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    Recent significant commercial bankruptcy filings
    2010-03-08

    The following is a list of some recent larger U.S. bankruptcy filings in various industries. To the extent you are a creditor to any of these debtors, or other entities which may have filed for bankruptcy protection, you as a creditor are entitled to certain protections under the Bankruptcy Code.

    PUBLISHING

    White Birch Paper Co. filed for bankruptcy protection in Canada on Wednesday, while its American subsidiary Bear Island Paper Co. LLC filed for Chapter 11.

    RETAIL

    Filed under:
    USA, Insolvency & Restructuring, Masuda Funai Eifert & Mitchell Ltd, Bankruptcy, Debtor, Unsecured debt, Limited liability company, Option (finance), Title 11 of the US Code, United States bankruptcy court
    Authors:
    Reinhold F. Krammer
    Location:
    USA
    Firm:
    Masuda Funai Eifert & Mitchell Ltd
    Purchase money security interests include negative equity for bankruptcy cramdown purposes
    2010-03-08

    On March 1st, the Seventh Circuit held that negative equity is included in a creditor's purchase money security interest and is not subject to a bankruptcy court's cramdown authority under Chapter 13 of the Bankruptcy Code. In re Aubrey Howard.

    Filed under:
    USA, Insolvency & Restructuring, Litigation, Winston & Strawn LLP, Bankruptcy, Title 11 of the US Code, Seventh Circuit
    Location:
    USA
    Firm:
    Winston & Strawn LLP
    Lehman Brothers seeks approval of claims resolution procedures
    2010-03-17

    On March 15, 2010 Lehman Brothers Holdings, Inc. and its affiliated debtors (the “Debtors”) filed a motion (the “Motion”) with the Bankruptcy Court overseeing the Debtors’ Chapter 11 cases (the “Court”) seeking authorization to establish certain claims and alternative dispute resolution procedures designed to expedite the process of reconciling claims filed against the Debtors’ estates.

    The procedures, set forth in detail in an exhibit to the proposed order filed with the Motion, are summarized as follows:

    Filed under:
    USA, Insolvency & Restructuring, Schulte Roth & Zabel LLP, Bankruptcy, Injunction, Mediation, Liquidation, Lehman Brothers, United States bankruptcy court
    Authors:
    Michael L. Cook , Lawrence V. Gelber , Adam C. Harris , David M. Hillman , Brian D. Pfeiffer
    Location:
    USA
    Firm:
    Schulte Roth & Zabel LLP
    A closer look at the Orleans Homebuilders bankruptcy
    2010-03-15

    On March 1, 2010, Orleans Homebuilders filed for bankruptcy in the United States Bankruptcy Court for the District of Delaware.

    Filed under:
    USA, Delaware, Construction, Insolvency & Restructuring, Litigation, Fox Rothschild LLP, Share (finance), Bankruptcy, Shareholder, Option (finance), Cashflow, United States bankruptcy court, US District Court for District of Delaware
    Authors:
    L. Jason Cornell
    Location:
    USA
    Firm:
    Fox Rothschild LLP
    Regent Communications files for bankruptcy, seeking to pay general unsecured claims in full
    2010-03-13

    Regent Communications, a radio broadcasting company that operates 62 stations throughout the U.S., filed chapter 11 bankruptcy petitions in the Delaware Bankruptcy Court on March 1, 2010.

    Filed under:
    USA, Delaware, Insolvency & Restructuring, Litigation, Media & Entertainment, Fox Rothschild LLP, Bankruptcy, Unsecured debt, Advertising, Debt, Secured loan, United States bankruptcy court
    Authors:
    L. Jason Cornell
    Location:
    USA
    Firm:
    Fox Rothschild LLP
    Washington Mutual settles with J.P. Morgan Chase and FDIC
    2010-03-12

    Today, Washington Mutual, Inc. (WMI) announced a Global Settlement Agreement with J.P. Morgan Chase and the FDIC. Under the agreement, J.P. Morgan Chase will give WMI over $4 billion in WMI deposits in its former failed bank subsidiaries in exchange for over $6 billion in other assets. Also, the three parties will split two potential tax refunds worth a total of $5.6 billion.

    Filed under:
    USA, Banking, Insolvency & Restructuring, Alston & Bird LLP, Bankruptcy, Subsidiary, Federal Deposit Insurance Corporation (USA), JPMorgan Chase
    Authors:
    Stephen Racioppi
    Location:
    USA
    Firm:
    Alston & Bird LLP
    Lehman Brothers examiner publishes report
    2010-03-12

    Yesterday, the ninevolumeReport of Anton R.

    Filed under:
    USA, Insolvency & Restructuring, Litigation, Alston & Bird LLP, Bankruptcy, Audit, Accounting, Depository institution, Balance sheet, Business judgement rule, Leverage (finance), US Congress, Federal Reserve (USA), Lehman Brothers, United States bankruptcy court
    Authors:
    Dwight Smith
    Location:
    USA
    Firm:
    Alston & Bird LLP
    Quality Stores: the taxpayer wins again on tax refund for severance pay
    2010-03-18

    2006 FICA Refund Claims Due April 15, 2010

    Filed under:
    USA, Employment & Labor, Insolvency & Restructuring, Litigation, Tax, Greenberg Traurig LLP, Wage, Bankruptcy, Debtor, Statute of limitations, Unemployment benefits, Federal Insurance Contributions Act tax, Severance package, Internal Revenue Service (USA), United States bankruptcy court, Federal Circuit, US Court of Federal Claims
    Authors:
    Timothy Jessell
    Location:
    USA
    Firm:
    Greenberg Traurig LLP
    Seller beware: new case counsels caution to those dealing with debtors in bankruptcy cases
    2010-03-18

    The Eleventh Circuit Court of Appeals has just issued an opinion that should concern anyone doing business with a debtor in bankruptcy. In short, the court ruled that a company that supplied $1.9 million worth of goods to a debtor after the petition date had to return the debtor's payment. The reason? The debtor did not have permission from the court or its secured creditor to use the money. The payments were for value given post-petition and were apparently made in accordance with the pre-petition practice between the parties.

    Filed under:
    USA, Insolvency & Restructuring, Litigation, Dykema Gossett PLLC, Bankruptcy, Debtor, Collateral (finance), Accounts receivable, Interest, Secured creditor, Eleventh Circuit
    Authors:
    Richard M. Bendix, Jr. , Robert D. Nachman , Ronald L. Rose , Stephen C. Stapleton , Sheryl L. Toby
    Location:
    USA
    Firm:
    Dykema Gossett PLLC
    Ruling interprets Bankruptcy Code provision to allow debtors to evade credit bid rights of secured creditors
    2010-03-24

    On March 22, 2010, a three judge panel of the United States Court of Appeals for the Third Circuit issued a highly anticipated decision in the matter of In re Philadelphia Newspapers LLC, 2010 WL 1006647, (3rd Cir. Case No.

    Filed under:
    USA, Insolvency & Restructuring, Litigation, Nelson Mullins Riley & Scarborough LLP, Bankruptcy, Credit (finance), Debtor, Collateral (finance), Limited liability company, Secured creditor, Secured loan, Title 11 of the US Code, United States bankruptcy court, Fifth Circuit, Third Circuit
    Authors:
    Peter J. Haley
    Location:
    USA
    Firm:
    Nelson Mullins Riley & Scarborough LLP

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