Daily Bankruptcy News
June 1, 2023


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Law:

Biglaw Firm Delays Start Date For First-Year Associates In Certain Practice Groups 

The Biglaw Firms That Saw Big-Time Revenue Gains In 2022 

The 2023 Biglaw Diversity Scorecard: More Progress Amid A War On DEI 

Clients want their lawyers to 'do it from home' 

Law Professor's Advice To Avoid Another ChatGPT Fiasco: Always Check Your Work 

Lawyer’s AI Blunder Shows Perils of ChatGPT in ‘Early Days’ 

If You Aren't The One Writing Your Briefs In Texas, It Better Be Some Other Human!  Attorneys Must Certify AI Policy Compliance, Judge Orders

Jonathan Turley Has New Theory To Bust Hunter Biden And All It Requires Is Warping The Fabric Of Space-Time 

GRE Building A Better Test... But Is It Still A Good Test For Law Schools? 

New GRE will take about half as much time, Educational Testing Service announces 

Building a Bankruptcy Juggernaut with James (“Jamie”) H. M. Sprayregen 

Restructuring Partner Joseph Zujkowski Joins Gibson Dunn in New York 

Veteran Bankruptcy and Restructuring Lawyer, Robert "Bob" Fishman, Joins Algon Group as Vice Chairman 

White Lawyer Fired For Allegedly Snatching Wig Off The Head Of A Black Woman 

Food labeling lawyer’s ‘warehouse of complaints’ are ‘not fit for public consumption,’ judge says 

Alex Murdaugh pleads not guilty — for now — to federal wire fraud and money laundering charges 

Special counsel subpoenas Trump White House staffers over Krebs firing: report 

Team Trump Scrambles to Unmask the Feds Investigating Him

Jan. 6 rioter who invaded Nancy Pelosi's office denied summer respite and cushy prison camp 

Donald Trump’s legal team and Manhattan prosecutors spar over where he will stand trial 

Trump captured on tape talking about classified document he kept  CNN reporter explains new tape obtained by prosecutors in Trump case Trump has a history of saying on tape things he may regret Reports of bombshell Trump recording suggests prosecutors may have grounds to charge him under the Espionage Act

Trump Lawyers Consider Revenge for Former Colleague 

House GOP prepares for final procedural drama before expected debt deal passage 

Majority of teachers in new survey say arming educators would make students less safe 

DOJ announces civil action against coal mines owned by West Virginia governor 

Oklahoma Supreme Court strikes down 2 abortion bans as procedure remains illegal 

Rate of Latinos killed by police skyrockets 

JPMorgan rejects claim that Dimon and Staley discussed Epstein  JPMorgan Tries to Deflect Blame for Long Relationship With Jeffrey Epstein JPMorgan CEO Dimon says other executives at the bank could have booted Epstein

Ghislaine Maxwell fears attack in prison after ratting out inmates

New video shows Marines at California beach party before being beaten by mob of teens 

FBI Director Wray offers to let James Comer see Biden bribery allegation file 

Republican Virginia Gov. Glenn Youngkin sends 100 National Guard soldiers to US-Mexican border  U.S. Border Chaos Leaves Migrants Fatally Vulnerable

Nevada governor signs new abortion protections into law 

Ex-CIA officer accused of abusing women may walk free because of how feds searched his phones 

Store owner accused of chasing, gunning down 14-year-old boy he mistook for shoplifter 

NY limo operator hit with max prison sentence in crash that killed 20 

NYC man fatally shoots mugger who appeared to threaten him with pen, prosecutors weighing murder charges 

Teenager shares version of Citi Bike feud with pregnant NYC hospital worker 

Mysterious end Missing Missouri doctor found dead in lake from gunshot wound as brother reveals previous kidnapping: cops 

'Felt like a year': Worshipper describes fear during gunman's deadly attack on Pittsburgh synagogue 

Ex-Family Feud contestant convicted of estranged wife Becky Bliefnick's murder 

'That '70s Show' star Danny Masterson found guilty of 2 rape counts, faces a potential life sentence 

Court sides with Manson Family member Leslie Van Houten: Parole refusal based on 'no evidence' 

Accused 'serial killer' arrested with bag of zip ties after calling police and confessing 

School bus driver duct-taped 10-year-old to his seat, needed seat belt cutter to free him: Cops 

Florida man doused another man in gasoline then lit him on fire after argument at gas station: Cops 

Man accused of using SUV to run down 'Republican extremist' teen pleads guilty to manslaughter 

Failed candidate charged in New Mexico shooting spree at Democrats' homes 

'Trunk Lady' murder victim identified over 50 years after she was found strangled to death with tie 

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Judges:

Judiciary Used as ‘Bargaining Chip’ in Debt Limit Pipeline Deal 

May judge attend law firm celebration with free food and drinks? Not in this state, draft opinion says 

Should Judges And Lawyers Sometimes Violate Legal Ethics To Promote The Public Good? 

The Roberts Court takes aim at the Establishment Clause 

Trump Asks Judge in Hush-Money Case to Step Aside 

Brown v. Board of Education should be renamed, group plans to tell Supreme Court 

Reversal Rates In The Sixth Circuit And Elsewhere 

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Wall Street:

Stock futures inch higher after House passes debt ceiling bill 

Being a Goldman Sachs partner used to be the be-all end-all on Wall Street. Now, the reported departures of 2 show why that's changed

The S&P 500's gains are almost entirely from just five companies 

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Layoffs:

Firaxis is latest video game studio hit by layoffs 

Binance eyes staff cuts as the world's biggest crypto exchange says it's 're-evaluating' talent to position for the next bull run

David’s Bridal is laying off some workers sooner than expected

Zendesk Layoffs to Eliminate 8% of Global Workforce 

Rain Oncology to cut workforce by 65% after study failure

Latest Tech-Sector Layoffs Result in 20% Job Reduction at ZipRecruiter 

Uber Eats to Buy Thousands of Delivery Robots 

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Healthcare:

GenesisCare Files for Voluntary Reorganization to Advance Business Transformation 

This Alabama Health Clinic Is Under Threat. It Doesn’t Provide Abortions. 

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Politics:

Trump-DeSantis feud turns vicious  Inside Trump and DeSantis’ Ugly Feud Over The Babylon Bee 9/11 attacks a wedge issue for DeSantis vs. Trump

Gaetz: Passing debt deal without Republican majority would ‘likely trigger an immediate motion’ to oust McCarthy 

McCarthy dismisses House Freedom Caucus members' threats to oust him over debt ceiling deal  Can McCarthy Pass the Debt Deal and Keep His Job?

We May Be About to Find Out How This Republican Party Really Works 

FactCheck: DeSantis, No Books Have Been Banned 

'Trump Bucks' retailers’ websites taken down after being exposed by NBC News for selling bogus currency 

After Calling Joe Biden Senile, Republicans Complain He Outsmarted Them 

Target Pride backlash exposes 'rainbow capitalism' problem, designer says 

Blue Jays pitcher apologizes for sharing video calling for boycott of companies supporting LGBTQ+ rights 

Utah Republican announces resignation from Congress 

Trump Promises to Violate 14th Amendment ‘On Day One’ 

Billionaire Ken Griffin: New ‘Don’t Say Gay’ Law Is Too Far, Even for Me 

Hundreds gather at Florida school board meeting over Disney movie controversy: 'Your policies are not protecting us from anything' 

“Smart People Are Falling for Stupid Lies”: How One Florida County Has Become Ground Zero for the Far Right’s Education Blitz 

Mike Pence to launch campaign for president in Iowa June 7 

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Tech:

Hedge Funds Are Deploying ChatGPT to Handle All the Grunt Work 

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Economy:

The credit crunch will spark a wave of corporate defaults and a recession as tight financial conditions put an end to the lending boom, Deutsche Bank says  A default wave is building, says Deutsche Bank. Here’s how bad it may get

Debt ceiling bill passes in the House, advances to the Senate days ahead of default deadline House passes debt ceiling bill in big win for McCarthy: Five takeaways Packing Figures and Charts, Roy Leads G.O.P. Revolt Against Debt Limit Deal  Inside a debt ceiling standoff ‘far more dangerous than people will recognize’ Billionaire investor Ray Dalio gives the US debt deal a D grade, warning it doesn't solve the main problem ‘Soft food’ to ‘good faith’: How Biden and McCarthy came together on debt deal House Leaders Confident They Will Pass Bill to Avert US Default McConnell to face off with conservative opponents on debt ceiling bill Bipartisan Problem Solvers Caucus endorses debt deal Democrats put potential headache of passing debt ceiling rule on McCarthy House GOP prepares for final procedural drama before expected debt deal passage McCarthy's magic number on the debt ceiling deal Ocasio-Cortez says she’s voting against debt limit bill Greene leaning toward yes on ‘s— sandwich’ debt bill — but she also wants impeachment ‘No’ votes: These House Republicans say they will vote against debt ceiling bill House Democrats fracture on debt ceiling vote Senate Democrats fret over debt ceiling deal, but signal grudging support Trump silent on debt limit bill as other Republicans step up criticism House Republican says there won’t be a default if debt bill fails State officials ask Yellen for clarity on what will happen if debt bill doesn’t pass by June 5 Tim Scott: Debt ceiling deal would give Biden "open checkbook" Changes to food aid in debt bill would cost money, far from savings GOP envisioned

BLS: Job Openings Increased to 10.1 million in April  Job Openings Rose in April, Defying Cooling Trend

Why White House economists are optimistic about cooler inflation 

Fed’s Jefferson Signals a Rate Pause Is on the Way But More Hikes Could Follow 

Fed’s Bowman Says Real Estate Rebound Affects Inflation Fight 

Strong job numbers, low layoffs show no ‘major’ signs of a recession: economists 

Fed faces uphill battle as job openings rise 

Harker Says Fed Should Skip Rate Hike at Upcoming June Meeting 

Fed Isn’t Finished Raising Interest Rates to Fight Inflation, Larry Fink Says 

US Job Openings Surge to 10.1 Million, Upping Odds for Fed Hike 

US Economy Has Signs of Cooling as Hiring and Inflation Ease, Fed’s Beige Book Shows 

CEOs got smaller raises. Would still take worker two lifetimes to make annual pay

Investors are losing hope for a Fed pause and bracing for another interest-rate hike instead. Here's what 8 experts have predicted. 

The most expensive cities for childcare 

Florida businesses plan to strike Thursday to protest DeSantis immigration law 

Here's a list of major companies requiring employees to return to the office 

You hate your job but you love working from home: You're in remote-work handcuffs 

Elon Musk told officials in Beijing that he is opposed to the US and China breaking down economic ties 

Beyond 'Quiet Quitting': Another Workplace Trend Is Making Employers Even Angrier 

Trump tax cuts added less than $2 trillion to debt, nowhere near 25% | Fact check 

Firms are bringing production home thanks to war, China’s slowdown — and TikTok 

Global unemployment to fall to 5.3%; low-income countries fall back in recovery process: ILO 

Why are So Many Seniors Homeless in America? 

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Real Estate:

Supreme Court Unanimously Holds That The Government Must Return Excess Equity To The Taxpayer After Selling Her Home 

US Mortgage Rates Hit Near Seven-Month High During Debt Impasse 

MBA: Mortgage Applications Decreased in Weekly Survey  Mortgage demand drops to the lowest level in three months

Investor home purchase fall by record amount: report 

Investors made record retreat from housing in the first quarter

Higher mortgage rates keeping homebuyers on the sidelines 

Why Nonprofits Are Moving to Evict Hundreds of Vulnerable Tenants 

Elon Musk said home prices will crater – and it prompted a sharp rebuttal from the CEO of housing giant Redfin 

Wells Fargo CEO Says ‘There Will Be Losses’ From US Office Loans 

'Truly innocent' young engaged couple killed on front lawn by landlord in dispute over mold: Police 

The 10 best cities to become a homeowner, where houses are affordable relative to incomes and property values tend to go up 

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Municipalities:

WWNY Budget shortfall, belt-tightening & bankruptcy: Ogdensburg faces tough future 

Puerto Rico Electric Power Authority’s Debt Restructuring Plan Poses Unsustainable Burden: IEEFA 

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Retailing:

The collapse of the ‘unremarkable middle’ might be the best way to describe what’s going wrong for retailers right now 

Not just shoplifting: Here’s why companies say retail theft is such a big deal 

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Banking:

Credit Suisse Bankers Sue Over AT1 Bonuses Wiped Out in UBS Deal 

FDIC Says Banks With Weaknesses Increased in First Quarter 

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Climate:

Earth is ‘really quite sick now’ and in danger zone in nearly all ecological ways, study says 

Health report card for the planet: These are the boundaries scientists say we need to watch 

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Mass Torts:

J&J faces new trial over talc cancer claims, amid settlement push 

An Appeals Court Gave the Sacklers Legal Immunity. Here’s What the Ruling Means Ruling Clears Way for Purdue Pharma to Settle Opioid Claims, Protect Sacklers

3M Attorneys Get Earplug Trial Sanctions Thrown Out, for Now

Catholic Church in California grapples with more than 3,000 lawsuits, alleging child sex abuse 

Court ruling casts long shadow over future opioid lawsuits 

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Bankruptcy Crimes:

Former Saco School Board member sentenced to 2 years probation for bankruptcy fraud 

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Broker-Dealers:

California B-D that sold GWG bonds files for bankruptcy 

Securities Lawyers announce GWG L Bondholders Voted to Approve Chapter 11 Plan 

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Sports:

Vitriol between MLB, Diamond Sports exposed in marathon bankruptcy hearing 

MLB’s Rob Manfred Says Sinclair Exec Threatened Bankruptcy 

Diamond Sports Balks at Padres Payment, Won’t Air Team’s Games  As MLB takes over Padres broadcasts, Rob Manfred lashes out at Sinclair

Bally Sports bankruptcy could change sports broadcasts 

Knights’ Lehner hit with another fraud claim in bankruptcy case 

What's next in the regional sports networks battle 

Major League Baseball to cover most of Twins' TV revenue losses if Diamond Sports backs out of deal 

Bally Sports Plus Has 203,000 Subscribers, Only 55% of Diamond's Goal 

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Defaults:

Buy Houlihan Lokey stock if Deutsche Bank is right about defaults 

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Apparel:

Fitness clothing e-commerce retailer files for Chapter 11 bankruptcy 

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Fintech:

Paytech titan Diebold Nixdorf set to file for Chapter 11 bankruptcy protection 

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Edtech:

BYJU'S creditors pull out of talks for $1.2 bn loan, accuse firm of hiding $500 mn of funds raised: Report 

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New Bankruptcy Opinions
(6 new opinions today - DBN)

Recent Ch. 11 Filings (Temporarily Unavailable)

Recent Ch. 11 Adversary Proceeding Filings (Temporarily Unavailable)

Bankruptcy Statistics:

Corporate Bankruptcies At Levels Last Seen During The Pandemic 

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Third Party Releases:

Third-Party Releases Clearly Endorsed in the 2nd Circuit, At Long Last 

Purdue Opinion Deepens Circuit Split Over Bankruptcy Releases 

Purdue Pharma’s Bankruptcy Works Now - Bloomberg 

Federal appeals court unanimously lets Sackler family off hook in opioid litigation, blames bankruptcy for ‘less-than-perfect outcomes’ 

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Bankruptcy Prediction:

Alum, professors propose new bankruptcy prediction model for North American companies 

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Aviation:

Delta Air Lines hit with proposed class action over carbon neutral claims  No Fly Zone: Delta Is Getting Hit With A Misrepresentation Suit

Air New Zealand to weigh passengers before boarding international flights 

Lenders reject Go First’s pleas for undrawn funds  HCs shouldn’t hear insolvency cases, argues Go First RP Go First Requests Regulator Not To Suspend AOC

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Sports:

MLB will broadcast San Diego Padres games after Diamond Sports stops payments 

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Student Debt:

Opposition grows to debt ceiling deal measure ending student loan payment pause 

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Food/Beverage:

Bud Light Sales Slump Has AB InBev Eyeing Worst Month Since 2020 

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Retailing:

Advance Auto Parts shares plummet 30% after dismal results, cuts to outlook and dividend  

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Labor:

Amazon workers planning walkout at Seattle headquarters  Amazon workers stage walkout over company’s climate impact, return-to-office mandate

Writers' Shut-It-Down Strategy Has Been Effective, Executives Privately Concede 

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Movie Theaters:

Larger Screens, Heated Seats, Sushi: Theater Owners Want You Back

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Banking:

FDIC: US bank deposits dropped by most in 39 years to start 2023 

FDIC Says Banks With Weaknesses Increased in First Quarter 

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Student Debt:

White House, GOP both claim victory on student loans in debt limit bill 

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Crypto:

Bankruptcy Claims Exchange OPNX Issues New Governance Token 

Gate.io denies insolvency claims amid suspicion of exposure to Multichain 

What D&O Professionals Need to Know About CBDCs and Stablecoins 

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Fraud:

Civil Claims Against Lake City Bank Arising From Check Kiting Scheme Dismissed By Judge 

May 2023 Ponzi Scheme Roundup 

US Supreme Court spurns ex-Shkreli lawyer Greebel's challenge to prosecutors 

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Sovereigns:

World Bank Moves to Restore Tunisia Aid Program as Crisis Flares 

New York’s Boost for Chinese Creditors - WSJ  Can a New York state law solve an emerging markets debt crisis?

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UK:

When banks go bust – an overview of the UK Special Resolution Regime 

Reed Smith’s Katherine Campbell on why something needs to give for high street rates 

UK’s Biggest Sale of Solar Farms Kicks Off After Toucan Collapse 

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EU:

Europe’s Bond Rally Shows How Economic Cracks Are Spreading 

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Canada:

Creditors battle over Vancouver film studio’s debts 

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Russia:

Russia's own economic figures show a steep drop in industrial output amid a record labor shortage 

Ukraine deserves full NATO status: Half measures appease Russia 

House GOP prepares for final procedural drama before expected debt deal passage 

US Announces $300 Million in Ammunition and Supplies for Ukraine 

Ukraine’s Allies Push Back on Striking Targets in Russia 

Report Finds 90 Percent of Russia's Projectile Weapons Failed in May 

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MENA:

Israel Foreign Ministry to boycott event focused on spitting attacks against Christians 

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Ireland:

Irish Court Appoints Liquidators to Russian State-Owned Lessors  Irish lawyers for Russian lessor allowed to quit insolvency case

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Australia:

Post Administration R&D Tax Offsets Deemed Personal Property in Account 

End of an era? Popular Australian restaurant chain shuts down two restaurants after the pair went bankrupt 

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South Africa:

S.African retailer Steinhoff seeks court approval for debt restructuring 

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China:

China's economy shows more weakness as real estate and factory activity slow 

Elon Musk hailed as 'Brother Ma' during a trip to China, where he's been lavished with a 16-course meal and treated like a king 

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India:

Position of a Seller of an Immovable Property under the Insolvency and Bankruptcy Code, 2016 

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Spain:

Restructuring and Insolvency Newsletter 

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Germany:

German manufacturing shrinks at fastest in 3 years in May -PMI 

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Bolivia:

Bolivia government says trustee probing bank died by suicide, but some demand new investigation 

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Brazil:

Brazil's Vale, BHP Billiton, creditors agree on restructuring framework for Samarco JV 

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