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    Tune up your D&O insurance policy to make sure it provides
    2014-12-22

    A D&O liability policy protects key individuals in a corporate structure.  These individuals are likely targets for shareholder frustration if an entity is underperforming or suffering from other troubles.  In addition, they may be exposed to personal scrutiny from regulators if the corporation is investigated for any wrongdoing.  As previously discussed in this space, an insurance policy can provide more reliable protection for t

    Filed under:
    USA, Insolvency & Restructuring, Insurance, Litigation, Zuckerman Spaeder LLP, Shareholder
    Authors:
    Virginia Whitehill Guldi
    Location:
    USA
    Firm:
    Zuckerman Spaeder LLP
    Chapter 11 debtor escapes required make-whole premium in bankruptcy
    2014-12-23

    A prominent New York bankruptcy court is the latest in a series of courts to deny lenders the full benefit of their bargains when borrowers attempt to restructure debt through a chapter 11 reorganization. Continuing a trend that includes a 2013 decision from the Second Circuit in the American Airlines bankruptcy, the Fifth Circuit's 2014 decision in the case of Denver Merchandise Mart, and the New York federal district court's 2010 affirmance in the Calpine bankruptcy case, the bankruptcy court for the Southern District of New York has ruled, in In re MPM Silicones, LLC (Momen

    Filed under:
    USA, New York, Insolvency & Restructuring, Litigation, Quarles & Brady LLP, United States bankruptcy court
    Authors:
    Christopher Combest , Brian Sirower
    Location:
    USA
    Firm:
    Quarles & Brady LLP
    House passes Financial Institution Bankruptcy Act of 2014
    2014-12-22

    The House of Representatives passed the Financial Institution Bankruptcy Act of 2014 (H.R. 5421) on December 1, 2014.  The bill, if enacted, would add provisions to the U.S. Bankruptcy Code, including a new "subchapter V" of chapter 11, under which "covered financial institutions" would be eligible to be debtors in a chapter 11 bankruptcy case.   

    Filed under:
    USA, Insolvency & Restructuring, Litigation, Arnold & Porter
    Authors:
    Richard M. Alexander , Michael L. Bernstein , Howard N. Cayne , Rosa J. Evergreen , Lisa Hill Fenning , David F. Freeman, Jr.
    Location:
    USA
    Firm:
    Arnold & Porter
    Good faith transferee in a fraudulent transfer action can only retain transfers equal to the value it provided to the debtor
    2014-12-18

    The United States Court of Appeals for the Fifth Circuit recently entered an order confirming that when a fraudulent transfer defendant is able to establish a defense pursuant to 11 U.S.C.

    Filed under:
    USA, Insolvency & Restructuring, Litigation, Hunton Andrews Kurth LLP, Fraud
    Location:
    USA
    Firm:
    Hunton Andrews Kurth LLP
    It ain’t over till it’s over – - final judgments in bankruptcy
    2014-12-18

    In ordinary civil litigation, appellate review is generally limited to “final judgments,” in order to prevent the wastefulness of appeals on rulings that are not truly dispositive of the case. That notion becomes somewhat more difficult in a bankruptcy, where there are often multiple litigations within the umbrella bankruptcy case. But does that mean that notions of finality should be different in the bankruptcy context? Not so, at least according to the Sixth Circuit.

    Filed under:
    USA, Insolvency & Restructuring, Litigation, Squire Patton Boggs, Subject-matter jurisdiction, Sixth Circuit
    Authors:
    G. Christopher Meyer
    Location:
    USA
    Firm:
    Squire Patton Boggs
    Creditor's claim for attorney fees not entitled to secured status
    2014-12-19

    The "American rule" is a well-defined legal principle applied by courts throughout the United States that holds each party to a dispute responsible for paying its own attorney fees. This principle is, however, subject to a number of exceptions that effectively allow a prevailing party to recover its own attorney fees from a losing party. For example, federal and state statutes increasingly authorize a prevailing party to recover costs from its adversary in certain types of actions.

    Filed under:
    USA, Aviation, Insolvency & Restructuring, Litigation, Duane Morris LLP, Debtor, Attorney's fee
    Authors:
    Rudolph J. Di Massa, Jr. , Jarret P. Hitchings
    Location:
    USA
    Firm:
    Duane Morris LLP
    2014: bankruptcy and restructuring annual review
    2014-12-19

    2014 has been a tumultuous year, filled with tragedy and interstellar triumphs: Ebola; Sochi; Ukraine; Flight 370; ISIS; Flight 17; Comet 67P. Life in the corporate bankruptcy and restructuring world was considerably more sedate than in the world at large. Now five and six years removed, some of the mega cases of the 2008 and 2009 era linger on and continue to generate interesting legal developments. 

    Filed under:
    USA, Insolvency & Restructuring, Litigation, Weil Gotshal & Manges LLP
    Authors:
    David Nigel Griffiths
    Location:
    USA
    Firm:
    Weil Gotshal & Manges LLP
    Appeal Court expands stockbroker defence to non-securities transactions
    2014-12-19

    Introduction

    Filed under:
    USA, Insolvency & Restructuring, Litigation, Caplin & Drysdale, Chartered, Security (finance), Second Circuit
    Authors:
    Jeffrey A. Liesemer
    Location:
    USA
    Firm:
    Caplin & Drysdale, Chartered
    Mortgage recording: what happens when there is an extra “e”?
    2014-12-19

    Weiss v. JPMorgan Chase Bank, N.A. (In re Thibault), 518 B.R. 635 (Bankr. D. Mass. 2014) –

    A chapter 7 trustee sought to avoid a mortgage using his “strong­arm” powers on the basis that it was not properly recorded because the spelling of the debtor’s last name in the mortgage was not the “correct” spelling.

    Filed under:
    USA, Massachusetts, Banking, Insolvency & Restructuring, Litigation, Real Estate, Troutman Pepper, Constructive notice
    Location:
    USA
    Firm:
    Troutman Pepper
    Trademark licensees may be protected in a licensor’s bankruptcy even after a “free and clear” sale
    2014-12-19

    The Bankruptcy Code generally permits intellectual property licensees to continue using licensed property despite a licensor’s bankruptcy filing. However, because the “intellectual property” definition in the Bankruptcy Code does not include “trademarks,” courts have varied on whether trademark licensees receive similar protection. A New Jersey bankruptcy court recently grappled with this issue, concluding that trademark licensees may retain their trademark rights.

    Filed under:
    USA, Insolvency & Restructuring, Litigation, Trademarks, Mintz
    Authors:
    Eric R. Blythe
    Location:
    USA
    Firm:
    Mintz

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