Monthly Archives: April 2011

Bankruptcy Bullets – In re Soho 25 Retail, LLC

On March 31, 2011, Judge Sean H. Lane held that the Debtor’s pre-petition assignment of property rents to GS Mortgage Securities, the Debtor’s mortgage lender, which resulted automatically from the Debtor’s pre-petition default under a loan agreement with GS, was effective under New York law and thus the rents did not constitute property of the estate. Continue reading

Issues Facing Patient Care Ombudsman

Joe Zujkowski posed six questions related to the role of Patient Care Ombudsman to three individuals that have served as the PCO in numerous healthcare bankruptcies. Their answers provide insights into a few of the current trends in healthcare liquidations and restructurings. Continue reading

Bankruptcy Bullets – Owens Corning

On March 21, 2011, District Court Judge Joy Flowers Conti granted Owens Corning’s motion for summary judgment in a class action lawsuit filed by two plaintiffs with respect to separate warranty claims discharged pursuant to Owens Corning’s plan of reorganization. The plaintiffs’ claims arose from shingles manufactured by Owens Corning and purchased by the first plaintiff prior to Owens Corning’s bankruptcy filing and by the second plaintiff after the bankruptcy filing but prior to confirmation of Owens Corning’s plan. Continue reading

When Tribal Gaming Goes Sour – Rights & Remedies in an Unclear Legal Environment

Although the steep downturn in the U.S. gaming industry that began in 2008 appears to be easing for the time being, many mid-market gaming companies are still encountering difficulties servicing their debt as consumer spending slowly creeps back. In 2009, the Restructuring Review ran a two-part series on the strategies available to gaming companies seeking to restructure their debts, and the challenges facing creditors who must choose between writing down their investments or attempting to foreclose on their collateral. This article examines additional and unique challenges facing creditors attempting to restructure debt issued by tribal gaming entities. Continue reading

Bankruptcy Bullets – In re GSC Group, Inc.

On March 24, 2011, Bankruptcy Judge Arthur J. Gonzalez authorized the Debtor’s chapter 11 trustee to pay retention bonuses totaling approximately $1.1 million to certain U.S.-based employees of the Debtor and certain U.K.-based employees of an affiliate of the Debtor. The bonuses only will be paid in full to those employees that remain with the Debtor and the Debtor’s affiliate until a sale of the business is completed. Continue reading

Bankruptcy Bullets – Harry & David Holdings, Inc.

On March 28, 2011, Harry & David Holdings Inc., a privately held specialty food retailer, filed for chapter 11 protection. The case is pending before Judge Mary F. Walrath. Continue reading