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Category Archives: Fraudulent Conveyance

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Morrison v. Berry – Delaware Supreme Court Rules On Disclosure of the Reasons Behind a Corporate Board Action For Which Business Judgment Deference is Sought

Posted in Delaware Law, Fraudulent Conveyance
It’s certainly been interesting to watch the last several years of opinions from the Delaware Supreme Court. A July 2018 opinion adds to the list of interesting opinions because it limits the circumstances under which business judgment deference will be allowed. The opinion is Elizabeth Morrison v. Ray Berry et. al., which was first issued on… Continue Reading

Update on Springer v. Nohl: Fraudulent Conveyance Claims Arising from Shut Down of Company

Posted in Asbestos, Fraudulent Conveyance, Litigation Industry, Mass Tort Issues
The Springer v.  Nohl fraudulent conveyance/asbestos case in Wisconsin highlights dubious corporate side activities, and  is finally over, for now, after producing a very narrow ruling. The Springer case arose out of the shut down and asset sale of a business that sold asbestos-containing products. See this December 9, 2016 GlobalTort  post for summaries of… Continue Reading

SCOTUS Cuts Back on Fraudulent Conveyance Defenses – LBOs Now More at Risk

Posted in Asbestos Bankruptcy, Fraudulent Conveyance, Litigation Industry, Mass Tort Issues
Some circuit courts had issued fairly hard to fathom opinions immunizing some corporate  transactions from fraudulent conveyance claims if banks (and others) were involved in moving money as pass-through entities. The Seventh Circuit disagreed, and created a circuit split. SCOTUS has now blessed the Seventh Circuit’s reasoning. See Supreme Court Scales Back Safe Harbor Protection… Continue Reading

Fraudulent Conveyances to Overseas Trusts To Avoid Possible Medical Malpractice Claims

Posted in Fraudulent Conveyance, Litigation Industry
Amazing what shows up in the news everyday. One is a Valentine’s Day 2018 lawyer ad/article kind of thing promoting return to the US of overseas “asset protections trusts.”  It provides a “real life” fact pattern of a doctor with apparently plenty of money, and a possible medical malpractice problem. The answer? Zip the money… Continue Reading

Possible Fraudulent Conveyances and Corporate Transactions After Alleged Mass Torts – New Complexities from Pre-Transaction Lawsuits – The Weinstein Example

Posted in Fraudulent Conveyance, Litigation Industry, Mass Tort Issues
After an alleged or actual mass tort, some companies move voluntarily into chapter 11 proceedings to cope with the claims. However, some seek to salvage value via other paths, such as a move to new ownership through a sale or other corporate transaction.  The decision-making process between the two paths (or other paths) may become… Continue Reading

Fraudulent Conveyance Claims Arising from Shut Down of Company, With Its Lawyers Involved as Investors in Transaction Shutting Down Former Maker of Products Containing Asbestos

Posted in Asbestos, Fraud, Fraudulent Conveyance, Litigation Industry
Another part of the complexity of asbestos litigation lies in the efforts of some to shut down former makers of asbestos containing products, and the work of lawyers and other professionals in those efforts.  A current example arises from a case now on appeal to the Wisconsin Supreme Court. The intermediate appellate opinion in the… Continue Reading

Flintkote Fraudulent Conveyance Contingency Fee

Posted in Asbestos, Fraudulent Conveyance, Litigation Industry
Smart lawyers can generate better outcomes, and “defense firms” can act as plaintiffs.  That’s one of the messages from a May 23, 2016 American Lawyer article about Schiff Hardin’s finances. Some of the firm’s lawyers have spent decades as counsel to Owens-Illinois, the only national insulation maker that has avoided chapter 11 despite use of… Continue Reading

Fraudulent Conveyance Win in Tronox Netted $93 Million for Kirkland & Ellis

Posted in Alternative Fee Structures for Litigation, Fraudulent Conveyance, Litigation Industry
How soon will the US Chamber of Commerce complain about K&E’s $93 million (mainly) contingent fee in the Tronox/Anadarko fraudulent conveyance case? Maybe a short but sweet: Et tu Kirkland? The story behind the story is told in a March 7, 2016 American Lawyer article. The story follows up from AmLaw using the FOIA to… Continue Reading

SCOTUS Takes on Some Aspects of Fraudulent Conveyance and Bankruptcy

Posted in Asbestos, Asbestos Bankruptcy, Fraudulent Conveyance, Litigation Industry
Fraudulent conveyances often are related to existing or impending insolvency, and so of course alleged fraudulent conveyances are often litigated in bankruptcy cases. It is therefore interesting to see SCOTUS take up yet another bankruptcy case, with this one revolving around the meaning of words (“actual fraud” that will define the extent to which a… Continue Reading

Mass Tort Battles Ahead – New Thinking and Arguments, UK Report Endorses Litigation Funding, and Phillip Morris Hires David Bernick from K & E

Posted in Asbestos Bankruptcy, Class Actions/Aggregate Litigation, Fraudulent Conveyance, Medical Monitoring, Securities and Asbestos, Tobacco
I’m setting aside James Hardie and Australia for a few days. News on Friday provides a great springboard for some comments in the same general area of what’s new in mass tort resolution thinking, and some points related to corporate actions to cope with/avoid/limit the corporate damage from mass tort claims._____________________________________________________________________________ How does big tobacco admit it  faces massive global tort warfare… Continue Reading