Are You Breaking Up with Me? Termination Fees in Bankruptcy Called into Question. In a move that surprised bankruptcy practitioners and other observers, a Delaware bankruptcy court recently rescinded an order approving a $275 million break-up fee relating to a failed merger.  Judge Christopher Sontchi held that Debtor Energy Future Holdings could not pay the merger termination fee to NextEra Energy, the prospective buyer of nondebtor subsidiary, Oncor Electric Delivery Co., in part because the fee did not provide an actual benefit to the Debtors’ estate. View Full Post
Norton Rose Fulbright released its Restructuring Newswire for the Fall 2017.  Find the following topics in this issue: Supreme Court to decide scope of safe harbor protections against avoidance claims Extraterritoriality and the Bankruptcy Code: the uncertain reach of the US avoiding powers Sales of inventory:  Third Circuit clarifies the meaning of “received” under section 503(b)(9) of the Bankruptcy Code Chapter 15 developments:  United States enforce Canadian restructuring plans To read the Newswire, click here. View Full Post
Mac Acquisition LLC (dba Romano’s Macaroni Grill), along with eight affiliates and subsidiaries, has filed a petition for relief under Chapter 11 in the Bankruptcy Court for the District of Delaware (Lead Case No. 17-12224).  According to the First Day Declaration, Mac enters Chapter 11 with a prepacked plan of reorganization and a Restructuring Support Agreement with two of its largest secured creditors.  View Full Post