MCG Preference Actions Update

When a company enters Chapter 11 bankruptcy, many assume the process will culminate in a lengthy reorganization plan. However, distressed businesses are increasingly being sold through a different mechanism—a sale under Section 363 of the United States Bankruptcy Code. Understanding how Section 363 sales work can help business owners, lenders, investors, and prospective purchasers identify opportunities and avoid costly surprises in bankruptcy asset transactions.

The 2025 restructuring of the Ardagh Group S.A. (Ardagh or the company) capital structure unleashed one of the most controversial—and ultimately consequential—“Restructuring” credit event determination processes...

Riveron's Q2 2026 Restructuring & Turnaround brief examines how companies across multiple industries are navigating elevated financial distress amid tighter credit conditions, rising debt maturities, and persistent operational pressures. The analysis explores sector-specific challenges from aerospace to retail, highlighting how management teams and lenders are addressing liquidity constraints and restructuring risks in an increasingly selective credit environment.

Section 363 sales have become a routine feature of commercial bankruptcy cases, often determining recovery for secured creditors before a reorganization plan is even filed. Understanding the mechanics of credit bidding, adequate protection rights, and bid procedure negotiations can mean the difference between maximizing recovery and watching collateral sold under unfavorable terms.

MPM Silicones, LLC filed for chapter 11 bankruptcy protection, and soon after filed a prearranged plan of reorganization and obtained commitments for two exit financing facilities.

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.

In asset-backed lending, the strength of the secured lender's position is only as reliable as the collateral securing it and the lender's ability to realize upon that collateral in the event of borrower distress.

In In re Nussbaum Lowinger LLP, the Bankruptcy Court for the Southern District of New York (the Court) dismissed Chapter 11 bankruptcy cases commenced by two law firms and did so in favor of their assignment for the benefit of creditors proceeding already pending in New York state court. This decision provides useful guidance for creditors, assignees, and debtors evaluating whether to move from a state law assignment for the benefit of creditors to a federal bankruptcy case.

The Southern District of New York Bankruptcy Court's written decision in 1300 Desert Willow expands upon the Mako framework, clarifying when debtors can challenge an oversecured creditor's entitlement to post-petition default interest at contractual rates. The ruling narrows the application of the "fresh start" factor in single-asset real estate cases and addresses whether Section 506(b)'s reasonableness requirement applies to prepetition claim components, providing critical guidance for bankruptcy practiti

A Delaware bankruptcy court ruling clarifies that trustees can pursue subsequent transferees in fraudulent transfer cases without naming the initial transferee as a defendant, though they must still prove and avoid the initial transfer. This decision provides critical guidance for vendors and creditors who may face clawback exposure even when the original wrongdoer isn't sued directly.

The U.S. Bankruptcy Court for the Southern District of New York recently rejected arguments that a foreign debtor's incorporation outside the United States and concurrent...

Oya Renewables, a Boston and Toronto-based solar infrastructure developer founded in 2009, has initiated Chapter 11 bankruptcy proceedings in Delaware.

When a special purpose acquisition company burns through capital pursuing a failed deal, it often emerges from the wreckage with nothing but litigation claims. How, then, should a debtor with no operational revenue...

The Delaware Court of Chancery issued fees in the amount of $200,000 in a civil case for violation of Delaware’s Misuse of Computer System Information Act.

Vice Chancellor Rennie’s memorandum opinion (by designation) in Shareholder Representative Services LLC v. Astellas Pharma Inc., C.A. No. 2023-0952-SKR (Del. Ch. Mar. 31, 2026) serves...

On December 2, 2016, Limitless Mobile, LLC ("Limitless" or the "Debtor") filed a chapter 11 voluntary petition in the United States Bankruptcy Court for the District of Delaware.

A Memorandum Opinion issued by Vice Chancellor Lori W. Will on March 17, 2026 in Armaments Research Company, Inc. v. William O'Neil, C.A. No. 2025-0944-LWW (Del. Ch. Mar. 17, 2026)...

A recurring question in deal litigation is when a handful of large investors who roll over their equity in a take-private become a “control group” subject to entire fairness review.

Does an individual who received a void issuance of stock from a Delaware corporation have standing to bring a books and records action under Section 220 of the Delaware General Corporation Law.

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...