Porter Wright Morris & Arthur LLP has announced the addition of four attorneys from Chicago-based litigation boutique Scandaglia Law LLP, enhancing its capabilities in complex commercial litigation, antitrust, hospitality law, and intellectual property. This move marks a significant milestone in Porter Wright’s strategic growth in Chicago, which has been its fastest-growing office since entering the…
In a dramatic development within the financial legal landscape, bondholders of GWG Holdings Inc. have filed motions for the removal of a legal counsel and the recusal of a judge due to an alleged undisclosed romantic relationship between the two. This case, unfolding in bankruptcy court, raises significant questions about impartiality and conflict of interest….
In a recent decision by the Fourth Circuit Court of Appeals, a divided panel rejected a constitutional challenge to the Bankruptcy Code, emphasizing the judicial power granted under Article III of the U.S. Constitution. The 2-1 ruling concluded that petitions under the Bankruptcy Code, even those filed by solvent debtors, fall under federal jurisdiction as…
In July 2025, Massachusetts courts delivered several significant rulings that have implications for various sectors, notably the cannabis industry and property development. Below is an overview of four notable decisions: Cannabis Company Receivership and Interstate Creditor Claims A Massachusetts court determined that a cannabis company undergoing receivership within the state cannot utilize this process to…
Artificial Intelligence has become an increasingly prevalent tool in many sectors, including the legal profession, where it holds the promise of streamlining processes and improving efficiency. However, recent findings suggest that AI-generated misinformation is having adverse effects on clients, particularly in personal injury and bankruptcy cases. According to Bloomberg Law, the rise of AI-generated misinformation…
Johnson & Johnson (J&J) has encountered a significant legal setback as the U.S. Court of Appeals for the Third Circuit denied the company’s attempt to halt a securities class action related to its talc-based products. The lawsuit alleges that J&J misled investors by failing to disclose that its baby powder contained asbestos, thereby deceiving both…
Rhodium Enterprises, a bankrupt cryptocurrency mining company, has successfully contended in a Texas federal bankruptcy court that a patent infringement claim related to large-scale cooling systems cannot proceed. The company argued that these claims had already been dismissed in a federal district court, negating any further pursuit within the bankruptcy proceedings. The situation began when…
Legal professionals embarking on crafting intellectual property (IP) agreements should consider incorporating provisions with a keen eye on potential bankruptcy scenarios. Given the complexities surrounding IP rights amid bankruptcy proceedings, the strategic anticipation of such events could prove essential in preserving asset value and organizational interests. The intersection of IP and bankruptcy law presents intricate…
Jackson Walker LLP has once again settled with former bankruptcy clients to resolve allegations surrounding undisclosed romantic ties between a former firm partner and ex-Texas bankruptcy Judge David R. Jones. The motion, filed Tuesday in a Texas federal court, signifies another chapter in this ongoing legal drama that has drawn considerable attention within legal circles….
Jackson Walker LLP has agreed to a $485,000 settlement with two former clients to resolve claims linked to the undisclosed relationship between a former partner and ex-Texas bankruptcy judge David R. Jones. This development follows a motion filed last Friday, marking the culmination of disputes arising from the concealed romance. The case spotlighted the complex…
Jackson Walker LLP has reached a settlement with Seadrill Ltd. in a legal dispute arising from a controversial case involving former U.S. Bankruptcy Judge David R. Jones. The lawsuit gained significant attention due to allegations of an undisclosed romantic relationship between Judge Jones and a restructuring attorney from Jackson Walker, sparking accusations of impartial judicial…
In a significant move within the ongoing multidistrict litigation (MDL) involving the failed cryptocurrency exchange FTX, promoters have petitioned the court for dismissal of the case under Federal Rules of Civil Procedure 12(b)(6), or alternatively, to compel arbitration. This litigation is currently before U.S. District Judge K. Michael Moore in Miami. The defendants argue that…
Advisers involved in the intricate W.R. Grace & Co.’s asbestos bankruptcy have amassed significant fees, amounting to $500 million over the protracted duration of the case. The proceedings, spanning more than a decade, hold the distinction of being the longest-running asbestos-related bankruptcy in history. This case reveals the extent to which complex bankruptcy proceedings can…
The bankruptcy plan administrator for Terraform Labs has raised allegations against Dentons US LLP, claiming the law firm is actively obstructing discovery requests related to Terraform’s bankruptcy proceedings. This arises as Dentons seeks final approval to secure fees amounting to approximately $25 million. The contention is that Dentons is attempting to “run out the clock”…
In a notable development within the bankruptcy proceedings of CarePoint Health, creditors have called for a reduction in the fees requested by Sills Cummis & Gross P.C., the law firm representing the hospital network. This request highlights ongoing tensions over the costs associated with bankruptcy litigation, a situation not uncommon in complex financial restructurings. The…
In a recent legal maneuver, several water utilities in Arizona have filed to recover legal fees from the beleaguered electric truck manufacturer, Nikola Corporation. This comes amid Nikola’s ongoing bankruptcy proceedings, shedding light on the far-reaching implications of its financial woes. The water utilities are seeking compensation for legal expenses incurred during Nikola’s Chapter 11…
Coinbase, the prominent cryptocurrency exchange, is currently embroiled in a legal battle as shareholders have filed a suit against the company in the Delaware Court of Chancery. The complaint highlights allegations that since its initial public offering in April 2021, Coinbase failed to adequately disclose the risks associated with customer assets in the event of…
Legal professionals are closely monitoring the evolving landscape of litigation involving pharmaceutical giants and consumer safety claims. The recent update from Critical Mass highlights two major cases that are particularly noteworthy. First, there is significant uncertainty surrounding thousands of lawsuits against Zantac manufacturers. This comes after U.S. District Judge Robin Rosenberg excluded key expert testimony…
The Justice Department is facing significant changes within its bankruptcy watchdog division as recent buyouts have expanded to 171 employees. This move is part of an effort to streamline operations and manage budget constraints within the U.S. Trustee Program, which plays a critical role in overseeing the integrity of the bankruptcy process. These buyouts are…
In a recent development concerning Johnson & Johnson’s talc unit bankruptcy, the presiding judge has been ordered to clarify his decision-making process regarding the circumvention of fee requests. This case, which has garnered significant attention due to its implications on large-scale bankruptcy proceedings, highlights the complex interplay between corporate restructuring efforts and legal transparency obligations….
The recently enacted GENIUS Act brings significant changes to bankruptcy proceedings, prioritizing certain stakeholders in recovery outcomes. Aimed at restructuring how financial recoveries are allocated, this legislation bolsters the position of secured creditors, granting them preferential treatment over other claim holders. According to Bloomberg Law, this adjustment is expected to increase recovery rates for these…
The ongoing legal battle involving a former CEO of a barge company has taken a new turn as the executive reiterates his demand for standing in a lawsuit connected to a former bankruptcy judge’s undisclosed relationship with an attorney. In a recent supplemental filing, he argued that critical aspects of the case require further examination,…
Johnson & Johnson’s subsidiary, LTL Management LLC, is embroiled in a contentious legal battle over talc-related claims. Several creditor firms have raised concerns regarding a federal judge’s lack of action on their requests for attorney fees associated with the case. This development adds another layer of complexity to the ongoing litigation over J&J’s talc products,…
As the legal community watches closely, Tom Girardi, once a prominent figure in the legal world, has commenced his prison sentence amid deteriorating health conditions due to dementia. This development marks a significant chapter in the ongoing legal saga surrounding Girardi, whose legal practice was lauded for high-profile class-action lawsuits. The former attorney, whose career…
In a compelling development arising from a fee dispute involving Jackson Walker LLP, the U.S. Trustee Program has asserted that the Seventh Amendment of the Constitution precludes the law firm from obtaining a jury trial. This dispute centers around allegations that a former bankruptcy judge had a clandestine relationship with a former partner of the…