 | | Featured Premium Content | | | | | ABI Meeting Materials: AI and Bankruptcy: Navigating the Unknown
A special panel at ABI's 2025 Annual Spring Meeting covered the intersection of artificial intelligence (AI) with bankruptcy, intellectual property law and secured transactions law. Access materials from the session by clicking here. | | | | | SPONSORED CONTENTPredatory Uptiering: Three Steps to Protect Against Being Primed While uptiering disputes are not new, the loan market has seen an uptick in recent years. If not careful, lenders can lose their lien claim positions to a newer, senior lender. SRS Acquiom explains the primary mechanisms of predatory uptiering and identifies steps lenders can take to protect against it—all in one easy-to-reference page. Download the Guide | | |  | | Editor's Picks | | | | | Accelerate Diagnostics Files for Chapter 11 Bankruptcy
Accelerate Diagnostics has voluntarily initiated a chapter 11 restructuring proceeding in the U.S. Bankruptcy Court for the District of Delaware, and will seek to sell its assets through a court supervised sale process, Dow Jones Newswires reported. The company has filed various "first day" motions with the bankruptcy court requesting customary relief that will enable it to transition into chapter 11 without material disruption to their ordinary course operations, including seeking authority to obtain debtor-in-possession financing and pay employee wages and benefits. READ MORE | | FTX Lawsuit Against Tom Brady, Stephen Curry, Shohei Ohtani, Others Is Narrowed
A federal judge narrowed but stopped short of dismissing a lawsuit by investors seeking to hold celebrities like sports stars Tom Brady, Stephen Curry and Shohei Ohtani liable for promoting the collapsed cryptocurrency exchange FTX, Reuters reported. The investors said the defendants ignored "red flags" and hid millions of dollars of payments to promote FTX as "brand ambassadors," as part of a civil conspiracy with Sam Bankman-Fried's exchange to defraud them into becoming customers. In a 49-page decision on Wednesday, U.S. District Judge K. Michael Moore in Miami dismissed 12 of the 14 claims, saying the investors did not prove the celebrities knew FTX was a fraud, and merely receiving payments did not establish a conspiracy. READ MORE | | Bankrupt Rite Aid Pursues Rapid Sale of Pharmacy Business
Bankrupt U.S. pharmacy chain Rite Aid on Wednesday received court approval to pursue a rapid-fire sale of its pharmacy business, with the company aiming to reach agreements with buyers and get a sale approved in just two weeks, Reuters reported. Bankruptcy Judge Michael Kaplan approved Rite Aid's request for an expedited sale at a court hearing in Trenton, New Jersey, saying that Rite Aid needs to quickly line up buyers in order to ensure the seamless transfer of prescription services for its 8 million customers. READ MORE
MORE NEWS BELOW | | | | |  | | Upcoming Events | | | | | ABI International Latin America Symposium Charleston Santa Teresa Cartagena
May 12-14 | Cartagena, Colombia | | ABI New York City Bankruptcy Conference New York Hilton Midtown
June 17 | New York, N.Y. | | | | |  | | Daily Roundup | | | | | Pappas Restaurants Wins Bankruptcy Auction to Acquire Popular Tex-Mex Chain
Houston-based Pappas Restaurants announced May 7 that it won the auction to buy Irving-based On the Border Mexican Grill & Cantina, which filed for chapter 11 protection in March, the Houston Business Journal reported. The transaction, which is subject to court approval, is expected to close in the coming weeks. A sale hearing is scheduled for May 16, according to court documents. READ MORE | | Asbestos Corp. Obtains Chapter 15 Protection
Asbestos Corporation Limited (ACL) announced on Wednesday that an order from the Superior Court of Québec granting ACL protection under the Companies' Creditors Arrangement Act (the "CCAA") has been granted, according to a company press release. Raymond Chabot Inc. has been appointed pursuant to the Initial Order as monitor of ACL in order to assist the company with its restructuring efforts and to report to the Court. The application was filed by third parties and the Company became a co-applicant. ACL also filed a petition under chapter 15 of the U.S. Bankruptcy Code in the Southern District of New York for recognition of the CCAA proceedings in the United States. READ MORE | | Cortland Standard Gets New Life After Being Bought Out of Bankruptcy Court
One of New York state’s oldest newspapers that closed in March is being revived after it was bought out of bankruptcy court, Syracuse.com reported. The Cortland Standard, a 157-year-old publication, shut its doors on March 13 and filed for chapter 7 bankruptcy. Sample News Group, a privately held publishing company based in Huntingdon, Pa., announced Wednesday it had acquired all the assets of the Cortland Standard Printing Co. The paper will resume publication May 17. (Subscription required.) READ MORE | | Founder of Crypto Platform Celsius Network Is Sentenced to 12 Years in Prison
The founder and former CEO of the cryptocurrency lending platform Celsius Network was sentenced Thursday to 12 years in prison after a prosecutor labeled him a predator who “preyed on hope” by enticing vulnerable customers to risk their life savings for a supposedly safe investment, the Associated Press reported. Alexander Mashinsky was sentenced by U.S. District Judge John G. Koeltl, who said that a substantial term in prison was necessary for someone who engaged in “extremely serious” crimes that enabled him to pocket over $45 million while some of his customers lost everything and suffered severe psychological harm. READ MORE | | | | |
