NY court rules that Dewey may use remaining cash for critical functions while winding down

A New York court has ruled that bankrupt law firm Dewey & LeBoeuf may use cash remaining in its accounts to write checks to cover payroll, preserve firm records, protect employee entitlements to accrued benefits and preserve client documents, in accordance with a budget submitted to the court. The ruling determines that the firm can use some of the approximately $13.4 million cash in its accounts to pay for critical functions as the firm winds down, and means that there will be less assets for recovery by lenders and other stakeholders down the line.

NY court rules that Dewey may use remaining cash for critical functions while winding down blogs.wsj.com Wed, Jun 6, 2012