Information on Corporate Bankruptcy Proceedings in Delaware and Throughout the United States
Introduction
On October 28, 2014, The Official Committee of Unsecured Creditors of Q v. AB Foods LLC (the “Committee”), the committee in the Quantum Foods, LLC bankruptcy, began filing complaints to recover what it contends are avoidable preferences. The Committee filed the preference actions in the Delaware Bankruptcy Court and argue that the transfers, or…
Earlier this summer, the Delaware Bankruptcy Court issued an opinion in the New Century Holdings bankruptcy addressing the definition and purpose of the “Divestiture Rule.” See Carr v. New Century TRS Holdings, Inc. (In re New Century TRS Holdings, Inc.), Adv. No. 09-52251(KJC)(Bankr. D. Del. June 7, 2012)(hereinafter “Opinion at *___”). Under the Divestiture…
On May 30, 2012, RG Steel, LLC and various related entities (collectively “RG Steel” or “Debtors”) filed petitions for bankruptcy in the United States Bankruptcy Court for the District of Delaware. According to the Declaration of the company’s CFO (the “Decl.”), RG Steel enters bankruptcy as the fourth largest flat-rolled steel company in the United…
In a 17 page decision entered March 9, 2012, Judge Carey of the Delaware Bankruptcy Court granted a motion for relief from the Bankruptcy Code’s automatic stay to allow an undersecured creditor to exercise its remedies against a debtor’s collateral. A copy of Judge Carey’s opinion is available here (the “Opinion”). The Opinion was issued…
Summary
In a 28 page decision dated March 9, 2012, Judge Carey of the Delaware Bankruptcy Court denied confirmation of a debtor’s plan and granted the motion to lift the automatic stay filed by a creditor with a lien against a majority of the debtor’s assets. Judge Carey’s opinion is available here (the “Opinion”). A…
Introduction
Earlier this month, the Liquidating Trust in the Advanta Corp. bankruptcy proceeding began filing preference complaints in the Delaware Bankruptcy Court. Advanta and certain affiliates (“Advanta”) filed for bankruptcy in Delaware in November of 2009. As stated in the Liquidating Trust’s complaints, Advanta was at one time one of the largest issuers of “business…
Summary
In a 14 page opinion published June 7, 2011, Judge Carey ruled that publication of notice in only two newspapers was insufficient information to grant a motion to dismiss based on adequacy of notice. Judge Carey’s opinion is available here (the “Opinion”).
Background
New Century TRS Holdings, Inc. (the “Debtor”), filed…
Judge Carey released an order amending his Memorandum Opinion dated May 10, 2011 in the New Century TRS Holdings, Inc. bankruptcy. His previous opinion had misstated the amount of a settlement between the two parties in the adversary proceeding which gave rise to the opinion. Through this order, the misstated settlement amount was corrected to…
Summary
In a 13 page decision signed, April 11, 2011, Judge Carey of the Delaware Bankruptcy Court granted a motion disallowing a creditor’s late-filed bankruptcy claim, and held that if there is no legal requirement that a party respond to an affidavit, a lack of response does not bind a party to that affidavit nor…
Earlier this month, Avidity Partners, LLC (“Avidity”), in its role as claims agent for the bankruptcy estates of AbitibiBowater, Inc., et al. (“Debtors”), began filing avoidance actions against various defendants. As alleged in the complaints, on April 16, 2009, Debtors filed petitions for bankruptcy with the United States Bankruptcy Court for the District of Delaware…
