The potential collapse of the $10.6 billion buyout of Huntsman Corp. (NYSE: HUN) is hardly a shock.

For one thing, rising oil prices are crushing specialty chemical makers. Another thing is that the deal was announced almost a year ago, an eternity for the closing of a merger and acquisition. The Wall Street Journal argues that private equity shop Apollo Management and its Hexcion Specialty Chemicals Inc. are making a "novel" argument to get out of the deal.

"In a complaint filed in the Delaware Court of Chancery, Hexion said Huntsman's poor financial results -- increased net debt and lower-than-expected earnings -- would render the combined company insolvent," the paper said, adding that legal experts expect Huntsman to file a countersuit. Of course, shares of Salt Lake City-based Huntsman were plunging in premarket action and will likely open much, much lower. CNBC's David Faber points out that the Huntsman deal was "held out" to be the strongest of the LBO deals. That's scary.

In a press release, Huntsman CEO Peter Huntsman said, "These actions appear to be a blatant attempt to deprive our shareholders of the benefits of the Merger Agreement that was agreed to nearly a year ago." The company added that it intends to "vigorously enforce" its rights under the merger agreement and seek to consummate the merger under the agreed upon terms.

Another buyout deal, the $6.1 billion buyout of Penn National Gaming Inc. (NASDAQ: PENN) by Fortress Investment Group and Centerbridge Partners, also remains in flux. The New York Times reported in May that the banks were balking at the original terms of the buyout. Penn National Gaming recently extended the closing date of the merger to allow more time for regulatory approvals.

Private equity firms continue to write big checks. Blackstone Group (NYSE: BX) today agreed to buy Apria Healthcare Group Inc. (NYSE: AHG) for $1.6 billion. Shares of the home healthcare company are surging on the news.

Whether the parties involved in the Huntsman deal will resolve their differences remains to be seen. The squabbles over these deals, including the Clear Channel Communications buyout, underscore how tough the market is for everyone. Companies looking for a big payout will need to look elsewhere