Fees, Fees, Fees: SDNY Bankruptcy Court Questions the Ongoing Validity of the “Blackstone Protocol” for Investment Banker Fees in Chapter 11 Cases

Background: Professionals’ Fees in Chapter 11 cases

Filed under:
USA, Banking, Insolvency & Restructuring, Litigation, Weil Gotshal & Manges LLP, Title 11 of the US Code, United States bankruptcy court, US District Court for SDNY
Authors:
Eli Blechman
Location:
USA
Firm:
Weil Gotshal & Manges LLP
District Divided: Tribune Decision Creates SDNY Split over Standard for Imputing Officer and Director Intent to a Corporation

LBOs can get messy. Such was the case for the Tribune Company, which, in conjunction with its private equity investor, borrowed approximately $10.7 billion in 2007 to finance its buyout. Soon after the LBO was completed, Tribune experienced financial difficulties that made it unable to service its new debt, and, in December 2008, the company filed for chapter 11 protection.

Filed under:
USA, Banking, Company & Commercial, Insolvency & Restructuring, Litigation, White Collar Crime, Weil Gotshal & Manges LLP, United States bankruptcy court, US District Court for SDNY
Location:
USA
Firm:
Weil Gotshal & Manges LLP
How a “Voluntary” Default under An Indenture Converted an Optional Redemption Provision into a Mandatory Redemption Provision Requiring Payment of a Make-Whole Premium

In Through the Looking Glass, Lewis Carroll’s sequel to Alice’s Adventures in Wonderland, there is a famous exchange between Humpty Dumpty and Alice regarding the meaning of words. Toward the end of that dialogue, Alice asked Humpty Dumpty what he meant by the word “impenetrability.” Humpty Dumpty’s response was to not only give the word a meaning that would not be found in any dictionary, but to also expand the meaning he gave the word so that it required affirmative action on Alice’s part.

Filed under:
USA, Capital Markets, Corporate Finance/M&A, Insolvency & Restructuring, Litigation, Weil Gotshal & Manges LLP, US District Court for SDNY
Authors:
Glenn D. West
Location:
USA
Firm:
Weil Gotshal & Manges LLP
What Are You Doing in This Court? SDNY Bankruptcy Court Transfers Post-Confirmation, State Law Dispute with Non-Debtors Back to the “Home” Bankruptcy Court

On April 25, 2016, Judge Glenn of the Bankruptcy Court for the Southern District of New York issued a memorandum in an adversary proceeding in which neither of the two non-debtor parties apparently wanted to be in the Southern District of New York.

Filed under:
USA, New York, Insolvency & Restructuring, Litigation, Weil Gotshal & Manges LLP, Debtor, Subject-matter jurisdiction, United States bankruptcy court, US District Court for SDNY
Location:
USA
Firm:
Weil Gotshal & Manges LLP