On the Move
White & Case LLP has expanded its Global Financial Restructuring and Insolvency Practice by adding Philip Abelson and David Turetsky as partners in…
Healthcare Bankruptcy: Not Garden-Variety
For the remainder of 2017, due in part to the current uncertainty in the healthcare industry and its legislative oversight, more financially distressed providers are considering Chapter 11 bankruptcy to effectuate closures, consolidation, restructurings and related transactions.
Sixth Circuit Trims Bank's Good-Faith Defense to Fraudulent Transfer Claims
<b><I>Part Two of a Two-Part Article</I></b><p>Last month, we began our discussion of what constitutes a good-faith defense to a fraudulent transfer claim with an initial examination of the recent Sixth Circuit opinion in <I>Meoli v. Huntington Nat'l Bank</I>. We continue the analysis this month by focusing on sub-issues presented in <I>Meoli,</I> including the question of notice, the proper test of good faith, and an analysis of whether banks may be considered "transferees" with respect to ordinary bank deposits.
Litigation
Discussion of two recent notable cases.
Hiding Assets in California
Often, asset protection advice is bereft of any discussion of California exemption statutes — which often provide the most efficient and safest asset protection. But to properly protect an asset in California, it's generally best to understand and maximize exemptions.
Sixth Circuit Trims Bank's Good-Faith Defense to Fraudulent Transfer Claims
<b><i>Part One of a Two-Part Article</i></b>The issue of what constitutes a good-faith defense to a fraudulent transfer claim is a murky question that has produced a wide variety of reported decisions from appellate courts over the years. But a recent Sixth Circuit opinion sheds some clear light on a complicated fact pattern.
Restaurant Industry Chapter 11 Bankruptcies
The past year has brought a wave of restaurant businesses filing for reorganization in Chapter 11. With inherently low profit margins, increased competition, limited pricing flexibility and a propensity for expansion without the support of underlying business fundamentals, the industry is particularly susceptible to business failure.
Would <b><i>Jevic</i></b> Have Come Out Differently with Gorsuch?
In <I>Jevic</I>, the members of SCOTUS — sans Neil Gorsuch, who had not yet been confirmed — declined the invitation to "upend" the absolute priority scheme. The question presented: "Can a bankruptcy court approve a structured dismissal that provides for distributions that do not follow ordinary priority rules without the affected creditors' consent?" SCOTUS's answer: a resounding "No." Would Gorsuch have changed that?
Expansion of the <i>Barton</i> Doctrine To Unsecured Creditors' Committees
The U.S. Court of Appeals for the Ninth Circuit recently held in <i>Blixseth v. Brown</i> that under <i>Barton v. Barbour</i>, a plaintiff must obtain a bankruptcy court's permission before commencing a lawsuit in another forum against a member of the committee of unsecured creditors, and that <i>Stern v. Marshall</i> does not preclude bankruptcy courts from adjudicating such claims on the merits.
