The Daily Docket: Lehman Puts Canyon Ranch Miami Into Bankruptcy

A Lehman Brothers Holdings Inc. subsidiary that owns the Canyon Ranch Hotel & Spa, Miami Beach filed for Chapter 11 bankruptcy protection Sunday to ease the sale of the luxury property to the owner and manager of a portfolio of hotels that includes the Enchantment Resort in Sedona, Ariz. Read the Daily Bankruptcy Review article here.

(Daily Bankruptcy Review is a daily newsletter with comprehensive coverage and analysis of emerging and in-progress insolvencies and turnarounds. For a two-week trial, visit our homepage, scroll to the bottom and click “try for free.”)

Energy Future Holdings Corp. is meeting strong headwinds as it attempts to put the financial framework in place for a $42 billion bankruptcy restructuring, DBR reports via The Wall Street Journal.

WSJ reports that creditors of oil firm Oleo e Gas Participacoes SA are set to vote on a restructuring plan Tuesday, and some of its bondholders Friday sued Deutsche Bank AG as the trustee for $3.6 billion in bonds.

Deutsche Bank said the lawsuit was meritless, Reuters reports.

Lawyers keep billing long after their struggling firms go under. A court case this week will test whether creditors to a belly-up firm can stake claims to the lawyers’ fees. Read more in DBR via WSJ.

Hedge-fund manager Philip Falcone is taking aim at the federal government over its refusal to authorize LightSquared to launch a wireless network. The DBR article is available via WSJ.

According to Japan Real Time, Japanese confectionery Surugaya, which was in business for five centuries, closed after failing to reorganize.

A lawsuit related to the Milwaukee archdiocese’s bankruptcy case is going to be heard before a Chicago federal appeals court, the Associated Press reports.

Write to Melanie Cohen at [email protected]. Follow her on Twitter at @MelanieLisa.