On August 29, 2025, the Delaware Bankruptcy Court issued a dismissal order in In re Bedmar, LLC that stands as one of the clearest applications of the “manufactured bankruptcy” doctrine to emerge from the post-Third Circuit landscape. Judge J. Kate Stickles dismissed the Chapter 11 case under Section 1112(b) for lack of good faith, finding
Insurance Coverage Considerations When Negotiating Stay Relief in Bankruptcy Cases
When personal injury attorneys face a defendant who files for bankruptcy, progress on the case suddenly halts as the automatic stay takes effect. While obtaining relief from the stay is the first challenge (as discussed in my previous article), understanding the insurance coverage landscape is equally critical. Most successful stay relief negotiations involve limiting
Delaware Bankruptcy Court Grants Late-Filed Abuse Claim in Boy Scouts Bankruptcy Case, Finding Excusable Neglect Despite Substantial Delay
The letter decision, issued by Judge Laurie Selber Silverstein of the United States Bankruptcy Court for the District of Delaware on December 16, 2024, addresses a Motion to Allow Late-Filed Proof of Claim in the Boy Scouts of America bankruptcy case. The movant, identified only as “J.C.,” sought permission to file a late claim
Nothing Ordinary About It: Delaware Court Rejects Simple Statistics in Preference Action
In the recent decision of FI Liquidating Trust v. The Terminix International Company Limited Partnership, Civ. No. 23-1233 (D. Del. Oct. 29, 2024), the United States District Court for the District of Delaware reversed and remanded a bankruptcy court’s summary judgment ruling in a preference action. The case involved the FI Liquidating Trust (formed
PetroQuest Energy Files Second Bankruptcy, Plans Asset Sale Amid $115.5M Debt
PetroQuest Energy Inc., a Louisiana-based oil and gas exploration company, has filed for bankruptcy in Delaware with $115.5 million in debt ($104.5 million secured, $11 million unsecured). This marks their second bankruptcy filing, having previously emerged from Chapter 11 in 2019. The company, which was founded in 1998 and focuses on oil and natural gas
Oya Renewables – Bidding Procedures Motion
- December 17, 2024: proposed deadline
Solar Energy Developer Seeks Bankruptcy Protection Amid Financial Crisis
Oya Renewables, a Boston and Toronto-based solar infrastructure developer founded in 2009, has initiated Chapter 11 bankruptcy proceedings in Delaware. The company faces financial obligations between $100-500 million, including $86.8 million in secured debt, while maintaining minimal cash reserves of just $58,000.
The company’s downfall stems from multiple challenges, according to Chief Restructuring Officer John
Third Circuit Joins Fifth and Ninth on Solvent-Debtor Exception: In re Hertz Corp.
On September 10, 2024, the United States Court of Appeals for the Third Circuit issued a significant decision in In re The Hertz Corporation, No. 23-1169, addressing make-whole premiums and post-petition interest in the Chapter 11 reorganization of a solvent debtor. Writing for the panel, Judge Ambro held that (1) make-whole premiums are
Plan Confirmation Is Final: Delaware Bankruptcy Court Rejects Virgin Orbit Equity Holders’ Revocation Motion
In a decision emphasizing the finality of confirmed Chapter 11 plans, the United States Bankruptcy Court for the District of Delaware denied a motion by Virgin Orbit equity holders to revoke the plan confirmation order in Virgin Orbit, L.L.C., 659 B.R. 36 (Bankr. D. Del. 2024). The case presents an instructive lens on
Delaware Bankruptcy Court Holds SBRA Due Diligence Is an Element of a Preference Claim — But Rule 9(c) Governs Pleading
In Pinktoe Liquidation Trust v. Dellal (In re Pinktoe Tarantula Limited), Adv. Pro. No. 20-50597 (Bankr. D. Del. Apr. 14, 2023), Judge Laurie Selber Silverstein addressed a question that has divided bankruptcy courts since the Small Business Reorganization Act of 2019 (“SBRA”) amended Section 547(b): is the new “reasonable due diligence” requirement an element