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“Stop in the name of love, before you break my heart” That’s what bankruptcy lawyers are now proclaiming in the wake of Baker Botts v. Asarco, in which the Supreme Court held that the debtor’s law firm could not be paid its “fees on fees” in defending against an objection to their fees. Two disclaimers. First, our firm represented the winning party in Baker Botts. Second, I am a bankruptcy lawyer and I would like to be paid all of my fees, including fees on fees. But it ain’t right or, at least, it ain’t what Congress authorized in Bankruptcy Code § 330. Baker Botts presented a conflict between competing principles. The first principle is the American Rule, which says that each party to litigation pays its own fees unless there is law that expressly provides otherwise. The second principle is that, in Chapter 11, estate professionals must file applications to approve their fees and anyone in the case can object. Because of this second principle, as well as the multi-party dynamics of Chapter 11 proceedings, there may often be the need to defend fees in a Chapter 11 setting.

Read More from: Basis Points

1 week 12 hours ago
Sale signs greet customers walking to the RadioShack at Valley View Plaza in Marion, Ind., on Friday, Feb. 20, 2015. The store is among the Central Indiana Radio Shacks slated to close in the wake of the company’s Feb. 5 bankruptcy filing. (AP Photo/The Chronicle-Tribune, Jeff Morehead) Published Credit: The Chronicle-Tribune/Associated Press
The Chronicle-Tribune/Associated Press
Bankruptcy lawyers are counting the take from the liquidation of the former RadioShack Corp., getting closer to final figures on the damage from the retailer’s collapse while fending off a bid to push them out of the case in favor of a trustee. The Wall Street Journal has the Daily Bankruptcy Review article here. (Daily Bankruptcy Review is a daily newsletter with comprehensive coverage and analysis of emerging and in-progress insolvencies and turnarounds. For a two-week trial, visit http://on.wsj.com/DJBankruptcyNews, scroll to the bottom and click “try for free.”)

Read More from: WSJ.com: Bankruptcy Beat

1 week 13 hours ago
Sale signs greet customers walking to the RadioShack at Valley View Plaza in Marion, Ind., on Friday, Feb. 20, 2015. The store is among the Central Indiana Radio Shacks slated to close in the wake of the company’s Feb. 5 bankruptcy filing. (AP Photo/The Chronicle-Tribune, Jeff Morehead) Published Credit: The Chronicle-Tribune/Associated Press
The Chronicle-Tribune/Associated Press
Bankruptcy lawyers are counting the take from the liquidation of the former RadioShack Corp., getting closer to final figures on the damage from the retailer’s collapse while fending off a bid to push them out of the case in favor of a trustee. The Wall Street Journal has the Daily Bankruptcy Review article here. (Daily Bankruptcy Review is a daily newsletter with comprehensive coverage and analysis of emerging and in-progress insolvencies and turnarounds. For a two-week trial, visit http://on.wsj.com/DJBankruptcyNews, scroll to the bottom and click “try for free.”)

Read More from: WSJ.com: Bankruptcy Beat

1 week 13 hours ago
Sale signs greet customers walking to the RadioShack at Valley View Plaza in Marion, Ind., on Friday, Feb. 20, 2015. The store is among the Central Indiana Radio Shacks slated to close in the wake of the company’s Feb. 5 bankruptcy filing. (AP Photo/The Chronicle-Tribune, Jeff Morehead) Published Credit: The Chronicle-Tribune/Associated Press
The Chronicle-Tribune/Associated Press
Bankruptcy lawyers are counting the take from the liquidation of the former RadioShack Corp., getting closer to final figures on the damage from the retailer’s collapse while fending off a bid to push them out of the case in favor of a trustee. The Wall Street Journal has the Daily Bankruptcy Review article here. (Daily Bankruptcy Review is a daily newsletter with comprehensive coverage and analysis of emerging and in-progress insolvencies and turnarounds. For a two-week trial, visit http://on.wsj.com/DJBankruptcyNews, scroll to the bottom and click “try for free.”)

Read More from: WSJ.com: Bankruptcy Beat

1 week 13 hours ago
Saratoga Resources and 4 affiliates filed for protection under Chapter 11 of the United States Bankruptcy Code on June 18, 2015 In the United States Bankruptcy Court for the Western District of Louisiana under Case No. 15-50748. The Debtors in the proceedings areHarvest Oil & Gas, LLC (“Harvest Oil”), Saratoga Resources, Inc. (“Saratoga”), The Harvest Group LLC (“Harvest Group,” and together with Harvest Oil, the “Harvest Companies”), Lobo Operating, Inc. (“Lobo Operating”), and Lobo Resources, Inc. (“Lobo Resources” and together with Lobo Operating, the “Lobo Companies”). The Debtors discuss the filing: 2009 Chapter 11 Filing “”In order to preserve the companies’ equity, on March 31, 2009, the Debtors each filed a voluntary petition in this Court for reorganization relief under chapter 11 of title 11 of the Bankruptcy Code, Case Nos. 09-50397 through 09-50401 (“2009 Bankruptcy”). “On April 19, 2010, this Court entered an order [ECF No. 1101, 09-50397] (the “Confirmation Order”) [ECF No. 1101, 09-50397] confirming the Debtors’ Third Amended Plan of Reorganization (as Modified as of March 31, 2010) [ECF No. 1074, 09-50397] (the “2010 Plan”). On May 14, 2010 (the “Effective Date”), the Debtors filed a notice of the occurrence of the Effective Date with the Bankruptcy Court [ECF No. 1129, 09-50397] and the 2010 Plan became effective and was substantially consummated.

Read More from: Richard G. Grant, P.C.

1 week 14 hours ago
American consumer debt increased steadily in April as credit-card use surged. At the same time,  education and vehicle debt grew at the slowest pace since July 2012.   While economists typically see a pickup in consumer debt as a strong indicator of consumer confidence; however, the growth could also be a sign that money is scarce for many households and that consumer debt is the only option left on the table. It seems like the latter explanation is a little more plausible. After all, if consumer confidence were really on the rise, why would car loans be declining. Our suspicion is that for most Oregonians, economic instability is what is really causing the spike in consumer debt. In any event, watching a ramp up in consumer debt accompanied by the near loan shark interest rates that the banks are now permitted to legally charge without any trace of shame, all I can say is that isn’t our first time at the rodeo. We know how this turns out.   The original post is titled Increase in Consumer Debt , and it came from Portland Bankruptcy Attorney | Northwest Debt Relief .

Read More from: Oregon Bankruptcy Lawyer

1 week 1 day ago
What Congress took away ten years ago, the California legislature may give back if SB 308 becomes law. When the Bankruptcy Code was amended in 2005, Congress gifted the car finance industry with a plum:  those who filed bankruptcy could no longer make their car payments  after bankruptcy and count on keeping their cars. Instead debtors were faced with giving up their bankruptcy discharge as to the car loan or giving up their car to the lender. Without a reaffirmation agreement, bankruptcy filers had to worry that they’d come out some morning and find their car repoed, even when the payments were current. Hardly seems fair, but, hey, this was the auto lobby and Congress. Keep and pay may return The California Assembly takes up a bill this month that would prohibit car lenders from declaring a car loan in default just because the borrower filed bankruptcy. The borrower has to keep paying for the car if she wants to keep it, but she doesn’t have to give up the bankruptcy discharge of the car loan to do so. The return of ride-through is just one of the long needed provisions of Senator Bob Wieckowski’s bill to improve California exemptions. Other standout changes proposed by the bill include:
1 week 2 days ago
A recap of the informed opinions (and the discussions they generated) on BankThink this week, including the need to hold bankers accountable for criminal deeds and whether the FDIC's proposed recordkeeping requirement is smart planning or pointless.

Read More from: BankThink

1 week 3 days ago
This week on The Broke and the Beautiful, David Cassidy is selling off his house in bankruptcy, and Sonja Morgan gets to keep her New York City pad.
Seventies heartthob David Cassidy leaves town court in Schodack, N.Y., on Wednesday, Sept. 3, 2014.
Patrick Dodson/Associated Press
David Cassidy filed for bankruptcy in February, and now his house is going up for sale. As the South Florida Business Journal noted, the actor and singer’s Fort Lauderdale house is headed to an auction tentatively scheduled for Aug. 19. The house, which is getting sold off by Fisher Auction Co., has six bedrooms, six bathrooms, a “magnificent chef’s kitchen” and a “resort-style pool.” Mr. Cassidy, best known for his role in the 1970s sitcom “The Patridge Family,” reported assets and debts each between $1 million and $10 million in his bankruptcy filing.  

Read More from: WSJ.com: Bankruptcy Beat

1 week 3 days ago
This week on The Broke and the Beautiful, David Cassidy is selling off his house in bankruptcy, and Sonja Morgan gets to keep her New York City pad.
Seventies heartthob David Cassidy leaves town court in Schodack, N.Y., on Wednesday, Sept. 3, 2014.
Patrick Dodson/Associated Press
David Cassidy filed for bankruptcy in February, and now his house is going up for sale. As the South Florida Business Journal noted, the actor and singer’s Fort Lauderdale house is headed to an auction tentatively scheduled for Aug. 19. The house, which is getting sold off by Fisher Auction Co., has six bedrooms, six bathrooms, a “magnificent chef’s kitchen” and a “resort-style pool.” Mr. Cassidy, best known for his role in the 1970s sitcom “The Patridge Family,” reported assets and debts each between $1 million and $10 million in his bankruptcy filing.  

Read More from: WSJ.com: Bankruptcy Beat

1 week 3 days ago
Carl Icahn won’t be the man signing your greenbacks. The billionaire investor made it clear Friday he won’t become treasury secretary, even if Donald Trump wins the presidency.
Bloomberg News
But he is sharing with Mr. Trump concerns about the market and would like to hear talk about that in the campaign cycle. Mr. Trump raised the possibility he’d like to bring “his friend” Mr. Icahn along for the ride in an interview on Bloomberg Television, also suggesting former General Electric Co. CEO Jack Welch and KKR & Co.’s Henry Kravis. Mr. Icahn quickly moved to quiet such talk on his blog today. “I was extremely surprised to learn that Donald was running for President and even more surprised that he stated he would make me Secretary of Treasury,” he wrote. “I am flattered but do not get up early enough in the morning to accept this opportunity.”

Read More from: WSJ.com: Bankruptcy Beat

1 week 3 days ago
Carl Icahn won’t be the man signing your greenbacks. The billionaire investor made it clear Friday he won’t become treasury secretary, even if Donald Trump wins the presidency.
Bloomberg News
But he is sharing with Mr. Trump concerns about the market and would like to hear talk about that in the campaign cycle. Mr. Trump raised the possibility he’d like to bring “his friend” Mr. Icahn along for the ride in an interview on Bloomberg Television, also suggesting former General Electric Co. CEO Jack Welch and KKR & Co.’s Henry Kravis. Mr. Icahn quickly moved to quiet such talk on his blog today. “I was extremely surprised to learn that Donald was running for President and even more surprised that he stated he would make me Secretary of Treasury,” he wrote. “I am flattered but do not get up early enough in the morning to accept this opportunity.”

Read More from: WSJ.com: Bankruptcy Beat

1 week 3 days ago
Incorporating bill and rental payment data into consumer credit scores would be a boon for underserved Americans. New legislation in Congress could help credit reporting agencies realize this goal.

Read More from: BankThink

1 week 3 days ago
We see many families with the need to file a Union Grove bankruptcy. A large percentage of these families consist of children. A common question and concern for families filing bankruptcy is, “Are my children’s assets protected when filing bankruptcy?” This is a great question. We have provided an in-depth answer to this frequently asked question below. When filing a Union Grove bankruptcy, you are required to list your assets and the value of your assets. If you have children, you may be concerned about your children’s assets when filing bankruptcy. In the majority of bankruptcy cases, this is not an issue to worry about. However, there are always exceptions.

Read More from: Wynn at Law, LLC

1 week 3 days ago
This image provided by RMK Services shows a Colt .45 SAA revolver that belonged to Robert LeRoy Parker, better known as Butch Cassidy.
Associated Press
A week into its bankruptcy case, gun manufacturer Colt Defense LLC will begin its faceoff Monday with bondholders averse to the company’s plan to retain private-equity firm Sciens Capital Management as its owner. Judge Laurie Selber Silverstein of the U.S. Bankruptcy Court in Wilmington, Del., will on Monday consider Colt’s motion to have Sciens cover the cost of its bankruptcy case with $20 million in bankruptcy financing, according to court documents. That loan is linked to a bid that would pay off $108 million of Colt’s top-tier debt and keep the Sciens ownership in place. However, bondholders have offered $55 million in bankruptcy financing on what they say are better terms. The bondholders said their loan would allow the company to avoid a quick sale to current owner Sciens Capital Management, which has offered to serve as the lead bidder at an Aug. 3 bankruptcy auction. The rival proposal was spelled out in court papers filed by bondholders that included Phoenix Investment Adviser LLC, New Generation Advisors LLC and Bowery Investment Management LLC.

Read More from: WSJ.com: Bankruptcy Beat

1 week 3 days ago
This image provided by RMK Services shows a Colt .45 SAA revolver that belonged to Robert LeRoy Parker, better known as Butch Cassidy.
Associated Press
A week into its bankruptcy case, gun manufacturer Colt Defense LLC will begin its faceoff Monday with bondholders averse to the company’s plan to retain private-equity firm Sciens Capital Management as its owner. Judge Laurie Selber Silverstein of the U.S. Bankruptcy Court in Wilmington, Del., will on Monday consider Colt’s motion to have Sciens cover the cost of its bankruptcy case with $20 million in bankruptcy financing, according to court documents. That loan is linked to a bid that would pay off $108 million of Colt’s top-tier debt and keep the Sciens ownership in place. However, bondholders have offered $55 million in bankruptcy financing on what they say are better terms. The bondholders said their loan would allow the company to avoid a quick sale to current owner Sciens Capital Management, which has offered to serve as the lead bidder at an Aug. 3 bankruptcy auction. The rival proposal was spelled out in court papers filed by bondholders that included Phoenix Investment Adviser LLC, New Generation Advisors LLC and Bowery Investment Management LLC.

Read More from: WSJ.com: Bankruptcy Beat

1 week 3 days ago
Series: Securities Law 2015 Private placement offerings can be a key source of capital, but what should be considered in doing a private placement and how are they done?  This webinar will cover the risks that should be evaluated prior to doing a private placement, factors that should be taken into consideration, and benefits to those involved. Read more here.
1 week 3 days ago
You Will Make It Through Your Bankruptcy; Don’t Panic For many people the thought of filing for bankruptcy is devastating. If it turns out that you need to file and you simply cannot pay off your debt, listen to the advice of your bankruptcy attorney and don’t panic. There are several panic mode incidents which+ Read More The post You Will Make It Through Your Bankruptcy; Don’t Panic appeared first on David M. Siegel.
1 week 3 days ago
Weil Business Finance & Restructuring partner Joseph Smolinsky spoke at the Barclays 2015 High Yield Bond and Syndicated Loan Conference in Colorado Springs, Colorado. The session, which was held as a webinar, included a presentation to the investment community on distressed coal considerations, followed by a question and answer period. Listen to an archived audio webcast of the presentation here.
1 week 3 days ago
On June 18, 2015, Saratoga Resources, Inc. (“Saratoga”) and its subsidiaries (collectively and including Saratoga, the “Debtors”) filed for Chapter 11 bankruptcy protection in the United States Bankruptcy Court for the Western District of Louisiana, Lafayette Division.  In connection with the bankruptcy filing, the Debtors also filed a Form 8-K with the U.S. Securities and Exchange Commission (the “June 19th Form 8-K”). Saratoga’s bankruptcy petition indicates that the Debtors have assets of approximately $ 101.2 million with outstanding debts of approximately $219.2 million.  Bankruptcy Petition at 4.  The Debtors’ secured debt is composed of (i) $54.6 million owed in the form of 10.0% Senior Secured Notes due 2015 and (ii) $125.2 million owed in the form of 12½% Senior Secured Notes due 2016.  The senior secured notes are held by funds managed by GSO Capital Partners LP and Stonehill Capital Management LLC.  June 19th Form 8-K at 2; Saratoga Bankruptcy Petition at 5.  The Debtors’ primary, oil-producing assets are shallow-water oil and gas leases in the state of Louisiana and on the Outer Continental Shelf.  See www.saratogaresources.com/operations/.
1 week 3 days ago

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