Judiciary
Delaware, New York City Still Biggest Bankruptcy Venues
Posted May 22, 2008, 10:04 am CST
By Martha Neil
Delaware and New York City continue to be the most desired venues for lawyers filing federal bankruptcy cases on behalf of corporate clients, and their popularity has grown in recent years as tougher bankruptcy laws and a credit crisis make it even more important to have a skilled judge who can move a case quickly.
A total of 44 Chapter 11 and Chapter 7 bankruptcy cases have been filed so far this year by public companies, and of those cases 12 went to New York, 10 to Delaware and the other 22 were filed throughout the country, according to Reuters. Although New York has edged out Delaware so far this year in the number of filings, practitioners say bankruptcy courts in both states are excellent and some consider Delaware to be the top venue.
"If you're going to do a pre-negotiated, or pre-packaged bankruptcy, you've got to go to an experienced court," says attorney Roger Frankel of Orrick, Herrington & Sutcliffe, who works in the firm's New York office.