Tag Archives: delaware

Delaware Bankruptcy Court Upholds Reclamation Creditors’ Rights

Vendors – take note! The Delaware bankruptcy court In re Reichhold Holdings US Inc. recently issued an important ruling for vendors asserting reclamation rights. Under section 546(c) of the Bankruptcy Code, a vendor may reclaim goods sold on credit to an insolvent debtor that has filed bankruptcy. Reichhold addressed an issue plaguing reclamation claimants:  does … Continue reading this entry

$3 Million Spoliation Sanction Despite Company’s Litigation Hold

Manufacturers involved in litigation must properly preserve electronically-stored information (“ESI”) or potentially face daunting sanctions. A recent antitrust case, however, demonstrates that lessons—multi-million dollar lessons—remain to be learned about how to satisfy the duty to preserve evidence. The Delaware federal court clearly delivered this message by imposing a $3 million sanction, plus associated fees and … Continue reading this entry