing in the Prairie State matter.
-
September 12, 2024
Navient Agrees To Pay $120M To End CFPB Student Loan Case
Navient Corp. would be barred from servicing federal student loans and required to pay $120 million to settle allegations related to its student lending practices under a proposed settlement the Consumer Financial Protection Bureau announced Thursday.
-
September 11, 2024
Litigation Spending To Rise As Cases Grow More Aggressive
A substantial number of large companies are expecting to increase their litigation spending by double digits next year in the face of more complex and hard-fought cases — and they are more open to bringing in new legal talent to navigate the matters, according to a report released Thursday.
-
September 11, 2024
Hertz Noteholders Entitled To $270M Interest, 3rd Circ. Rules
Unsecured noteholders from Hertz's bankruptcy are entitled to roughly $270 million in interest as a so-called make-whole payment, a Third Circuit panel decided in a split ruling overturning a bankruptcy court opinion that said it was disallowed under the Chapter 11 code.
-
September 11, 2024
Star Witness In Bankman-Fried Trial Seeks No Prison Time
Former FTX insider Caroline Ellison urged a Manhattan federal judge not to sentence her to prison for her part in the crypto exchange's massive fraud scheme, citing her remorse and the "devastating" trial testimony she gave against onetime romantic partner and company founder Sam Bankman-Fried.
-
September 11, 2024
TD Bank To Pay $28M Over Consumer Reporting Failings
The Consumer Financial Protection Bureau hit TD Bank with a $20 million fine on Wednesday for its failures over inaccurate consumer credit reports and ordered it to pay nearly $8 million to customers, four years after the regulator imposed a $122 million fine against the bank over illegal overdraft fees.
-
September 10, 2024
Ex-McElroy Deutsch CFO's Ch. 11 Case Nixed As 'Bad Faith'
McElroy Deutsch Mulvaney & Carpenter LLP convinced a New Jersey bankruptcy judge to throw out the Chapter 11 filing of its former chief financial officer, who is behind bars for stealing over $1 million from the firm, with the judge finding Tuesday that the petition was brought in "bad faith" to stall related state litigation.
-
September 10, 2024
Will Tom Girardi's Age Impact His Sentence?
Disbarred attorney Tom Girardi's age and mental decline did not help him avoid conviction last month on charges that he stole millions in client funds, but it's an open question how much these factors will affect his sentencing, set for December.
-
September 09, 2024
FTX To Pay $14M To Access $600M Robinhood Share Cashout
Defunct cryptocurrency exchange FTX Trading Ltd. has struck a $14 million deal that will let it access more than $600 million of cash and liquidated shares in Robinhood Markets Inc., in a settlement agreement with Sam Bankman-Fried-founded Emergent Fidelity Technologies Ltd.
-
September 09, 2024
JC Penney Ch. 11 Sale Not Undervalued, Judge Says
A Texas bankruptcy judge on Monday shot down a bondholder's motion contesting the value of J.C. Penney's bankruptcy sale and its distribution to creditors, rejecting the claim that the sale of the retailer's real estate assets was significantly undervalued.
-
September 09, 2024
Meet The Attorneys In The Big Lots Ch. 11
Big Lots, a discount home goods retail chain that entered bankruptcy Monday with $556 million in secured debt, has assembled a team of lawyers from Morris Nichols Arsht & Tunnell LLP and Davis Polk & Wardwell LLP to assist with its plans to shutter over 300 stores and sell the remaining business.
-
September 09, 2024
Red Lobster Plan Confirmed, Big Lots Leads New Ch. 11s
A string of new Chapter 11 bankruptcies were recently launched in Delaware, including a case from national discount home goods retailer Big Lots, which plans to pursue a going-concern sale. Meanwhile, seafood dining chain Red Lobster is on track to hand over the reins to a new group of owners, led by a secured lender, after the debtor secured confirmation of its Chapter 11 plan.
-
September 09, 2024
Fisker Can Take Votes On Ch. 11 Wind Down Plan, Judge Says
A Delaware bankruptcy judge on Monday cleared electric-car maker Fisker Inc. to send its Chapter 11 liquidation plan out to creditors for voting, shortly after the judge approved a settlement involving Fisker and an Austrian affiliate.
-
September 09, 2024
Conn. Diocese Proposes $30M Plan For Abuse Claimants
The Roman Catholic Diocese of Norwich, Connecticut, has proposed a Chapter 11 reorganization plan, claiming it would provide better and quicker compensation to sex abuse claimants than the plan proposed by the unsecured creditors committee.
-
September 10, 2024
Most Young Lawyers Say Debt Alters Their Career Plans
A recent student debt study by the American Bar Association Young Lawyers Division has found that student debt affects young attorneys in many ways — including changing their career plans.
-
September 09, 2024
Automotive Co. Wheel Pros Hits Ch. 11 With Over $1B In Debt
Clearlake Capital-backed automotive wheel company Wheel Pros LLC has filed for Chapter 11 protection in Delaware bankruptcy court with $1.746 billion in debt and a reorganization plan to hand control of the company to senior lenders.
-
September 09, 2024
Bargain Retailer Big Lots Hits Ch. 11 With Sale In Sights
Discount retail chain Big Lots filed for Chapter 11 protection Monday in Delaware with $556 million of secured debt and plans to shutter more than 300 stores while it works to complete a $620 million deal to sell the rest of its business as a going concern.
-
September 06, 2024
SmileDirect's DIP Lender Wants Ch. 7 Suit Funding Bid Axed
A company formed by the founders of defunct teledentistry group SmileDirectClub has said a Chapter 7 trustee can't usurp liens it received on SmileDirectClub's assets under a debtor-in-possession loan, urging a Houston bankruptcy judge to reject a request from the debtor's Chapter 7 trustee to use proceeds from litigation against company insiders to pay legal fees.
-
September 06, 2024
Ch. 11 Check-In: Bally Parent's Plan In A Run For Home Plate
The parent company of Bally Sports-branded regional sports networks is working its way toward a Chapter 11 plan that will keep its broadcast agreements with more than half of the professional sports teams that play in the National Hockey League, National Basketball Association and Major League Baseball, but finality is far from certain in the 18-month old cases.
-
September 06, 2024
Property Plays: Faropoint, EPA, Lendlease
Property Plays is a weekly roundup of the latest loans, leases, sales and projects around the country. Send your tips — all confidential — to realestate@law360.com.
-
September 06, 2024
Investment Co. Appeals Sanction In Highland Ch. 11
An alternative investment company has asked a Texas federal court to overturn a sanctions order it received in defunct hedge fund Highland Capital's Chapter 11 case after the bankruptcy court concluded that it filed a claim in bad faith.
-
September 06, 2024
Celsius' Corporate Creditor Deal Too Late, US Trustee Says
The U.S. Trustee's Office has urged a New York bankruptcy judge to reject a proposed settlement in which Celsius Network would make distributions to its former corporate customers, saying the debtor already consummated a Chapter 11 plan and is therefore no longer able to amend the allocation of funds.
-
September 06, 2024
Cleveland-Cliffs Faces Trial Over Mining Co.'s Antitrust Claims
A Delaware bankruptcy court has partially allowed claims accusing steelmaking giant Cleveland-Cliffs of engaging in anticompetitive behavior that harmed a mining venture's efforts to complete an iron mine and ore plant in northern Minnesota to go to trial by a jury in federal court.
-
September 06, 2024
Steptoe Adds Co-Leader To Restructuring & Insolvency Group
Steptoe LLP has expanded its transactions and tax practice by hiring a New York-based partner as a co-leader of the firm's insolvency and restructuring team.