The Diocese of Milwaukee filed a petition for chapter 11
relief on January 4, 2011 after twenty years of dealing with sexual abuse
claims and an unfavorable ruling on its insurance coverage. In re Diocese of
Milwaukee , Case No. 11-20059 (Bankr. E.D. Wisc. 1/4/11). Milwaukee is the
Austin prides itself on being the Live Music Capital of
the World. While many musicians travel to Austin with stars in their eyes, the
reality is that it is difficult to earn a living in the music business, either
as an artist or an independent record label. For the past eighteen months
On this edition, David R. Kuney of Sidley Austin LLP discusses some of the key legal issues that arise in real estate Chapter 11 cases. He touches on how bankruptcy cases have changed over the years, developments in the new value exception to the absolute priority rule, the impact of several recent cases...
Los Angeles Dodgers have filed for Chapter 11 bankruptcy in an effort to buy some time to complete a television-rights deal and ward off creditors.
The Dodgers listed assets between $500 million and $1 billion and debt of as much as $500 million (although the front page of the petition shows liabilities...
The Chapter 11 filing of the Los Angeles Dodgers is a desperate move by Frank McCourt to try to maintain his ownership of the team. At least McCourt, whatever his shortcomings as a major league franchise owner, chose wisely in selecting bankruptcy lawyers. Partners Bruce Bennett and Martin Bienenstock...
Last week's Chapter 11 filing by NewPage Corporation , a company
with assets and liabilities in the billions of dollars, stands as a relative
rarity in the current restructuring environment. Running contrary to the " new
normal " in larger restructurings, NewPage filed for bankruptcy...
On this edition, Robert W. Stocker II and Peter J. Kulick of Dickinson Wright PLLC in Lansing, Mich. discuss key legal issues arising in gambling casino chapter 11 bankruptcy cases. They analyze factors contributing to the rise in such filings and unique issues that exist. Mr. Stocker and Mr. Kulick...
Salerno & Jordan Kroop
On November 1, 2011, Frank
McCourt (the ultimate owner of the storied Dodgers baseball team) and Major
League Baseball (" MLB ") announced a
deal in principle that would end an extraordinary battle royale in the Dodgers' Chapter 11 proceeding...
Kramer Levin Naftalis & Frankel, New York
In the more
than three decades since the enactment of title 11 of the United States Code
(the "Bankruptcy Code"), a number of the largest and most complex chapter 11
bankruptcies have involved companies facing significant...
J. Salerno & Jordan A. Kroop , Squire Sanders &
Dempsey LLP, Phoenix
Hon. Redfield T. Baum ,
U.S.B.C.-District of Arizona
Only eight professional sports teams have sought
bankruptcy protection since the U.S. Bankruptcy Code was enacted in 1978. Unlike sport team insolvencies...
by Thomas J. Salerno , Jordan A. Kroop and Hon. Redfield T. Baum
Like any operating business in
chapter 11, sports teams need working capital to maintain business as usual
during the course of a chapter 11 case. Outside of a sports context, a debtor
in possession typically obtains working...
Excerpt from 2011 Emerging Issues 6099
The filing of a chapter 11 bankruptcy petition automatically stays "the commencement or continuation, including the issuance or employment of process, of a judicial, administrative, or other action or proceeding against the debtor that was or could have...
Eastman Kodak filed for Chapter 11 bankruptcy protection Thursday morning in
the Southern District of New York. The company intends to continue business operations
during the restructuring, and the company has secured $950 million in financing
from Citigroup. Kodak has also hired...
Eastman Kodak Company's bankruptcy is another in a string
of recent chapter 11 filings by established brand names that lack a clear exit
strategy (others are Borders ,
... Europe !).
So much for the " end
of bankruptcy "!
As noted in Matt Daneman's article...
by Kenric D. Kattner and Arthur T. Carter
Certain types of employee
related claims are accorded priority treatment under the Bankruptcy Code.
Generally, unsecured claims against a debtor are only entitled to priority
treatment if: (a) the Bankruptcy Code explicitly grants priority treatment...
WASHINGTON, D.C. - (Mealey's) The U.S. Supreme Court
today heard oral arguments in a dispute between a Chapter 11 debtor company and
a creditor bank as to whether a secured creditor is permitted to credit-bid
while the debtor company's collateral is being sold as part of the
Chicago bankruptcy professionals descended on the
US Supreme Court to catch the final chapter in the RadLAX bankruptcy saga,
one that had a remarkably swift journey to the highest court of the
land. The case started as the neglected stepchild of Amalgamated
Bank, the trustee of the deeply undersecured...
As I noted three years ago in my " What's
Bothering Ruthie ? " post on Justice Ginsburg's one-liner that
stopped the Chrysler sale dead in its tracks, today's Supreme Court oral
argument in RadLAX Gateway Hotel, LLC v. Amalgamated Bank ( transcript )
left no doubt about what's...
Supreme Court heard arguments yesterday in RadLAX Gateway Hotel over
whether the Bankruptcy Code permits a debtor in a chapter 11 case to sell
encumbered assets without providing its secured lenders an opportunity to
credit bid their debt.
previously described on this site , a circuit...
WASHINGTON, D.C. - (Mealey's) The U.S.
Supreme Court on Apr. 30 denied certiorari to a class of shareholders in
bankrupt Idearc Inc. who had objected to the confirmation of Idearc's Chapter
11 reorganization plan on grounds that its approval violated due
process ( Spencer Ad Hoc Equity Committee...
WASHINGTON, D.C. - The U.S.Supreme Court today affirmed
that a debtor company may not obtain confirmation of a nonconsensual Chapter 11
plan that permits the debtor to sell collateral free and clear of a creditor
bank's lien without permitting the bank to credit-bid at the sale ( RadLAX
LexisNexis Core Overview: Sales free of liens under 11 U.S.C.S. § 1129(b)(2)(A) [ an annotated version of this statute is available to lexis.com
subscribers ] had to satisfy § 1129(b)(2)(A)(ii)'s requirements, not those
of both § 1129(b)(2)(A)(ii) and (iii), thus, the debtors could...
The chapter 11 case of mortgage lender and servicer Residential Capital, LLC ("ResCap") is fascinating on a number of levels. Its parent company, Ally Financial, Inc. ("AFI"), hopes to use ResCap's bankruptcy to extricate itself from potential liabilities arising from the collapse...
On this edition, Ancela Nastasi of Fulbright & Jaworski and Kenneth Klee of Klee, Tuchin, Bogdanoff & Stern discuss the May 29, 2012 U.S. Supreme Court decision in RadLAX Gateway Hotel LLC v. Amalgamated Bank in which the court held that a secured creditor has a right to credit bid its secured...
YORK - (Mealey's) Twinkie maker Hostess
Brands Inc., which had been proceeding with a bankruptcy reorganization plan, moved
in the U.S. Bankruptcy Court for the Southern District of New York on Nov. 16
for authorization to convert its proceeding to Chapter 7, which would result in