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    Delaware Bankruptcy Court sheds light on the common interest doctrine preventing the waiver of privileged communications
    2010-12-01

    In re Leslie Controls, Inc., (Bankr. D. Del., Case No. 10-12199, 2010)

    CASE SNAPSHOT

    Filed under:
    USA, Delaware, Insolvency & Restructuring, Litigation, Reed Smith LLP, Bankruptcy, Debtor, Waiver, Interest, Work-product doctrine, Attorney-client privilege, Discovery, Liability (financial accounting), Delaware Supreme Court, United States bankruptcy court
    Authors:
    Brian M. Rostocki
    Location:
    USA
    Firm:
    Reed Smith LLP
    Trustee’s use of strong-arm powers limited where state ucc gives priority to the lender that perfects its lien post-petition
    2010-12-01

    Sovereign Bank v Hepner (In re Roser), 613 F.3d 1240 (10th Cir. 2010).

    CASE SNAPSHOT

    Filed under:
    USA, Insolvency & Restructuring, Litigation, Reed Smith LLP, Bankruptcy, Conflict of laws, Debtor, Collateral (finance), Interest, Secured loan, Title 11 of the US Code, Uniform Commercial Code (USA), Trustee, United States bankruptcy court, Tenth Circuit
    Authors:
    Christopher O. Rivas
    Location:
    USA
    Firm:
    Reed Smith LLP
    Fresh start, not so fresh: courts hold that environmental liabilities survive chapter 11 reorganization
    2010-12-01

    Introduction

    Filed under:
    USA, Environment & Climate Change, Insolvency & Restructuring, Paul, Weiss, Rifkind, Wharton & Garrison LLP, Contamination, Pollution, Bankruptcy, Debtor, Injunction, Breach of contract, Liability (financial accounting), Bankruptcy discharge, Supreme Court of the United States, Third Circuit, Sixth Circuit
    Authors:
    Gaines Gwathmey , Brian S. Hermann , Arina Popova
    Location:
    USA
    Firm:
    Paul, Weiss, Rifkind, Wharton & Garrison LLP
    Consideration of a TRAC clause under the UCC and economic realities required to determine if equipment leases are true leases or disguised financing
    2010-12-01

    Hitchin Post Steak Co v General Electric Capital Corporation (In re HP Distribution, LLP), 436 B.R. 679 (Bankr. D. Kan. 2010)

    CASE SNAPSHOT

    The United States Bankruptcy Court for the District of Kansas considered whether commercial vehicle leases that contained Terminal Rental Adjustment Clauses (or TRAC provisions) were true leases under Section 365 of the Bankruptcy Code or, instead, disguised financing transactions. The court held that the TRAC leases were true leases that must be either assumed or assigned pursuant to the terms of Section 365.

    Filed under:
    USA, Insolvency & Restructuring, Litigation, Reed Smith LLP, Bankruptcy, Debtor, Interest, Consideration, Liquidation, Bright-line rule, Uniform Commercial Code (USA), United States bankruptcy court
    Authors:
    Ann E. Pille
    Location:
    USA
    Firm:
    Reed Smith LLP
    Compensation distributions triggered by events outside the debtor’s control are property of the estate and subject to avoidance
    2010-12-01

    Parks v. Dittmar (In re Dittmar), 618 F.3d 1199 (10th Cir. 2010)

    CASE SNAPSHOT

    Filed under:
    USA, Insolvency & Restructuring, Litigation, Reed Smith LLP, Bankruptcy, Debtor, Interest, Federal Reporter, Option (finance), Initial public offerings, Dissenting opinion, Bankruptcy Appellate Panel, Tenth Circuit, Circuit court
    Authors:
    Christopher O. Rivas
    Location:
    USA
    Firm:
    Reed Smith LLP
    ‘Ordinary course of business’ enables supplier to keep payments in a preference action
    2010-12-01

    Burtch v. Detroit Forming, Inc. (In re Archway Cookies), 435 B.R. 234 (Bankr. D. Del. 2010)

    CASE SNAPSHOT

    Filed under:
    USA, Insolvency & Restructuring, Litigation, Reed Smith LLP, Bankruptcy, Debtor, Safe harbor (law), Debt, Trustee, United States bankruptcy court
    Authors:
    Brian M. Schenker
    Location:
    USA
    Firm:
    Reed Smith LLP
    Reclamation procedure orders: a trap for unwary vendors?
    2010-12-01

    Reclamation claimants have long enjoyed special protections under Bankruptcy Code section 546(c), which recognizes that “the rights and powers of a trustee... are subject to the right of a seller of goods,” including reclamation rights under Section 2-702 of the Uniform Commercial Code. At a minimum, Section 2-702 clearly requires that a reclamation claimant must make demand upon its buyer in order to reclaim its goods and protect its rights. However, Paramount Home Entertainment Inc. v. Circuit City Stores, Inc., 2010 WL 3522089 (ED Va., Sept.

    Filed under:
    USA, Virginia, Insolvency & Restructuring, Litigation, ArentFox Schiff, Bankruptcy, Debtor, Westlaw, Title 11 of the US Code, Uniform Commercial Code (USA), Trustee, United States bankruptcy court, US District Court for Eastern District of Virginia
    Authors:
    M. Douglas Flahaut , Mette H. Kurth
    Location:
    USA
    Firm:
    ArentFox Schiff
    A perfect storm: retailers in bankruptcy in the post-BAPCPA economic downturn - part II
    2010-12-03

    In the first part of this article, we considered the effect of section 365(d)(4) and other Bankruptcy Code sections on retailer debtors and their respective landlords, as well as on how retailer debtors can utilize the holiday sales season to implement a successful reorganization.

    Filed under:
    USA, Insolvency & Restructuring, Cadwalader Wickersham & Taft LLP, Bankruptcy, Retail, Debtor, Debt, Liquidation, Title 11 of the US Code, United States bankruptcy court, Seventh Circuit, US District Court for Northern District of Texas
    Location:
    USA
    Firm:
    Cadwalader Wickersham & Taft LLP
    Credit bidding cannot be prohibited – the recent decision in River Road Hotel Partners
    2010-12-01

    In re River Road Hotel Partners, LLC, et al., Case No. 09-B-30029 (Bankr. N.D. Ill. 2010)

    CASE SNAPSHOT

    Filed under:
    USA, Illinois, Insolvency & Restructuring, Leisure & Tourism, Litigation, Reed Smith LLP, Bankruptcy, Credit (finance), Debtor, Federal Reporter, Limited liability company, Default (finance), Secured loan, Federal Deposit Insurance Corporation (USA), US District Court for Northern District of Illinois
    Authors:
    Stephen T Bobo
    Location:
    USA
    Firm:
    Reed Smith LLP
    A proposed plan’s voting stock allocation causes an incurable change-of-control breach and impermissible reinstatement of secured debt
    2010-12-01

    In re Young Broadcasting, Inc., et al., 430 B.R. 99 (Bankr. S.D.N.Y. 2010)

    CASE SNAPSHOT

    Filed under:
    USA, Insolvency & Restructuring, Litigation, Reed Smith LLP, Share (finance), Shareholder, Credit (finance), Debtor, Unsecured debt, Breach of contract, Board of directors, Interest, Debt, Voting, Default (finance), Secured loan, Pro rata, US District Court for the Southern District of New York
    Authors:
    Ann E. Pille
    Location:
    USA
    Firm:
    Reed Smith LLP

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