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    Can a bankruptcy court order a non-debtor to dismiss a state court lawsuit? It depends on the nature of the claim—and how long the non-debtor waits to object.
    2015-04-13

    The United States Bankruptcy Court for the Southern District of Texas in In re Waco Town Square Partners, L.P., et al. considered whether it had the authority to order a non-debtor to dismiss a state court lawsuit.

    Filed under:
    USA, Texas, Insolvency & Restructuring, Litigation, Weil Gotshal & Manges LLP, Debtor, Involuntary dismissal, United States bankruptcy court
    Location:
    USA
    Firm:
    Weil Gotshal & Manges LLP
    No security by obscurity: the importance of clearly identifying collateral
    2015-03-02

    More is more, right? Not according to the Bankruptcy Court for the Northern District of Florida. The court recently ruled that when a creditor tries to capture the maximum amount of collateral in its security interest, this could have the opposite effect and result in an entirely unsecured claim. As most creditors know, the treatment of a claim in bankruptcy is governed not only by the Bankruptcy Code, but also by state law.

    Filed under:
    USA, Florida, Insolvency & Restructuring, Litigation, Weil Gotshal & Manges LLP, Collateral (finance), Personal property
    Location:
    USA
    Firm:
    Weil Gotshal & Manges LLP
    Postpetition ratification of prepetition stay waivers – a possible end around of the general prohibition against prepetition waivers of bankruptcy rights?
    2015-01-15

    “The past can’t hurt you anymore, not unless you let it.” – Alan Moore, V for Vendetta

    Filed under:
    USA, Insolvency & Restructuring, Litigation, Weil Gotshal & Manges LLP, Bankruptcy, Debtor, Debtor in possession
    Location:
    USA
    Firm:
    Weil Gotshal & Manges LLP
    House passes Financial Institution Bankruptcy Act of 2014 and takes significant step towards establishing a separate bankruptcy process for bank holding companies and large financial institutions
    2014-12-02

    While some of us may have had turkey on the mind over the last few days following the Thanksgiving holiday, members of the U.S. House of Representatives clearly had more important things than turkey to ponder. Just yesterday, December 1, 2014, the House passed H.R. 5421, the Financial Institution Bankruptcy Act of 2014.

    Filed under:
    USA, Insolvency & Restructuring, Litigation, Weil Gotshal & Manges LLP, Bank holding company, Title 11 of the US Code, US House of Representatives, US House Committee on the Judiciary
    Location:
    USA
    Firm:
    Weil Gotshal & Manges LLP
    Give and take: Delaware bankruptcy court dismisses trustee’s turnover and avoidance claims relating to debtor’s net operating losses
    2014-11-04

    Are a debtor’s net operating losses considered property of the estate when they are reported on a consolidated tax return by a non-debtor parent? We previously wrote about this issue here.

    Filed under:
    USA, Delaware, Insolvency & Restructuring, Litigation, Tax, Weil Gotshal & Manges LLP, Bankruptcy, Debtor, Limited liability company, United States bankruptcy court
    Location:
    USA
    Firm:
    Weil Gotshal & Manges LLP
    R-E-C-O-V-E-R: find out what it means to the Third Circuit
    2014-10-08

    Because we couldn’t possibly top Judge Fisher’s opening line, we’re borrowing it for our introduction of In re Daniel W.

    Filed under:
    USA, Insolvency & Restructuring, Litigation, Weil Gotshal & Manges LLP, Subject-matter jurisdiction, Third Circuit
    Location:
    USA
    Firm:
    Weil Gotshal & Manges LLP
    Momentous decision in Momentive Performance Materials: subordination is as subordination does
    2014-09-11

    As we began discussing this week in our previous entries, on August 26, 2014, Judge Drain of the Bankruptcy Court for the Southern District of New York issued a momentous bench ruling in connection with the confirmation hearing of 

    Filed under:
    USA, New York, Insolvency & Restructuring, Litigation, Weil Gotshal & Manges LLP
    Location:
    USA
    Firm:
    Weil Gotshal & Manges LLP
    Pass the buck: Fourth Circuit preserves the mere conduit defense
    2014-08-12

    Banks, insurance brokers, and other agents can breathe a sigh of relief as the Fourth Circuit enabled the “mere conduit” defense to survive another day. The Fourth Circuit has long recognized the proposition that an avoidable transfer cannot be recovered, pursuant to section 550(a)(1) of the Bankruptcy Code, from a transferee who acted as a “mere conduit” for another party having the direct business relationship with the debtor.

    Filed under:
    USA, Banking, Insolvency & Restructuring, Insurance, Litigation, Weil Gotshal & Manges LLP, Fourth Circuit
    Location:
    USA
    Firm:
    Weil Gotshal & Manges LLP
    The pain that comes along with walking a mile in your own shoes … Circuits refuse to allow reorganized debtors to “step in the shoes” of debtors in possession as subrogees
    2014-07-16

    Walk a mile in my shoes

    Walk a mile in my shoes

    Yeah, before you abuse, criticize and accuse

    Walk a mile in my shoes

    (Elvis Presley, “Walk a Mile in My Shoes”)

    Walk a mile in these Louboutins

    But they don’t wear these *%!# where I’m from

    I’m not hating, I’m just telling you

    Filed under:
    USA, Insolvency & Restructuring, Litigation, Weil Gotshal & Manges LLP, Debtor in possession
    Location:
    USA
    Firm:
    Weil Gotshal & Manges LLP
    Clean up for what?! After enough time, you can leave your mess behind
    2014-06-12

    What do you get when you combine a 20+ year old bankruptcy, a contaminated landfill, and a state regulatory agency that moves at a glacial pace? The answer: In re Solitron Devices, Inc., a recent decision from the Bankruptcy Court for the Southern District of Florida.

    Filed under:
    USA, New York, Insolvency & Restructuring, Litigation, Weil Gotshal & Manges LLP, Contamination, Bankruptcy, United States bankruptcy court, Eleventh Circuit
    Location:
    USA
    Firm:
    Weil Gotshal & Manges LLP

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