Bankruptcy
Considering whether Chapter 7 or Chapter 13 Bankruptcy Fits One’s Goals
Before commencing any discussion of the relative merits of Chapter 7 bankruptcy versus Chapter 13 bankruptcy, it is necessary to underscore how important it is to discuss whether one should file bankruptcy to address financial issues with an experienced bankruptcy attorney and to listen to his or her advice on the best filing option for…
Read MoreAbandonment of Debtor’s Property in Chapter 7 Cases
In Chapter 7 bankruptcy cases debtors enjoy certain protections – such as the automatic stay which protects the debtor’s property from creditors and lawsuits and other actions – but also gives up certain control over the estate’s assets. Upon filing the Chapter 7 bankruptcy action, all of a debtor’s property becomes part of the estate.…
Read MoreBankruptcy Mediation Spurs Board Resignations
In a recent blog post, it was reported that LightSquared, Inc., a company undergoing reorganization under Chapter 11, was ordered by the bankruptcy judge presiding in the case to return to mediation. Now it appears that the head of the company, Philip Falcone and four other board members have voluntarily resigned from the board of…
Read MoreBankruptcy Judge Shows Reach of Automatic Stay
One of the prominent features of federal bankruptcy procedure is the automatic stay of all lawsuits or civil actions against the debtor. When a person or company files for bankruptcy protection, whether it be a Chapter 7 liquidation, a Chapter 13 individual bankruptcy or a Chapter 11 corporate reorganization, the bankruptcy court automatically issues the…
Read MorePlan of Adjustment in Detroit Bankruptcy facing difficult hurdles
When the City of Detroit proposed a plan of adjustment in its Chapter 9 bankruptcy action, there appeared to be some hope that the case could be wrapped up before the end of September. Currently, the City’s interests in the bankruptcy case have been handled by its emergency manager, Kevyn Orr, who was appointed months…
Read MoreNew England Compounding Pharmacy in Bankruptcy Offers Fund to Compensate Claimants
In September 2012, the Centers for Disease Control and Prevention (CDC), in collaboration with state and local health departments and the Food and Drug Administration (FDA) , began investigating a multistate outbreak of fungal meningitis and other infections among patients who received contaminated preservative-free MPA steroid injections from the New England Compounding Center in Framingham,…
Read MoreReceiver’s Authority to Pursue Claims Tested in Stanford Ponzi Scheme Case
While the arrest of Bernie Madoff over 5 years ago for running a multibillion dollar Ponzi scheme which financially destroyed many of the people and institutions for which he promised to invest garnered the largest headlines, in fact, a much bigger swindle was perpetrated by Allen Stanford and his company, Stanford Financial Group (the “Group”)…
Read MoreSeismic Data Provider Files Chapter 11 Reorganization
A Texas corporation which provides collected seismic data to oil and gas companies filed a Chapter 11 bankruptcy action in March. The company, Global Geophysical Services, Inc., has released statements indicating it hopes to reorganize and shift much of its operations to clients overseas suggesting the American market for its services has become overly competitive.…
Read MoreChain of Title Inconclusive in Foreclosure Action
For the second time in the last year, the New Mexico Supreme Court held that a particular bank’s right to foreclose on a home owned by a borrower could not be enforced by grant of summary judgment. Back in 2007 Mr. and Mrs. Quintana entered in to a residential loan agreement with First Franklin Financial…
Read MoreNew Deals Bring Ultimate Resolution of Detroit Bankruptcy Closer
Progress on various fronts in Detroit’s Chapter 9 bankruptcy case provides hope that the City could emerge from bankruptcy by this fall. Recently the City’s Emergency Manager, after prodding by the case’s presiding judge, entered in to a deal with a few banks which had insured municipal bonds in an interest-rate swap. The nature of…
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