On August 21, 2024, Bankruptcy & Corporate Restructuring Chair Joseph L. Schwartz was quoted in the New Jersey Law Journal’s article titled “Kirkland Is Increasingly Turning to NJ for Huge Chapter 11 Bankruptcies. Will Other Big Law Follow?” Among other things, Joe highlighted Kirkland & Ellis's growing preference for filing certain large chapter 11 cases in New Jersey's bankruptcy court, emphasizing New Jersey’s significance as a venue for filing complex Chapter 11 cases. He commented that, while Kirkland's move indicates the New Jersey venue for large chapter 11 bankruptcy cases has become very active, “I would have expected there would have been more larger cases filed in New Jersey that would have followed Kirkland’s lead.” He indicated that he hopes that more law firms will recognize the potential benefits of filing large-scale chapter 11 cases in New Jersey, leading to a further increase in business for New Jersey firms.
Joe also emphasized the importance of out-of-state lawyers retaining New Jersey co-counsel, saying, “If there’s any size or complexity to their position, they want someone in New Jersey who knows the local procedure, who knows the judge. You always want to have knowledge of the local process and, as a result, if cases are filed in New Jersey, or any other jurisdiction, it’s going to result in work for local practitioners.” Finally, in response to a question about whether New Jersey firms are expanding their bankruptcy departments, Joe noted that “firms have to be cautious because you want to make sure that activity increases.”
Read the full article at NJLJ.
