It is no secret that the coal industry is struggling. As coal producers face mounting challenges attributable to restrictive environmental regulations, reduced demand for coal, lower spot prices and significant legacy costs, they are compelled to explore cost-cutting measures and restructuring options.
The Business Reorganization Committee has conducted its first formal survey of the members, and the results are in. To no one’s surprise--but to our gratification--the survey confirms that the members of the Committee consist of a geographically diverse group of restructuring-focused professionals from a cross-section of firms as well as academics and bankruptcy judges. The results have been informative to the Committee’s leadership who continue to take steps to ensure the participants’ feedback is considered and that specific emphasis is focused on continuing and expanding the
The holiday season is fast approaching and it would not surprise me if many of you reading this article receive a gift card at some point during the next couple of months. As you look at that gift card, however, you may find your heart sinking as you recall the numerous retail stores that recently filed for bankruptcy. American Apparel, RadioShack, The Wet Seal, Brookstone, Quicksilver, Ashley Stewart and Delia’s – just to name a few! One issue that all retailers face when filing for bankruptcy is how to deal with claims that arise from outstanding gift cards.
The Asset Sales Committee will host John Hutton and Henry Jaffe as they discuss the GM successor liability decision, now on appeal in the Second Circuit, describing the arguments and positions taken by different parties on key issues in the case and discussing the potential impact of the ruling on appeal.
One of the themes of the Final Report and Recommendations released by the ABI’s Commission to Study the Reform of Chapter 11 is the shift in the balance of power between a distressed company and its creditors, as well as the introduction of perceived inequities among creditor constituencies.
For years, the law regarding the impact of a bankruptcy petition on the rights of a property tax purchaser in Illinois was unclear. A recent Seventh Circuit Decision, In re LaMont,[1] provides clarity on the issue and might be a valuable tool for commercial property owners in chapter 11 cases to unravel a property tax sale after the redemption period has expired.
Illinois Property Tax Sales
Editor’s Note: The following article, “Render unto Caesar the Venue Choice that Is Caesar’s: Venue Transfer and the 'Interest of Justice' Standard Examined in In re Caesars Entertainment Operating Co.,” won the prize for third place in the Seventh Annual ABI Bankruptcy Law Student Writing Competition. The author, Michael Sullivan, is a recent graduate of University of Georgia School of Law in Athens, GA.
Since chapter 12 is modeled after chapter 13, plus the relative paucity of chapter 12 case law, there is a considerable degree of cross-pollination whereby chapter 13 case law is used to resolve chapter 12 issues.[1] Ordinarily, this is fine. Despite their similarities, however, chapter 12 is unique in certain respects.
Tax-Sharing Agreements in Bankruptcy that Have Been the Subject of Recent Appeals Courts Decisions
In recent months, bankruptcy courts and nonbankruptcy courts have addressed the enforceability of make-whole premiums (“make-wholes”) where borrowers have sought to repay loans prior to maturity, including In re Energy Future Holdings, Inc., et al. (EFH) pending before Judge Christopher S. Sontchi of the U.S. Bankruptcy Court for the District of Delaware, and the Second Circuit’s ruling in Chesapeake Energy Corp. v. Bank of New York Mellon Trust Co., issued in November 2014, which was a nonbankruptcy appeal from the Southern District of New York.