In this Law360 article, Joseph Cioffi provides his thoughts on the fairness of distributing forfeited funds to preferred shareholders in the FTX bankruptcy, while creditors are arguably not being paid in full based on today’s crypto values.
Davis+Gilbert’s Subprime Auto Loan Risk Chronometer has not signaled significant market risk for some time, but new litigation has commenced that is of the type that had been anticipated and may be an indication of what is to come if the labor market deteriorates further and contributes to weaker performance. In litigation recently filed in federal court in California, a group of noteholders in a...
The recent bankruptcy filings by several major crypto platforms have given rise to unexpected realities for customers and investors. The sudden change in rights, legal exposure in bankruptcy litigation and varying outcomes in the several different proceedings can be reminiscent of a Hollywood multiverse where infinite realities are possible. Perhaps the area in which an alternate reality is most...
The benefits afforded debtors in bankruptcy are so compelling that businesses have initiated bankruptcy proceedings without experiencing insolvency or imminent financial distress. But do such businesses have the right to do so? With no express guidance under the Bankruptcy Code, and no bright line ruling from the courts, the door is open for creditors to challenge bankruptcy cases filed in these...
July 5, 2024 and July 13, 2024 will mark the two-year anniversary of Voyager’s and Celsius’s bankruptcy filings, respectively. Under the Bankruptcy Code, actions to clawback pre-bankruptcy transfers, such as 90-day preferential transfers, must be commenced within two years after bankruptcy is filed. Given the impending deadline in both cases, we can expect a wave of clawback actions to be filed...
Amidst a rush to reduce tax burdens in major cities like New York City, San Francisco, and Washington, D.C., owners are aggressively filing property tax appeals, with some seeking reductions as high as 75 percent, a sign of the extreme uncertainty of commercial real estate values. Joseph Cioffi provided insightful commentary in the Commercial Observer article titled “Flood of Property Assessment...
In a two-part in-depth interview with Valuation Review, Joseph Cioffi explains how valuation is the linchpin in the commercial real estate sector, but also the gateway to legal disputes. Part 2 includes a discussion of regulatory and legal risks and opportunities related to current trends and office conversions.
