As Buyer's Counsel in Distressed Situations, Essex Crane Rental Corp. (supplier of crane rental and lifting services)
Debt and equity restructuring is a common and useful exercise in the marketplace. Oftentimes, entities require a recapitalization, refinancing, or restructuring with its stakeholders. We have represented debtors and lenders in out-of-court workouts in various industries including real estate, construction, healthcare, transportation, oil and gas, technology, manufacturing, and retail.
For those in need of a modification of their capital structure and don’t want or need to enter a bankruptcy or insolvency process, Clark Hill attorneys are experienced in the workout process and can negotiate these agreements for clients in many industries with an understanding of the appropriate market terms with an eye toward creativity to craft the most economically advantageous structure for the stakeholders.
Our group recognizes the advantages of out of court restructurings and will work with clients to avoid the time, expense, and uncertainty associated with judicial proceedings.
Executing a workout can provide many advantages for parties eager to avoid bankruptcy. The voluntary process offers debtors the opportunity to restructure a portion or all of their debts in a cost-effective and private manner. Lenders benefit by conserving resources that would be spent to collect the loan, avoid liquidation, and provide an opportunity for the loan to be brought into compliance.
Our attorneys approach workouts with an understanding of the need for assistance with loan redocumentation, potential equity structure modifications, crisis management, and consultation with other business advisors. We tailor our services to fit the needs of each situation and work seamlessly with our litigation, corporate and securities, tax, and real estate groups to address matters with a broad perspective.
Represented various single asset real estate debtors operating hotels, extended-stay facilities, apartment complexes, self-storage facilities, medical complexes, and commercial centers to obtain significant principal reductions of secured debt, substantially reduced interest rates, and/or extended repayment terms
Represented rapid transit operator in successfully restructuring $650 million of state-sponsored conduit bond financing
Represented debtors, creditors, trustees, and bidders in Section 363 sales, as well as sales accomplished through confirmed plans of reorganization
Represented liquidating trustees in the recovery and disposal of estate assets, and the prosecution of avoidance actions
Represented a casino/hotel operator in its successful pre-packaged bankruptcy resulting in the reduction of the long-term debt from $225 Million to $67 Million
In re RHC/Spacemaster Corporation - represented the fourth largest manufacturer in the back-room shelving industry with annual revenues exceeding $200 million.
In re Livemercial Aviation Holding LLC - represented this aviation holding company in Chapter 11.
In re Fleming Packaging - represented this leading manufacturer of pressure-sensitive labels catering to the wine and spirits industries with annual revenues of $60 million.
In re Purely Cotton, Inc.- represented the unsecured creditors committee for this start-up manufacturer of cotton-based tissue paper. Negotiated for the sale of intellectual property to an identified strategic buyer and created a fund to make an initial distribution in excess of 25% to the unsecured creditors.
In re Pheasant Run Apartments, LP - represented this 190 unit apartment complex in Chapter 11 case.
In re Castle Cheese - representing pre-petition and DIP lender owed in excess of $7 MM.
In re Telco Services - represented this manufacturer of communication transmission enclosures, with annual revenues of $200 million per year.
In re Nedwick Steel Company/ American Steel Works - represented this specialty steel manufacturer.
Achieved 100% recovery of principal balance of under-secured, non-performing multi-million dollar commercial loan in rare Chapter 12 farm bankruptcy
In re PMB Hydra Screw, Inc. - represented the secured lender with a blanket lien on all assets to secure a $3.0MM claim in this chapter 11 bankruptcy case.
Homeplace of Am., Inc. v. Salton, Inc. (In re Waccamaw’s Homeplace), 325 B.R. 524 (Bankr. D. Del. 2005). Defended a manufacturer in a $3.5 Million preference action in a week-long trial in the Bankruptcy Court for the District of Delaware
In re Browns Chicken & Pasta - represented unsecured creditors committee in this regional fast food franchiser bankruptcy.
In re Sparrer Sausage Co., Inc. - represents unsecured creditors committee in the bankruptcy of manufacturing company, which liquidated its assets under section 363 of the bankruptcy code.
In re Ventilex, USA - represented unsecured creditors committee. Debtor was the sales division of a foreign manufacturer. Negotiated settlement that ended 3-year dispute and obtained sizable dividend for creditors.
In re Bernadette Business Forms, Inc. - represented unsecured creditors committee in bankruptcy of manufacturer of business paper products.
In re John Hubler Nissan - represented Nissan North America in this chapter 11 bankruptcy case.
In re Proven Methods Seminars - represented the unsecured creditors committee. Plan was confirmed 10 months after the case was filed. Creditors received a 70% dividend and waiver of all avoidance actions.
In re Duraco Products, Inc. - represented pre-petition and DIP secured lender in a $5.0MM facility.
In re Not Really, et. al. - represented pre-petition and DIP lender owed in excess of $10.0 MM.
In re Pasteurized Eggs - represented the ad hoc Equity Committee. The principal asset of the company was its technology to pasteurize raw eggs.
Represented the publisher of nationally known magazine in an out of court debt restructuring.
Nissan Motor Acceptance Corp. v. Gold Coast Infiniti - represented Nissan Motor Acceptance Corp., the floor plan lender.
In re Belvidere Bay LLC - represented the secured lender in this single asset chapter 11 real estate case.
Representing numerous residential home builders in restructuring their secured and unsecured debt obligations owed to numerous separate lending institutions with aggregate debt in excess of $400,000,000.
Represented the buyers of assets of My Child’s Room (furniture store); In re Media Copy, Inc. (video reproduction company); In re Future Media, Inc. (video reproduction company); In re Rickel Home Centers (chain of home improvement stores); In re Archibald Candy Company (Fannie May Candy Company) (prospective buyer); In re United Homes (land and home developer) (prospective buyer); In re Lake Shore Mazda (automobile dealership); In re Ben Franklin, Inc. (craft stores); In re H.I. Schaumburg Investment (200+ room Holiday Inn); In re Nanoink (technology company); represented assignee for benefit of creditors (seller) in Power Plate North America (international manufacturer and distributor of specialty exercise equipment).
In re Edgewater Medical Center - represented the unsecured creditors committee. Negotiated a carve-out for unsecured creditors even though the secured creditor was not paid in full.
In re AppleIllinois - serves as chairman of the unsecured creditors committee. Debtor is owner of 34 Applebee franchises.
In Re Label Systems Inc. - represented unsecured creditors committee. Obtained 100% dividend for all creditors within six months of being retained.
Counsel to the Unsecured Creditors' Committee in the Chapter 11 case Cadence Innovation, LLC, pending in Delaware, involving a Tier 1 automotive supplier with consolidated annual revenues of approximately $750 million
Counsel to the Unsecured Creditors' Committee in the Chapter 11 case Greektown Holdings, LLC, involving a casino and hotel complex with annual revenues in excess of $300 million
Counsel to several automotive suppliers in the Motors Liquidation Company (f/k/a General Motors Corporation), Old Carco LLC (f/k/a Chrysler LLC), and DPH Holdings Corporation (f/k/a Delphi Corporation) Chapter 11 cases
Counsel to the Official Committee of Unsecured Creditors in the Chapter 11 case Greektown Holdings LLC, involving a hotel and casino gaming complex with annual revenues of approximately $300 million
Counsel to a large not-for-profit community mental health services corporation in the successful out of court restructuring of its secured and unsecured indebtedness
Counsel to the Debtor in the Chapter 11 case Edgewood Villas, involving a bond-financed low-income multifamily apartment complex
Counsel to the Litigation Trustee of the Greektown Litigation Trust in the prosecution of a multi-million dollar fraudulent transfer action
Counsel to the Liquidating Trustee in the Chapter 11 case Plastech Engineered Products, Inc., in connection with the liquidation of a Tier 1 automotive supplier which had annual revenues of approximately $1.4 billion
Counsel to the Trustee of the Greektown Distribution Trust, a trust established to reconcile unsecured claims and distribute $10 Million in accordance with the terms of the joint plans of reorganization confirmed in the Greektown Holdings, LLC Chapter 11 case
Counsel to several large Tier 1 automotive suppliers in the troubled supplier cases of General Motors Corporation (New York, N.Y.), Dura Automotive, Inc. (Wilmington, Del.), Delphi Corporation (New York, N.Y.), among others
Counsel to the Unsecured Creditors' Committee and the Liquidating Trustee in the Chapter 11 case Plastech Engineered Products, Inc., involving a Tier 1 automotive supplier with annual revenues of approximately $1.4 billion
Special Restructuring Counsel to the Detroit Retirement Systems in connection with the City of Detroit’s financial and operational restructuring and Chapter 9 bankruptcy proceedings
Bankruptcy and Financial Restructuring Litigation - Represented bond trustee in bankruptcy of debt service obligor.
Bankruptcy and Financial Restructuring Litigation - Reported bankruptcy-related decisions include the following: In re Monsour Medical Center, 11 B.R. 1014 (Bankr. W.D. Pa. 1981), aff’g, 8 B.R. 606 (Bankr W.D. 1981); In re Grimes Furniture, Inc., 47 B.R. 68, 12 Collier Bankr. Cas. 2d 193 (Bankr. W.D. Pa. 1985); In re Chateaugay Corp. 86 B.R. 40 (Bankr. S. D. N. Y 1988); In re I.D. Craig Service Corp. No. 89-00640, 1993 Bankr. Lexis 886 (Bankr. W.D. Pa. 1993); In re I.D. Craig Service Corp. 125 B.R. 453 (Bankr. W.D. Pa. 1991); In re I.D. Craig Service Corp. 118 B.R. 335, 20 Bankr. Ct. Dec. 1597 (Bankr. W.D. Pa. 1990); In re Clark Grind & Polish, Inc. 137 B.R. 172 (Bankr. W.D. Pa._1992) In re Passodelis, 234 B.R. 52, 41 Collier Bankr. Cas. 2d 1757 (Bankr. W.D. Pa. 1999).
Bankruptcy and Financial Restructuring Litigation - Enforced rights of creditor corporations and other business organizations with respect to federal bankruptcy and state insolvency/receivership proceedings in Bankruptcy Courts, United States District Courts, United States Courts of Appeals, and state courts in various regions of the country.
Bankruptcy and Financial Restructuring Litigation - Tried/argued bankruptcy cases on behalf of creditors in U.S. District Courts in the Western, Middle and Eastern Districts of Pennsylvania; Southern District of New York; Northern District of Illinois; and Second and Third Circuit United States Courts of Appeal.