Bankruptcy, Foreclosure and Enforcement Proceedings
Our Creditors' Rights, Restructuring, and Bankruptcy lawyers have the breadth and depth of experience to represent the best interests of our clients in a broad range of crisis-driven bankruptcy, foreclosure, and other insolvency-related disputes.
Driven by our understanding of client business issues and concerns, we seek to achieve the best possible results for clients facing the turmoil of complex commercial collections, real estate foreclosures, and foreclosures on assets that secure asset-based loans. We help clients plan, negotiate, and finalize bankruptcy proceedings, including filing for chapter 11 relief.
Our lawyers have represented debtors in court proceedings across the country, defending state and federal court enforcement actions by secured and unsecured creditors, as well as, when necessary, commencing proceedings under the Bankruptcy Code. The lawyers in the Creditors' Rights, Restructuring and Bankruptcy Practice are supported by other lawyers throughout the firm who contribute experience in banking and corporate law, environmental, real estate, and labor and employment. The breadth of skills and knowledge within the firm enables our group to deal with the many complex and diverse issues arising in bankruptcy and related matters in an efficient and economical fashion.
Pedersen lawyers have also gained national recognition for work representing retiree groups and trustees in large bankruptcy proceedings. Our lawyers have great experience representing trustees and creditor groups, including official committees.
We regularly represent lenders foreclosing on commercial, retail and office properties, multi-residential buildings, residential developments, and mixed-use projects. Commercial landlords, receivers, purchasers of distressed assets, shareholders and investors have engaged Pedersen attorneys to help guide them through the many complex and diverse issues arising in bankruptcy and related matters.
For creditors pulled into proceedings in bankruptcy court, we litigate fraudulent conveyance claims, preference claims, and matters relating to relief from the automatic stay provisions of the Bankruptcy Code.
We also offer comprehensive advice in matters relating to the sale of business assets resulting from bankruptcies and foreclosures.
- Represented the agent for a $25 million loan secured by 20,000 acres of undeveloped real estate in Colorado in the Delaware chapter 11 of the borrower. Successfully steered the case toward a 363 auction sale at which competitive bidding led to a greater than anticipated recovery for the client.
- Represented receiver in seven related foreclosure cases scattered over Northern Illinois and Wisconsin involving a national home builder and $40 million of multiple unit residential development collateral. Completed receiver sales in state court to third party purchasers.
- Represented second-tier automobile industry supplier in its out-of-court workout. Successfully defended an involuntary bankruptcy case filed by unsecured creditors – after trial, the bankruptcy court abstained in favor of the out-of-court workout.
- Represented a national bank as defendant in a multi-million dollar Ponzi scheme and related fraudulent transfer clawback action.
- Lead counsel for the Liquidating Trustee of Vineyard National Bancorp in Director and Officer litigation. Facets of this case took place in the Federal Circuit and Bankruptcy Courts in Los Angeles, the Ninth Circuit Court of Appeals, and in mediation in California and New York. The client praised the aggressive handling of the case as the reason the matter was settled far faster and on terms that exceeded client's expectations.
- Lead counsel to the Official Committee of Retirees in the Dana Bankruptcy. The case was settled on the morning trial was to begin for approximately $93 million. The initial offer made by the debtor's counsel was zero.
- Successfully defended a CLEC providing telecommunications services to an ISP debtor in an injunction proceeding brought before the bankruptcy court, wherein debtor sought to force our client to "port" certain telephone numbers to the debtor's new service providers. Obtained reversal from the Seventh Circuit in expedited appeal of the bankruptcy court's injunction order forcing porting of the numbers.
- Represented a receiver in seven related foreclosure cases in Northern Illinois and Wisconsin involving a national home builder and $40 million of multiple unit residential development collateral. Completed receiver sale in state court of $5 million of the collateral to a third party purchaser.
- Represented an institutional client in the negotiation of a consensual foreclosure involving a complex ground lease and ownership structure on a Maine shopping mall.
- Foreclosed retail shopping centers and obtained court appointed receivership to collect rents and manage the properties during the foreclosure process.
- Completed a deed in lieu of foreclosure transaction of five Chicago properties on behalf of a developer and secured a $300 million first mortgage loan.
- Represented a limited liability company in strict foreclosure of pledged membership interests to avoid delay of judicial foreclosure against real estate assets.
- Represented a mezzanine lender in foreclosure and the subsequent single asset real estate chapter 11 involving historic downtown Chicago building. Forced a 363 sale of the property at which our client was the winning credit bid.
- Represented the senior, debtor in possession lender in the chapter 11 liquidation of a large, "value-added" cattle breeding and selling operation.
- Represented a national gas company in asserting its environmental-related claims in the bankruptcy case of a marine equipment manufacturer. Gas company was a PRP with respect to heavily contaminated property in Illinois owned by the debtor.
- Represented a chapter 7 trustee in prosecution of over 100 avoidance actions related to the liquidation of a seafood wholesaler/retailer.
- Represented the owner of a group of national fast food restaurants in negotiations and bid on assets of a corporation in the context of its chapter 11 proceedings in New York.
- Represented creditors' committee of book publishing company where creditors were successful in prosecuting a motion for the appointment of a chapter 11 trustee and where creditors stand to receive in excess of 20% on account of their claims.
- Represented unofficial committee of defrauded investors in viatical settlement company where creditors successfully elected a chapter 11 trustee after an election disputed by the United States Trustee and interim trustee.
- Represented creditors' committee in chapter 11 case of California wholesale electricity exchange, where unsecured creditors received 100 percent distribution on allowed claims.
- Represented the assignee of large outsource packing company in assignment for the benefit of creditors. Completed negotiation of settlement of lender liability action that allowed unsecured creditors to receive an approximate 15% distribution on claims.
- Advised an unofficial committee of defrauded investors in viatical settlement company where creditors successfully elected a Chapter 11 trustee after an election disputed by the United States Trustee and interim trustee.