Joel R. Glucksman
Partner
201-896-7095 jglucksman@sh-law.comFirm Insights
US Trustee Nominates Examiner for Caesar's Bankruptcy Proceeding
Author: Joel R. Glucksman
Date: April 7, 2015
Key Contacts
Back
On March 23, a U.S. trustee requested that a judge approve a former Watergate prosecutor to serve as an examiner for Caesar’s Bankruptcy proceedings.
This operating unit of Caesars Entertainment Corp. filed for Chapter 11 bankruptcy protection earlier this year, but only after participating in several transactions that drew substantial scrutiny, according to Reuters.
Need for examiner
Because of these deals, which involved the operating unit switching over the ownership of casinos and other properties to affiliates of its parent company, U.S. Bankruptcy Judge Benjamin Goldgar ruled March 12 that an independent examiner must conduct further inquiry into the agreements, the media outlet reported.
The need to have such an examiner lies in the disputed nature of the transactions, according to the news source. Creditors have alleged that the operating company transferred ownership of its assets so that they would not be able to make good on their claims to these resources. In addition, creditors have alleged these moves violated the law.
Alternatively, Caesars has maintained that the transactions were set up by independent directors and their advisers, The Wall Street Journal reported. In addition, the company contended that the creditors’ allegations lack merit.
Request for examiner
Pursuant to these differing claims, the operating unit of Caesars requested the appointment of an examiner in late February, according to the news source. Because creditors and government officials are usually the ones making these pleas, certain legal experts have perceived the operating unit’s move as atypical.
Under existing bankruptcy code, U.S. trustees with oversight of a particular case can appoint an examiner if there is a possibility of fraud and or misconduct, the media outlet reported. However, bankruptcy lawyers contend that these examiners have contributed to discovering facts in recent years.
- Practices: Corporate Transactions & Business, Bankruptcy & Creditors' Rights, Bankruptcy Litigation
- Locations: Red Bank, NJ, New York City, Little Falls, NJ
No Aspect of the advertisement has been approved by the Supreme Court. Results may vary depending on your particular facts and legal circumstances.
Related Posts
See all
New York NDA Requirements for Businesses
Non-disclosure agreements (NDAs) remain a critical tool for protecting sensitive business information. However, New York NDA requirements have evolved, and businesses must ensure these agreements are carefully drafted to remain enforceable. In a competitive market like New York City, NDAs are commonly used to protect proprietary information, client relationships, and strategic plans. At the same […]
Author: Dan Brecher
New Jersey Will Contest Grounds Explained
How Courts Evaluate Testamentary Capacity and Undue Influence Will contests in New Jersey are difficult to win, given the strong presumption that a properly executed will reflects the testator’s intent. However, challenges based on lack of testamentary capacity and undue influence remain common, particularly where there are concerns about mental capacity or the involvement of […]
Author: Marc J. Comer
Legal Issues Before Bringing on Investors
Bringing on outside investors can provide the capital and strategic support a business needs to grow. However, raising capital also introduces important legal, financial, and operational considerations. Before bringing on investors, businesses should address key legal issues to reduce risk, streamline investor due diligence, and position the company for long-term success. Early preparation signals that […]
Author: Dan Brecher
SECURE 2.0 RMD Planning Strategies
How the Updated Law Shapes Retirement and Estate Planning The SECURE 2.0 Act of 2022 materially reshapes the required minimum distribution (RMD) landscape, extending tax deferral opportunities while accelerating distribution requirements for many beneficiaries. For high-net-worth individuals and families, these changes are not merely technical. They require a reassessment of retirement income strategies, beneficiary planning, […]
Author: Marc J. Comer
Buying Commercial Property in New Jersey: Legal Guide for Small Businesses
Small businesses considering buying commercial property in New Jersey must evaluate a range of legal, financial, and operational factors. While ownership can offer long-term value and control, it also introduces significant risks if not properly structured. This guide outlines key considerations to help New Jersey business owners make informed decisions, minimize legal exposure, and successfully […]
Author: Robert L. Baker, Jr.
The SEC’s Latest Guidance on Applying Federal Securities Laws to Tokenized Securities
On January 28, 2026, staff of the U.S. Securities and Exchange Commission’s Divisions of Corporation Finance, Investment Management, and Trading and Markets issued a joint statement clarifying how existing federal securities laws apply to tokenized securities. The SEC’s “Statement on Tokenized Securities” does not establish new law, but it does provide greater clarity on the […]
Author: Dan Brecher
No Aspect of the advertisement has been approved by the Supreme Court. Results may vary depending on your particular facts and legal circumstances.
Sign up to get the latest from our attorneys!
Explore What Matters Most to You.
Consider subscribing to our Firm Insights mailing list by clicking the button below so you can keep up to date with the firm`s latest articles covering various legal topics.
Stay informed and inspired with the latest updates, insights, and events from Scarinci Hollenbeck. Our resource library provides valuable content across a range of categories to keep you connected and ahead of the curve.