The Economist: Bankruptcy and the Economy | A Fresh Start

The Economist had an interesting article concluding that the evidence resulting from studies after the passage of BAPCPA indicate that the rules for Chapter 7 debtors might be too strict. The authors first looked at the effect on consumer bankruptcy filings (see chart). Although the c
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Harvard Article: Effect of Allocation of Bargaining Power and the 1978 Bankruptcy Reform Act

In the new Harvard sponsored article, Financial Distress, Stock Returns, and the 1978 Bankruptcy Reform Act, forthcoming in The Review of Financial Studies, David Schoenherr, Dirk Hackbarth and Rainer Haselmann examine how bargaining power in distress affects the pricing of corporate
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Supreme Court | Wellness | Stern v. Marshall

Supreme Court allows consent to Bankruptcy Court jurisdiction under Stern | May 26, 2015

In a much-anticipated decision, the Supreme Court established the parameters of consent to jurisdiction under Stern v. Marshall in Wellness Int’l Network, Ltd. v. Sharif, No. 13-935 Decided May 26, 2015. Syllabus Respondent Richard Sharif tried to discharge a debt he owed petiti
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Delaware Law

Delaware Court reviews standard for derivative claims

In a detailed May 4, 2015 opinion, the Delaware Chancery Court extensively reviewed the rights of an insolvent company’s creditors to pursue derivative claims against the company’s directors In the opinion, Vice Chancellor Laster said that “to bring a derivative action, a creditor-
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Restructuring Community Pays Tribute to Harvey Miller

In a lunch that became an impromptu memorial service to Harvey Miller, former Lehman Brothers Judge James Peck might have said it best: “Harvey is to bankruptcy what Beyoncé is to pop music. He’s a single name that defines the field.” Mr. Peck’s remarks, part of a video tribute to the
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Duer Wagner

Second Fort Worth Oil & Gas firm Duer Wagner III files for Chapter 11 | 5-15-15

Duer Wagner III Oil Company files for Chapter 11 Bankruptcy Protection Duer Wagner III Oil and Gas, LP and 11 affiliates filed for protection under Chapter 11 of the United States Bankruptcy Code on May 15, 2015 in the United States Bankruptcy Court for the Northern District of Texas,
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Hospital Bankruptcies

At least 10 hospitals have filed for bankruptcy in 2014

ospital bankruptcies are not rare, but many of them have ended with the hospital being sold or closed, online media reports show.  At least 10 hospitals filed for bankruptcy in 2014, and at least three filed for bankruptcy this year before not-for-profit El Paso Children’s Hospi
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El Paso Children's Hospital Bankruptcy

El Paso Children’s Hospital files for Chapter 11 Bankruptcy Protection | May 19, 2015

El Paso Children’s Hospital filed for protection under Chapter 11 of the United States Bankruptcy Code on May 19, 2015 In the United States Bankruptcy Court for the Western District of Texas, El Paso Division, under Case No. 15-30784-CM-11. Mark Herbers Mark Herbers is the Chief
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Bankruptcy Court Denies Joint Administration | Erie Hockey Club

In a brief order expressing a surprising view of the commonplace entry of joint administration orders in chapter 11 bankruptcy cases, a Pennsylvania bankruptcy court judge rejected entry of such an order in a recent case.  For those unfamiliar, Bankruptcy Rule 1015 provides that if tw
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Frac Specialists Cuts Debt but Still Has to Make Chapter 11 Filing

Despite reducing what it owes Capital One Bank NA by $15 million since January, oilfield services provider Frac Specialists LLC has filed for bankruptcy (Lead Case No. 15-41961-RFN-11) with plans to restructure its prepetition debt. The Midland, Texas, company and affiliates Acid Spec
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