On June 6, the U.S. Supreme Court denied the petition for certiorari in the case of Navellier & Associates, Inc. v. Securities and Exchange Commission (SEC). This decision effectively upholds the lower courts’ rulings, allowing the SEC to continue its practice of disgorging profits obtained through fraudulent activities without needing to prove direct financial harm to investors.
After years of uncertainty and regulation by enforcement, the U.S. may finally be moving toward a more comprehensive framework for the regulation of digital assets. On June 4, 2025, the House Committee on Financial Services held a hearing on American Innovation and the Future of Digital Assets: From Blueprint to a Functional Framework. The hearing followed Committee Chairman French Hill’s introduction of H.R. 3633 — the CLARITY Act of 2025 (the Act) — on May 30, 2025. The Committee is expected to continue its markup of the Act at its June 10, 2025, Full Committee Markup hearing.
Chapter 11 bankruptcy, known as “reorganization bankruptcy,” is a process aimed at preserving a debtor’s business value. It unfolds in five stages, with Part I focusing on prepetition planning and the initial filing. These stages lay the groundwork for the proceedings and influence the debtor’s ability to reorganize effectively.
Following the Freedom of Information Act (FOIA) litigation brought against the Federal Deposit Insurance Corporation (FDIC) in 2024,[1] on February 5, 2025, the FDIC released hundreds of pages of documents related to its supervision of banks that engaged in, or sought to engage in, crypto-related activities during the last administration. Acting Chairman Hill’s decision to release these documents reflected “a commitment to enhance transparency, beyond what is required by the [FOIA], while also attempting to fulfill the spirit of the FOIA request.”[2]
We are pleased to share with you our latest publication, “Navigating Change: First 100 Days under the Trump Administration,” authored by our Digital Assets + Blockchain team. This retrospective examines the pivotal developments in the digital assets industry during the initial phase of the Trump administration.
Chapter 7 bankruptcy, often referred to as “liquidation bankruptcy,” involves the systematic liquidation of a business debtor’s assets by a bankruptcy trustee, with the proceeds distributed to creditors. This process signifies the end of the business partner for creditors, although occasionally, the trustee may operate the business briefly to sell assets as a going concern. While Chapter 7 shares similarities with Chapter 11, such as the automatic stay and claim filing deadlines, it presents unique challenges and opportunities for creditors.
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June 13 – 15, 2025
Troutman Pepper Locke is proud to sponsor the Georgia Bankers Association’s 2025 Annual Meeting. James Stevens will be a featured speaker, providing an update on board strategy. The event will take place at The Omni Boston Hotel at Seaport in Boston, MA, from June 13-15, 2025.
May 7 – 8, 2025
James Stevens presented on The Regulatory Environment Around the Convergence of Banking and Fintechs at the Payments & Banking Symposium on May 7. The conference was held at the Waldorf Astoria Monarch Beach Resort in Dana Point, CA.
In the recent Supreme Court case, Navellier & Associates, Inc. v. Securities and Exchange Commission (SEC), the petitioners sought a writ of certiorari challenging the decisions of the lower courts regarding the scope of disgorgement and the materiality standard applied in securities fraud cases. On May 5, the SEC filed its brief in opposition to the petition.
Understanding the differences between receivership and bankruptcy is crucial for businesses facing financial distress. A receivership involves the appointment of an independent third party by a court to manage and preserve a business’s assets, primarily to maximize the value of the secured lender’s collateral. In contrast, bankruptcy generally benefits the borrower who has become insolvent and is governed by the Bankruptcy Code, allowing existing management to maintain control and potentially discharge debts.