Bankruptcy & Restructuring News & Analysis — Conductor

A Delaware bankruptcy judge has clarified insurers' rights to participate in their insureds' bankruptcy proceedings following the Supreme Court's Truck Insurance decision. Judge Goldblatt's opinion in the AIO US bankruptcy case establishes important boundaries for insurer involvement while preserving courts' authority to maintain the integrity of the bankruptcy process

Essex Technology Group has filed a motion to dismiss its Chapter 11 bankruptcy case after ceasing operations in February 2025. The retailer has negotiated an agreement with secured creditors to transfer its remaining assets in exchange for payment of administrative expenses, avoiding a costly conversion to Chapter 7 liquidation

Women's footwear wholesaler Zigi USA has filed a reorganization plan in the Southern District of New York, offering unsecured creditors a 30-45% recovery through a trust funded with $1 million. The company, which cited COVID-19 impacts as the primary cause of its financial troubles, will continue operations while addressing approximately $19.7 million in debt

The U.S. Trustee has filed a motion to dismiss or convert the year-long bankruptcy case of Colombian financial firm Credivalores-Crediservicios, citing over $140,000 in unpaid fees and the company's inability to implement its confirmed reorganization plan. The case has been stalled due to a concurrent bankruptcy proceeding in Colombia, highlighting the challenges of cross-border insolvency matters

Global Clean Energy Holdings' bankruptcy plan reveals the challenges facing renewable fuel companies, with a stark $500-875 million valuation against $2.3 billion in debt. Despite securing 97% creditor support, the plan faces opposition from unsecured creditors as the company attempts to reorganize its vertically integrated "farm-to-fuel" business following years of construction delays at its Bakersfield facility