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    As A Matter Of First Impression, The Seventh Circuit Holds That Chapter 13 Debtors Cannot Obtain In Forma Pauperis Filing Fee Waivers Absent “Extraordinary Circumstances”
    2020-07-07

    In a case litigated by the authors, the United States Court of Appeals for the Seventh Circuit held in In re Marzieh Bastanipour, Case No. 20-1373 (7th Cir. June 10, 2020) that Chapter 13 debtors are not permitted in forma pauperis fee waivers absent a showing of extraordinary circumstances.

    In 2018, the Debtor, Marzieh Bastanipour, filed a Chapter 13 bankruptcy petition in the U.S. Bankruptcy Court for the Northern District of Illinois. This was the third Chapter 13 petition filed by the Debtor since 2013.

    Filed under:
    USA, Insolvency & Restructuring, Litigation, Seyfarth Shaw LLP, Seventh Circuit
    Authors:
    James B. Sowka , Paul J. Yovanic, Jr.
    Location:
    USA
    Firm:
    Seyfarth Shaw LLP
    New law on capital markets and organised commodities markets adopted: part 2
    2020-07-07

    On 19 June 2020, the Ukrainian Parliament adopted law (draft law No. 2284) aimed at introducing sweeping new changes to regulation of financial instruments (the Law). The Law has also paved the way for a wide range of new financial instruments such as derivatives, green bonds, loan notes, and other structured finance products.

    Filed under:
    Ukraine, Derivatives, Insolvency & Restructuring, Litigation, DLA Piper
    Authors:
    Dmytro Pshenychniuk
    Location:
    Ukraine
    Firm:
    DLA Piper
    Important Bermuda decision on the recognition of foreign insolvency office holders
    2020-07-08

    Stephen John Hunt v Transworld Payment Solutions U.K. Limited (in liquidation) [2020] SC (Bda) 14 Com The Bermuda Supreme Court has clarified the rules for granting common law recognition and assistance to foreign insolvency office holders following the landmark competing Privy Council decisions of Singularis Holdings Ltd v Price Waterhouse Coopers [2014] UKPC 36 and Cambridge Gas Transportation Corporation v Official Committee of Unsecured Creditors (of Navigator Holding PLC and others) [2006] UKPC 26.

    Filed under:
    Bermuda, Insolvency & Restructuring, Litigation, Private Client & Offshore Services, Carey Olsen
    Authors:
    Keith Robinson
    Location:
    Bermuda
    Firm:
    Carey Olsen
    Still play nicely - Contractual performance in the time of COVID-19: An update
    2020-07-08

    Businesses continue to face a challenging environment owing to the global COVID-19 crisis and consequent measures introduced by governments worldwide. The scope and nature of these measures is constantly evolving, with the focus now shifting to an easing of restrictions and facilitating a bounce back of the economy. As part of their response to such measures, businesses will be continuing to look at how best to deal with potential contractual disputes, or considering if some contracts can be terminated.

    Filed under:
    United Kingdom, Insolvency & Restructuring, Litigation, CMS Cameron McKenna Nabarro Olswang LLP, Coronavirus
    Authors:
    David Bridge , Shravan Ratakondla , Louise Boswell
    Location:
    United Kingdom
    Firm:
    CMS Cameron McKenna Nabarro Olswang LLP
    An Act of God, or Another Failing Restaurant? Illinois Bankruptcy Court Rules on Force Majeure Clause in the Wake of COVID-19 Shutdown Order
    2020-07-07

    The ongoing COVID-19 pandemic has raised pressing questions about how a force majeure provision in a lease will affect a tenant's obligation to pay rent.

    Filed under:
    USA, Illinois, Insolvency & Restructuring, Litigation, Real Estate, Mayer Brown, Force majeure, Coronavirus
    Location:
    USA
    Firm:
    Mayer Brown
    Loans on exorbitant interest rates covered under Extortionate Credit Transactions
    2020-07-06

    Observing that the short-term loans advanced by few Appellants on exorbitant rates of interest (40% to 60% per annum) were covered under Extortionate Credit Transactions as prohibited under Section 50(1) of the Insolvency and Bankruptcy Code, 2016, the NCLAT has set aside the entire transactions as illegal and void and held them as not entitled to any relief.

    Filed under:
    India, Insolvency & Restructuring, Litigation, Lakshmikumaran & Sridharan Attorneys
    Location:
    India
    Firm:
    Lakshmikumaran & Sridharan Attorneys
    Key Takeaways From the Corporate Insolvency and Governance Act 2020: The Temporary Measures
    2020-07-06

    On 26 June 2020 the Corporate Insolvency and Governance Act 2020 (the Act) came into force, introducing a number of temporary measures to assist companies facing financial difficulties as a consequence of COVID-19. These temporary provisions apply retroactively to cover the period commencing 1 March 2020 (26 March 2020 with respect to corporate governance provisions) and ending on 30 September 2020 (the Relevant Period).

    Filed under:
    USA, Insolvency & Restructuring, Litigation, Faegre Drinker Biddle & Reath LLP, Corporate governance, Coronavirus
    Authors:
    Patrick H. Corr , Wayne Beck , Raphaela Constance Cotoulas
    Location:
    USA
    Firm:
    Faegre Drinker Biddle & Reath LLP
    Cornerstone - Insolvent adjudications following Bresco - what should you actually do?
    2020-07-06

    The much anticipated Supreme Court ruling in Bresco Electrical Services Ltd (In Liquidations) v. Michael J Lonsdale (Electrical) Ltd has finally landed and has been met by an immediate barrage of detailed legal analysis and commentary.

    While fascinating, this article doesn’t seek to add to those commentaries – rather, it considers what in practice it means for a contractor who may find itself with one its subcontractors going into insolvency. What can it do to better protect is position?

    What did Bresco say?

    Filed under:
    United Kingdom, Insolvency & Restructuring, Litigation, Birketts LLP
    Authors:
    Andrew Rush
    Location:
    United Kingdom
    Firm:
    Birketts LLP
    COURT OF APPEAL SUMMARIES (June 29 - July 3, 2020)
    2020-07-07

    Good afternoon.

    Following are our summaries of last week’s civil decisions of the Court of Appeal for Ontario. Not surprisingly, it was a light week.

    Filed under:
    Canada, Banking, Energy & Natural Resources, Insolvency & Restructuring, Litigation, Media & Entertainment, Projects & Procurement, Blaney McMurtry LLP
    Authors:
    John Polyzogopoulos
    Location:
    Canada
    Firm:
    Blaney McMurtry LLP
    NY Court Blocks Mezzanine Lender’s UCC Foreclosure Sale in Light of COVID-19 Pandemic
    2020-07-07

    On June 23, the New York County Supreme Court issued a rare preliminary injunction temporarily halting a mezzanine lender’s UCC foreclosure sale of the Mark Hotel in New York City because the procedures for the foreclosure sale were not commercially reasonable in light of conditions caused by the COVID-19 pandemic (D2 Mark LLC v. Orei VI Investments LLC, 2020 WL 3432950 (2020)).

    Filed under:
    USA, Corporate Finance/M&A, Insolvency & Restructuring, Litigation, Troutman Pepper, Due diligence, Non-disclosure agreement, Coronavirus, New York Supreme Court
    Authors:
    Deborah J. Enea , Ashleigh Reibach Huggett
    Location:
    USA
    Firm:
    Troutman Pepper

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