Ch. 7 debtor can’t block novel litigation funding deal, says appeals court

A U.S. appeals court last week shut down a Chapter 7 debtor’s challenge to a litigation funding agreement between his trustee and a creditor, finding that the agreement had no financial impact on William Berry Dean III, the debtor. The dispute stems from Dean’s 2019 Chapter 7 bankruptcy in Texas, where the trustee assigned to Dean’s estate struck a deal with one of Dean’s creditors, Reticulum Management LLC, to fund litigation aimed at collecting money that could be used to pay off Dean’s debts. Reticulum agreed to put forward $200,000 in exchange for 30% of any litigation proceeds the trustee managed to collect.

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Danske Bank ex-CEO cleared in $322 mln investor lawsuit over Estonia case

Danske Bank’s former chief executive Thomas Borgen has been cleared by a Danish court of any liability in a shareholder claim for approximately $322 million brought by Deminor on behalf of 155 institutional investors for losses linked to Danske Bank’s involvement in one of the world’s largest money-laundering scandals.

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