Bankruptcy Blogs

Martin Shkreli’s Failed Last Play for a Pharmaceutical Coup

02/01/16
Martin Shkreli, center, leaves the courthouse after his arraignment in New York on Dec.
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Pot Banking 2016: More State Ballots But Continued Unease

02/01/16

The marijuana industry is still hampered by its own banking crisis, but the rigidity of federal laws is not stopping all advances in financial services for the sector.

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Put the ‘Community’ Back Into Community Hospital Bankruptcies

02/01/16

When a community hospital closes or is sold to a for-profit operator, there is a loss to the community. Despite protestations by for-profit operators, a community loses something of value by the conversion of a nonprofit hospital to a for-profit hospital. The mission statements are different. The question is how the loss gets valued and whether the community is compensated for the loss.

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Here Is What's Wrong with Millennial Marketing

02/01/16

The best customer prospects are specific individuals, so don't fall into the trap laid by surveys and articles that recommend a grand pitch to Generation Y as a marketing strategy.

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Morning Scan: Inter-Bank Borrowing Turmoil; Barclays, Credit Suisse in $154M Settlement

02/01/16

Wall Street Journal

Depository Trust & Clearing will stop facilitating certain types of repurchase agreements between securities dealers, cutting a link that allows large banks to borrow from one another, unnamed sources said. The move affects about $45 billion in daily repo loans. The move principally affects Bank of New York Mellon, the largest bank that clears interbank repo loans. JPMorgan Chase also has a unit that's involved in this type of repo clearing. ...

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Brokerage Firm RCS Capital Enters Bankruptcy

02/01/16

New York-based brokerage firm RCS Capital Corp. filed for bankruptcy with nearly $2 billion in debt. The Wall Street Journal has the Daily Bankruptcy Review article here.

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Objections to Applications Which Include Indemnification for Defense of Fees Sustained

02/01/16

In the recent opinion of In re Boomerang Inc., et al., Case No. 15-11247 (Bankr. D. Del. Jan. 29, 2016), the Delaware Bankruptcy Court considered the United States Trustee’s (“UST”) objections to retention applications of several law firms seeking to represent the Official Committee of Unsecured Creditors (the “Committee”) of Boomerang Tube, LLC (the “Debtor”).

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Contract Law and Ukraine's $3 Billion Debt

01/31/16

The Russian government has announced announced that it plans to initiate legal proceedings against Ukraine by the end of the month to recover the $3 billion in bond debt now in default. It's not yet clear whether the proceedings will be in English courts or in arbitration.

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Chapter 13 Debtor’s Lawsuit Tossed Out for Failure to List It in Bankruptcy Documents

01/31/16

The doctrine of judicial estoppel reared its ugly head again, preventing a chapter 13 debtor from suing his former employer for racial discrimination.  The U.S. Court of Appeals, Eighth Circuit, ruled that a chapter 13 debtor should have amended his bankruptcy documents to list the lawsuit, even though the debtor suffered the alleged discrimination three years into a five year long bankruptcy reorganization case.  Jones v. Bob Evans Farms, No 15-2068 (8th Cir. Jan. 26, 2016).

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