News & Publications

As discussed in previous installments of this White Paper series, the Lummis-Gillibrand Responsible Financial Innovation Act (the "Bill")1 proposes a comprehensive statutory and regulatory framework in an effort to bring stability to the digital asset market. One area of proposed change relates to how digital assets and digital asset exchanges would be treated in bankruptcy. If enacted, the Bill would significantly alter the status quo from a bankruptcy perspective. OVERVIEW OF DIGITAL ASSETS IN BANKRUPTCY There [...]

Could bankruptcy protection be on the horizon for individuals and companies actively involved in the cannabis industry? Potentially yes, following President Biden's October 6, 2022 request for the Secretary of Health and Human Services to begin the administrative process to review marijuana's classification as a Schedule I substance under the Controlled Substance Act ("CSA"). Marijuana is big business. Recreational marijuana use is currently legal in 19 states and the District of Columbia (this number will [...]

In a recent opinion, Honorable Colleen McMahon of U.S. District Court for the Southern District of New York, ruled that non-consensual releases of creditors' direct claims against non-debtors in a Bankruptcy reorganization plan are not allowed under the provisions of the United States Bankruptcy Code. In Re: Purdue Pharma LP. This ruling reverses the Bankruptcy Court's order approving Purdue Pharma's Chapter 11 Plan of Reorganization which, among other things, provided for the release of the Sackler [...]