December 21, 2016 | Delaware Business Court Insider
Turnover Order Cannot Trump Prohibition on Disclosure of ESI by Email Service ProviderIn a decision with implications that extend beyond bankruptcy, Bankruptcy Judge Christopher S. Sontchi refused to order an email service provider to turn over the contents of a private email account after the owner of the account evaded service and failed to comply with several discovery orders.
By Barry M. Klayman and Mark E. Felger
15 minute read
November 09, 2016 | Delaware Business Court Insider
Bankruptcy Court Holds Class-Action Waiver in Arb Agreement Violates NLRAU.S. Bankruptcy Judge Brendan Shannon of the District of Delaware recently decided two issues of first impression in this circuit: first, a class-action waiver provision in an arbitration agreement between an employer and an employee violates the National Labor Relations Act (NLRA), and second, an opt-out provision in an arbitration agreement containing a provision that violates the NLRA does not save the arbitration agreement.
By Barry M. Klayman and Mark E. Felger
13 minute read
October 12, 2016 | Delaware Business Court Insider
Vendor's Reclamation Rights Survive Lien of Post-Petition DIP LoanIn In re Reichhold Holdings US, Inc., Case No. 14-12237 (MFW) (Bankr. Del., Aug. 24), Bankruptcy Judge Mary F. Walrath upheld the validity of a vendor's administrative claim for its reclamation rights under Section 546(c) of the Bankruptcy Code as against a post-petition DIP lender.
By Barry M. Klayman and Mark E. Felger
13 minute read
September 07, 2016 | Delaware Business Court Insider
Post-Confirmation Noncore Claim Defeats Bankruptcy Court JurisdictionBankruptcy Judge Mary F. Walrath found in a recent case that she lacked jurisdiction over claims for breach of fiduciary duty brought by a liquidating trustee against former managers and officers of Chapter 11 debtors.
By Barry M. Klayman and Mark E. Felger
11 minute read
August 10, 2016 | Delaware Business Court Insider
Bankruptcy Judge Allows Filing of Class-Based Proof of ClaimIn In re Pacific Sunwear of California, Case No. 16-10882 (LSS) (Bankr. D. Del. June 22, 2016), U.S. Bankruptcy Judge Laurie Selber Silverstein of the District of Delaware granted a motion for leave to file a class proof of claim. In so doing, she rejected an argument by the debtors that class claims are impermissible in bankruptcy cases.
By Barry M. Klayman and Mark E. Felger
13 minute read
July 06, 2016 | Delaware Business Court Insider
Use of 'Golden Share' to Block Voluntary Bankruptcy Violates Fed. LawsU.S. Bankruptcy Judge Kevin J. Carey of the District of Delaware has denied a creditor's motion to dismiss the voluntary bankruptcy petition of a Delaware limited liability company filed in contravention of a provision in its operating agreement that required the unanimous consent of all members, including the creditor, to commence a bankruptcy case.
By Barry M. Klayman and Mark E. Felger
15 minute read
June 08, 2016 | Delaware Business Court Insider
Champerty and Maintenance ReduxRecent newspaper stories recount how a billionaire Silicon Valley entrepreneur secretly financed a lawsuit to put Gawker out of business.
By Barry M. Klayman and Mark E. Felger
14 minute read
May 11, 2016 | Delaware Business Court Insider
Supreme Court Rejects Fear of 'Super-Director'We previously wrote about the decision by former Vice Chancellor Donald F. Parsons concerning several of its substantive holdings relating to breach of fiduciary duty claims.
By Barry M. Klayman and Mark E. Felger
10 minute read
April 06, 2016 | Delaware Business Court Insider
Production of Metadata Ordered on Showing of Particularized NeedA particularized showing of need is required before the court will compel the production of documents in native file format with metadata. This requirement was met by the plaintiffs in Delaware Acceptance v. Estate of Metzner, C.A. No. 8861-MA (Del. Ch. Feb. 17, 2016), a recent report by Master in Chancery Kim Ayvazian.
By Barry M. Klayman and Mark E. Felger
10 minute read
March 09, 2016 | Delaware Business Court Insider
Judges Reject Fee Defense Provisions in Retention ApplicationsIn two recent decisions, judges of the U.S. Bankruptcy Court for the District of Delaware declined to approve retention applications that included provisions entitling counsel to reimbursement of fees, costs and expenses arising from the successful defense of their fee applications (so-called fee defense provisions).
By Barry M. Klayman and Mark E. Felger
5 minute read