Latham & Watkins LLP is set to enter the bankruptcy proceedings of Steward Health Care System LLC, following the resolution of an objection raised by the U.S. Trustee. The private health network filed a statement in the U.S. Bankruptcy Court for the Southern District of Texas indicating that the Justice Department’s bankruptcy division has accepted…
Amy Ruhland, a seasoned litigator, has joined Pillsbury Winthrop Shaw Pittman LLP as a partner in their Austin office. The firm publicized this strategic addition to their legal team earlier this week. Known for her comprehensive experience, Ruhland will provide valuable insights and expertise to the firm’s growing litigation practice. Ruhland has an extensive background…
In the continually evolving intersection of technology and legal services, Upsolve has emerged as a noteworthy player. Founded by former Wall Street lawyer Jonathan Petts, Rohan Pavuluri, and software engineer Mark Hansen in 2016, Upsolve aims to streamline the bankruptcy filing process, rendering it as accessible as online tax preparation. Since its inception, the nonprofit…
Willkie Farr & Gallagher LLP’s recent disqualification as bankruptcy counsel for Franchise Group Inc. serves as a critical learning point for major law firms. In an unusual move, Judge Laurie Selber Silverstein of the US Bankruptcy Court for the District of Delaware ruled to separate Franchise Group from its preferred Chapter 11 counsel. This ruling…
In the face of rising concerns around continuing care retirement communities (CCRCs) and financial insolvency, legal experts are calling for amendments to the Bankruptcy Code to bolster protections for patients. Despite significant entrance fees often exceeding hundreds of thousands of dollars, residents find themselves without substantial recourse when their facility faces bankruptcy. The Bankruptcy Code’s…
Puerto Rico’s expenditure on consultants and legal fees stemming from its municipal bankruptcy has exceeded $2 billion. This figure underscores the financial burden of managing what has become the most costly municipal bankruptcy in the history of the United States. Since the island territory entered bankruptcy proceedings in 2017, Puerto Rico has engaged in a…
In a recent decision with significant implications for corporate bankruptcy proceedings, a judge has ordered the removal of a prominent law firm assisting Franchise Group Inc. in its ongoing bankruptcy case. This ruling follows concerns raised by federal officials and creditors regarding the firm’s connections to B. Riley Financial Inc. and its executive, Brian Kahn….
A former attorney at Freeborn & Peters LLP, Edward Filer, has been acquitted of wire fraud charges during a retrial, the court has confirmed. Filer’s legal battles began in 2019 when prosecutors alleged he orchestrated a scheme to defraud creditors of Barsanti Woodwork Corp. by creating a fraudulent secured creditor with a purported senior lien…
A recent ruling by a New York bankruptcy court has intensified legal battles for a former employee of Major Lindsey & Africa LLC. The court decided that the $4.8 million claim filed against the ex-employee cannot be discharged, extending over a decade of litigation with the high-profile recruiting firm. The case, which has now reached…
In a recent development, the co-founder of the now-defunct LeClairRyan PLLC has successfully won an appeal in a federal court case concerning his tax obligations. This legal victory sees his name removed from a list of equity holders who were potentially liable for significant tax liabilities. This outcome brings a measure of closure to a…
Troutman Pepper Locke has strengthened its bankruptcy and restructuring practice group by hiring Mahnvir Singh as a partner in its London office. Singh, who previously worked at Gateley, brings extensive experience in financial restructuring both in the UK and internationally. His client roster includes banks, private credit providers, distressed debt investors, private equity investors, and…
The bankruptcy trustee overseeing the affairs of the now-defunct law firm of disgraced attorney Tom Girardi has initiated legal action against New York attorney Joseph DiNardo. The trustee seeks to prevent DiNardo from discharging a $7.5 million debt during his own bankruptcy proceedings. The claim asserts that DiNardo was complicit in a scheme to defraud…
Latham & Watkins LLP is embroiled in a developing legal contest over its role in Steward Health Care System LLC’s bankruptcy proceedings. The firm asserts that the Justice Department’s bankruptcy watchdog, the US Trustee, lacks a legitimate rationale to challenge its retention alongside Weil Gotshal & Manges LLP in the Chapter 11 case. Latham’s defense…
In a notable development concerning legal ethics and court procedural rules, a federal court in Houston has declined to proceed with an ethics complaint against the law firm Jackson Walker LLP. The case revolves around the firm’s purported failure to disclose a romantic relationship between one of its former partners and former bankruptcy judge David…
Lenders associated with Franchise Group Inc. have lodged a formal objection against the company’s decision to retain the law firm Willkie Farr & Gallagher LLP for representation in its bankruptcy proceedings. The lenders assert that potential conflicts of interest should disqualify Willkie from serving in this capacity. According to their objection filed in the US…
A Texas bankruptcy judge has retracted an ethics complaint against the law firm Jackson Walker following a decision by Senior U.S. District Judge Lee Rosenthal. Judge Rosenthal determined that she lacked the authority to levy a financial penalty on a law firm as per the district’s disciplinary rules, which led to the complaint’s withdrawal. The…
In a significant addition to its finance and restructuring practice, King & Spalding has welcomed Eric Wise and Matt Kelsey as partners to its New York office. Both attorneys bring substantial experience in restructuring and special situations finance. Eric Wise has a well-established focus on restructuring and special situations finance. He has represented diverse stakeholders,…
In a case that draws attention to legal ethics and disclosure obligations, Jackson Walker LLP has come under scrutiny for its handling of a relationship between a partner at the firm and a bankruptcy judge. According to a report commissioned by the government, the Texas-based law firm opted to keep the relationship confidential contrary to…
In a recent legal development concerning the restructuring of the retail giant JCPenney, the company’s bankruptcy administrator is seeking the return of over $1.1 million in fees from the law firm Jackson Walker. The core of the allegation lies in the firm’s failure to disclose a critical conflict of interest. It has come to light…
The litigation landscape surrounding JCPenney’s 2020 bankruptcy has taken a new turn as the estate’s administrator initiates legal action against the company’s former law firm, Jackson Walker LLP. The case emerges from allegations that the firm prioritized its interests over its fiduciary duty to its clients, stemming from an undisclosed personal relationship between one of…
In the latest legal developments, the U.S. Trustee has raised objections against Johnson & Johnson’s proposed $10 billion plan to resolve its talc-related bankruptcy issues. The plan, part of J&J’s efforts to address numerous lawsuits alleging their talcum powder products caused cancer, faces pushback due to concerns over its fair distribution to claimants. This move…
Johnson & Johnson’s $10 billion bankruptcy plan concerning its talc liabilities has met with objections from both U.S. Trustee and insurance companies. Central to the objection is the U.S. Supreme Court’s previous decision that struck down nonconsensual third-party releases in Purdue Pharma’s opioid settlement valued at $6 billion. This particular precedent indicates significant ramifications for…
Dentons’ Brussels office has recently onboarded Joris De Vos, a seasoned partner from DLA Piper, to steer two newly initiated practices in Belgium. These include a restructuring practice and a litigation and dispute resolution practice. De Vos, who has been with DLA Piper since 2003, specializes in advising firms facing financial difficulties in areas such…
New York Attorney General Letitia James recently announced a new $7.5 billion settlement with Purdue Pharmaceuticals and the Sackler Family, marking a pivotal moment in the ongoing legal battles stemming from the US opioid crisis. This settlement comes as part of continuous legal efforts to hold Purdue accountable for its role in the epidemic, where…
A Houston-based plaintiffs attorney has initiated a personal Chapter 11 bankruptcy process, citing over $202 million in liabilities related to litigation funding. This financial predicament has been officially documented in a petition filed in the Southern District of Texas. The attorney’s move comes amidst concerns regarding the management and financial obligations tied to large-scale legal…