WSJcomBankruptcyBeat

Mrs. Fields is baking up a post-bankruptcy comeback, reinventing its shopping-mall counters to sell iced lattes alongside its white chocolate macadamia nut cookies and chocolate chip cookie cakes.

Mrs. Fields emerged from its two-month-long Chapter 11 restructuring in October 2008 and aimed to expand its reach despite the economic downturn that toasted even the best-baked plans. Nearly three years later, it’s seeking another expansion, this time of its offerings.

Lehman Brothers Inc. Europe says the trustee winding down its U.S. counterpart could try to block European creditors from recovering $8.9 billion. But allowing such a claim has the potential to dilute recoveries for U.S. customers of Lehman Brothers Holdings Inc.’s brokerage. Read the Daily Bankruptcy Review story here.

News Corp.’s Fox Sports is protesting the Los Angeles Dodgers’ request to hire Blackstone Group to market the team’s media rights, setting up a potential battle with the broadcaster that, until recently, had been one of embattled owner Frank McCourt’s biggest supporters. Read the Daily Bankruptcy Review story here.

The Los Angeles Dodgers’ Chapter 11 filing might pick off one of its primary vendors: Fac

Alas, one of California’s most popular motocross-driven retail chains will ride on.

A group of investors gathered under the new name Ryderz Compound Inc. has purchased nearly all of No Fear’s three dozen stores along the West Coast with plans to continue selling its edgy clothing collection and racing gear. The group’s $3.1 million bankruptcy auction purchase will also keep many of the chain’s more than 325 workers employed.