Pryor Cashman Partner Seth H. Lieberman, Chair of the Bankruptcy, Reorganization + Creditors’ Rights Group and Co-Chair of the Corporate Trust Practice, was quoted in a Law360 Bankruptcy Authority article examining the most significant and unexpected developments in bankruptcy practice during the first half of 2026, including rising Chapter 11 costs, increased use of prepackaged restructuring plans, cross-border alternatives, venue strategy, assignments for the benefit of creditors, and notable lateral movement among restructuring lawyers.

In the article, “The Biggest Surprises In Bankruptcy In 2026: Midyear Report,” Seth discusses how the unpredictability and expense of Chapter 11 continue to shape restructuring strategy, noting:

“Whether it's the unpredictability of the Chapter 11 process, whether it's cost concerns, bankruptcy continues to be the option of last resort.”

Addressing venue trends, Seth notes that the Southern District of Texas remains a leading destination for major bankruptcy filings, citing the confidence inspired by the court’s judges:

“They have gravitas, they have integrity, they provide stability. Houston remains the bankruptcy venue du jour.”

Seth further observes that the restructuring bar has seen unusually active lateral movement in 2026 as firms prepare for increased activity tied to upcoming debt maturity walls, adding:

“It's hard to remember where bankruptcy lawyers are practicing nowadays. […] Attorneys that have called a specific firm home for decades are suddenly lateralling. Some of the most well-known practitioners are moving at a pace over the last several months that I have not seen in over two decades of practice.”

Seth’s insights underscore how cost pressures, strategic venue considerations, alternative restructuring tools, and shifting law firm dynamics are reshaping the bankruptcy landscape in 2026.

Read the full article using the link below (subscription may be required).