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Southern District of California Determines That a Convertible Note With an Original Issue Discount Is Subject to California Usury...

In 2019, LGH Investments, LLC loaned $100,000 to Social Life Network, Inc., a software licensing company, in exchange for a convertible note, common stock, and stock warrant for 412,500 shares at a strike price of $0.20. The...more

Fifth Circuit Determines that Raymond James Is Subject to Bankruptcy Trust Litigation and Affirmative Defenses Are Not Available

Louisiana Pellets, Inc. and German Pellets Louisiana, LLC filed for Chapter 11 bankruptcy in 2016. The bankruptcy court confirmed the debtors’ plan in 2017, which established a liquidating trust for the debtors’ remaining...more

The Seventh Circuit Upholds District Court’s Decision That Safe Harbor Provision of Section 546(e) Applies to Privately Held...

A recent ruling from the United States Court of Appeals for the Seventh Circuit provides additional comfort for lenders receiving full repayment in connection with leveraged acquisitions. The U.S. Bankruptcy Code gives...more

Delaware Chancery Court Allows Fraudulent Transfer and Successor Liability Claims by Trade Creditor Against Secured Creditor and...

On September 5, 2023, the Delaware Chancery Court largely denied a motion dismiss a trade creditor’s successor liability and fraudulent transfer claims against the buyer of a manufacturer’s assets and the manufacturer’s...more

Insights from the First SCC Express Dispute Assessment

Sweden is no stranger to innovations – from energy, to furniture, to music – and international arbitration is no exception. Indeed, the SCC Arbitration Institute (SCC) proudly refers to itself as the one of the leading...more

Safe Harbor Provision of Section 546(e) Applies to Privately Held Securities

On May 2, 2023, the U.S. District Court for the Southern District of Indiana reversed a bankruptcy court, finding that Section 546(e) of the Bankruptcy Code preempts state law fraudulent transfer claims and that the...more

Wyoming Supreme Court Rejects “Negligent Lending” and “Negligent Advising” as Causes of Action

On January 19, 2023, the Wyoming Supreme Court declined to recognize causes of action for negligent lending or negligent advising and declined to impose a duty on lenders to render sound advice to borrowers. The case stems...more

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