United States: Insolvency/Bankruptcy

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A U.S. bankruptcy court has recognized bar date orders from a Canadian asbestos restructuring proceeding, marking a significant development in cross-border mass tort resolution. The decision explores whether foreign insolvency proceedings can enforce claims deadlines on U.S. claimants when such procedures differ from domestic bankruptcy practice.

Independent special committee investigations are gaining prominence in bankruptcy and restructuring as stakeholders demand greater transparency and accountability. Organizations are leveraging AI and data analytics to transform business intelligence into actionable decision intelligence, while navigating complex regulatory landscapes from stablecoin certification to third-party distribution risks.

Cole Schotz attorney Michael Sirota received an urgent early-morning call to file nearly 200 bankruptcy cases within 24 hours after the Shabseles brothers' real estate empire and summer camp network unexpectedly collapsed. With 20,000 children about to board buses for summer camp, the legal team faced the challenge of restructuring a complex web of entities while ensuring the camps could open on schedule.

For years, cannabis companies have been unable to access U.S. bankruptcy courts due to the federal classification of marijuana. Federal courts have consistently dismissed Chapter 11 cases filed by cannabis operators...

A federal bankruptcy court has approved the disclosure and voting process for Omnicare's Chapter 11 plan, which includes a proposed settlement resolving nearly $1 billion in False Claims Act liability stemming from allegations of dispensing drugs without valid prescriptions. The settlement would see CVS Health Corporation and Omnicare pay at least $440 million to the Department of Justice, marking a significant reduction from the original judgment while highlighting ongoing enforcement priorities in healthc

A Florida bankruptcy court examines the scope and limitations of discovery mechanisms available in Chapter 15 cross-border insolvency cases, clarifying when broad Rule 2004 discovery applies versus more restrictive adversary proceeding rules. The decision addresses critical questions about asset investigation, geographic limitations on subpoenas, and the interplay between different discovery frameworks when foreign representatives seek information about U.S. assets.

The Fifth Circuit Court of Appeals examined whether bankruptcy courts possess core jurisdiction to adjudicate administrative expense claims that are predicated on state law causes of action, or whether such underlying state law disputes must first be resolved by state courts. The decision clarifies the scope of bankruptcy court authority when non-bankruptcy law intersects with core bankruptcy proceedings.

A U.S. bankruptcy court granted chapter 15 recognition to a Luxembourg judicial reorganization proceeding, rejecting creditor objections based on alleged unfairness.