Lehman Brothers to Pay Barclays to End Legal Battle

The long-running legal battle between Lehman Brothers Inc. and Barclays PLC , which bought Lehman’s brokerage business days after the investment bank collapsed, has ended. The Wall Street Journal has 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 http://on.wsj.com/DJBankruptcyNews, scroll to the bottom and click “try for free.”)

As DBR reports in WSJ, home goods retailer Anna’s Linens Inc. has hired restructuring advisers and is planning to file for bankruptcy in the coming weeks, said people familiar with the matter.

Walter Energy Inc. is working on a debt restructuring deal with lenders and could end up in bankruptcy as early as this month, Bloomberg reports.

A federal judge in California dealt a blow to bankruptcy trustees winding down failed law firms, ruling that the defunct law firm Howrey LLP has no right to profits from unfinished legal work its partners brought to their new firms, DBR reports in WSJ.

Kitson, a Los Angeles boutique where paparazzi once stalked celebrities like Paris Hilton and Britney Spears, is getting a second chance thanks to Spencer Spirit Holdings Inc. Read the DBR article in WSJ.

The Washington Post reports on the road to recovery for Healthy Back Store.

Ex-billionaire Tim Blixseth, who has been in jail since April, turned over thousands of pages of financial documents, the Associated Press reports.

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