Matters

Commercial Bank – All Claims Dismissed in Litigation over Failed Loan

Negotiated a settlement on behalf of a commercial bank resulting in the voluntary dismissal of all claims filed in a New Jersey state court by an asset manager seeking to hold the bank responsible for losses on a failed loan made to a furniture business prior to the business’ bankruptcy filing.  Claiming that it had been induced into extending the loan based, in part, on a multi- million revolving credit line extended to the business by our client, the plaintiff argued that the credit line and our client’s alleged failure to adequately monitor the business gave the plaintiff the impression that the business was is better financial shape than it was.  Following Herrick’s filing of a third-party complaint, repeated motions to dismiss and an aggressive discovery, the plaintiff dismissed its claims against our client without any payment or admission of wrongdoing while negotiating settlements from the remaining defendants. 

Financial Institution – Estate Litigation

Representing a major financial institution as co-executor of a $500 million estate in ongoing judicial accounting litigation in which Herrick has secured the dismissal of a majority of over four dozen objections raised to the petitioners’ efforts to settle an exceptionally complex estate plan. 

$150 Million Senior Secured Credit Facility

Represented a U.S. commercial bank, as a syndicate lender, in a $150 million senior secured revolving credit facility to an NHL franchise. The proceeds are to be used for legal purposes, consistent with the NHL Constitution.

Citibank – $600 Million Financing to Durst Affiliates

Represented Citibank, as agent, in a $600 million term loan to certain affiliates of the Durst Organization secured by a blanket mortgage on six office buildings located in Manhattan. The term loan refinanced approximately $300 million of existing mortgage debt on three of the properties (including approximately $120 million outstanding to Citibank). The bank group also financed a $400 million revolving credit facility to the Durst Organization. The revolving credit facility is secured by pledges of economic and equity interests in the six mortgage borrowers and in two additional Durst affiliates, which affiliates own other office properties in Manhattan.

U.S. Commercial Bank – $50 Million Senior Secured Revolving Line of Credit

Represented a U.S. commercial bank, as a sole lender, in a $50 million senior secured revolving credit facility to owners of an MLB franchise. The proceeds are to be used for working capital purposes.

Merchant Bank – Private Equity Investment

Represented a well-known merchant bank in a private equity investment.

Broker-Dealer – FINRA Arbitration

Represent an investment bank and broker dealer in a FINRA arbitration alleging the wrongful withholding.

Senior Trader – FINRA Investigation

Represent a senior trader of a financial institution in a FINRA investigation alleging market manipulation.

Executive – Internal Investigation

Represent the CEO of a wealth management firm in an internal investigation into selling away and improperly executing client documentation.

Broker – FINRA Investigation

Represent a broker in a FINRA investigation into improperly soliciting investments away from the firm.