Pennsylvania State Approved Sessions

First Day by Reorg Midyear Review: 2020 Bankruptcy Boom Subsides; 2021 Real Estate, Hotel Chapter 11s Peak In a presentation moderated by ABI Editor-at-Large Bill Rochelle, the First Day by Reorg Research, Inc. team will provide an overview of its midyear review, detailing chapter 11 filings data and trends during the first half 2021. They will provide industry-level insights across various sectors and highlight key takeaways. Background to the First Day by Reorg Midyear Review 2021 Coming off a record-setting year of chapter 11 filings in 2020 as the COVID-19 pandemic swept the globe and impacted multiple industries, the first half of 2021 trended well below historical averages, with a low point in May. Compared to the busiest second and third quarters of 2020, when consumer discretionary sector cases and, in particular, brick-and-mortar-heavy companies were filing with unprecedented frequency, 2021’s H1’s consumer discretionary chapter 11 cases dropped by almost half. Real estate was the only industry to see an increase in chapter 11 filings, as compared with both H1 2020 and H2 2020, as hotels and commercial real estate struggled.

Every business has an obligation to protect and secure confidential information that it may receive from employees, customers, or clients. For lawyers and law firms, this duty is heightened to an ethical obligation to clients. Remote work environments, which are likely to continue post COVID-19, place additional strains on businesses to ensure that appropriate technology and practices are in place to reasonably protect data. This panel will discuss these ethical obligations generally and will provide practical best practices advice on how to continue to adapt and comply while working in a remote environment. The “new norm” extends the boundaries of the work environment which lawyers and law firms will need to continue to assess, invest in and harden appropriately to protect data accordingly. Sponsored by Freeborn & Peters LLP

This panel discussion will delve into a plethora of ethical issues pulled from today’s headlines, including litigation funding, professional compensation, protection and use of material nonpublic information, “connections,” Alix v. McKinsey litigation, and issues created by the pandemic and our remote-work environment.

This panel will examine creditors vs. creditors in liability-management transactions (Boardriders, Serta, Travelport, Trimark), collective actions and credit bidding (Speedcast, Alta Masa, Empire Generating, Allied), strict foreclosure in light of TIA 316(b) (CNH Diversified Opportunities v. Cleveland Unlimited), de facto claim-subordination (La Paloma), rights preserved for junior creditors under an intercreditor agreement (do the exceptions swallow the rule (Claires, Momentive)?), and practical considerations such as coordination agreements, unitranche facilities and CLOs in restructurings.

This panel features seasoned professionals discussing and demonstrating how to address and negotiate appropriate bid procedures and run an effective sales process. The panelists will discuss these issues in the presence of a judge through the presentation of a hypothetical sale that has more than its share of complicating factors. Sponsored by Perkins Coie LLP

James Fama, former vice president of energy delivery for the Edison Electric Institute (EEI), will provide an overview of current issues in cybersecurity from a national perspective, as well as planning opportunities for businesses.

Sponsored by American Bankruptcy Institute and INSOL International A distinguished panel of legal and business professionals from the U.S., Canada, U.K. and E.U. will explore the current state of the commercial and office markets, where the markets are headed, and creative strategies for both landlords and tenants to address the hardships posed by the pandemic. The relevant issues will be addressed across the panelists' varied jurisdictions.

This panel will discuss several threshold issues that should be considered when determining whether you can and should represent a potential debtor client, including (1) whether you can ethically and legally be retained, (2) how you can be compensated for your work, (3) whether your potential client has the requisite corporate authority, and (4) reasons to walk away from an engagement before it’s too late. The panelists will highlight real-life examples and provide best practices and pitfalls to avoid with respect to these issues.

The panel will enact three hypotheticals involving repeat filer/debtor Harry, his not-quite-blue-stocking creditor Lloyd of Lloyd’s Auto Lot, and the chapter 7 and chapter 13 trustees, Dusty and Rusty. The legal issues presented will concern the “expiring stay” for repeat filers, redemption of repossessed vehicles, a discharge violation question involving refusal to release the car lien/title, and the attendant procedural and costs questions for each. Ripe Potatoes rates this a “must see”!

The panelists will discuss in-court and out-of-court options for distressed businesses, as well as alternatives both pre- and post-COVID-19, drawing upon their experiences and what they see in the market going forward. Sponsored by Ballard Spahr LLP