Herrick’s Restructuring & Finance Litigation Department is comprised of an agile team of accomplished restructuring, litigation and corporate attorneys with decades of experience advising clients in all phases of complex litigation and in and out of court restructurings.
Our clients include asset and investment managers, public and private companies, private equity funds and hedge funds, official and ad hoc creditor committees, debtors and distressed investors, bondholders and noteholders, mortgage lenders, real estate developers, financial institutions, corporate debtors, trustees, independent directors, special investigation committees and foreign representatives.
In addition to serving as primary counsel in a variety of finance litigation and core bankruptcy matters, the team frequently works side-by-side with some of the world’s largest law firms, serving as conflicts or special litigation counsel.
Significant Growth in Restructuring, Corporate and Finance Litigation
In late 2018, Herrick launched a stand alone restructuring and finance litigation practice to support increased demand. The team is comprised of industry veterans from leading restructuring litigation practices at large, global firms.
Strength in Distressed Real Estate
Combined with Herrick’s powerhouse Real Estate team, our group is uniquely suited to handle distressed real estate situations and disputes. Our seasoned restructuring lawyers have vast experience in all facets of in and out-of-court real estate restructurings and related litigation. We have extensive experience concerning real estate sales in connection with Section 363 of the Bankruptcy Code; confirmed Chapter 11 plans seeking relief from automatic stays to pursue foreclosures; opposing "cram-down" Chapter 11 plans; contesting valuation proceedings; inter-creditor disputes; and other bankruptcy-related litigation.
Areas of Focus
- Corporate Restructuring
- Bankruptcy Litigation
- Corporate Raiding and Restrictive Covenant Litigation
- Complex Contract Disputes
- Official and Ad Hoc Committee Representations
- Cross-Border Litigation and Restructuring
- M&A Litigation
- Section 363 and Plan Sales
- Finance Litigation
- Intercreditor Disputes
- Real Estate Litigation and Workouts
- Valuation Disputes
- Asset Recovery and Fraudulent Conveyance Litigation
Recent Accolades
Our lawyers have consistently been recognized for excellence by various legal and business publications.
- Chambers USA has once again ranked Sean O'Donnell, partner and co-chair of Herrick’s Restructuring & Finance Litigation Department, in its 2023 New York Bankruptcy/Restructuring legal rankings.
- The 2023 U.S. News - Best Lawyers® "Best Law Firms" ranked Herrick nationally and regionally in Bankruptcy and Creditor Debtor Rights/Insolvency and Reorganization Law.
- Benchmark Litigation selected Christopher Carty, partner, for inclusion in the 7th edition of the 40 & Under guide. This guide features practitioners that are among the top talent in their respective litigation communities in the U.S. and Canada.
- Herrick was recognized in BTI’s Litigation Outlook 2023: Litigation Spending in the Uncertain Economy and Beyond as a Litigation Standout for Commercial Litigation.
Matter Highlights
In re Sears Holdings Corporation, et al. (S.D.N.Y.): Serving as (i) Special Counsel to the Official Committee of Unsecured Creditors charged with investigating potential estate claims and causes of action relating to a 363 sale of intercompany notes and certain credit default swap transactions, and (ii) Special Counsel to the Official Committee of Unsecured Creditors in high profile litigation on behalf of debtors’ estates, seeking to recover billions of dollars of claims arising from several prepetition transfers.
ICG Global Loan Fund 1 DAC, et al. v. Boardriders, Inc., et al. (NY Sup. Ct.): Co-counsel to group of minority lenders challenging non-pro rata priming transaction entered into between borrower, majority lenders, and equity sponsor. The legal issues being litigated here (i.e., whether a private roll-up debt exchange qualifies as an “open market” purchase and good faith and fair dealing requirements) are hot items garnering significant attention in the market. This matter is ongoing.
BlueBay Total Return Credit Fund, et al. v. Fontana, et al. (NY Sup. Ct.): Representing minority LLC member in derivative action against majority LLC members serving on board and their affiliated lender funds asserting claims for breaches of fiduciary duty and aiding and abetting such breaches.
International Arbitration Dispute: Successfully defended an international manufacturer against a complex, multi-million dollar breach of contract claim brought by a U.S. trading company involving the sale of petrochemicals. The case primarily concerned whether a contract was formed under the UN Convention on Contracts for the International Sale of Goods (the CISG) or the UCC. The representation included a seven-day trial involving multiple fact and expert witnesses.
Johnson & Johnson Spin-off Bankruptcy Case: Amicus Briefs: Authored and filed amicus briefs on behalf of a group of well-renowned bankruptcy law professors concerning debtor LTL Management LLC ("LTL"), an entity created by Johnson & Johnson to hold its talc liabilities to cancer victims exposed to talc in J&J’s products. The professors filed these briefs in support of the Official Committee of Talc Claimants’ motion to dismiss LTL’s chapter 11 case, both before the Bankruptcy Court in the District of New Jersey, and the appeal from that decision that was heard directly by the Third Circuit Court of Appeals. In January 2023, the Third Circuit reversed the Bankruptcy Court’s decision and dismissed the LTL Chapter 11 case
In re Blackhawk Mining, LLC, et al. (Bankr. D. Del.): Representing Cantor Fitzgerald Securities as the administrative agent and collateral agent under an $85 million exit facility following the successful Blackhawk chapter 11 cases. Previously represented Cantor Fitzgerald as the administrative agent and the collateral agent under Blackhawk’s (i) pre-petition $660 million first lien term loan facility and (ii) $150 million DIP term loan facility in connection with the pre-packaged restructuring of approximately $1.1 billion of debt.
In re Whiting Petroleum Corporation, et al. (Bankr. S.D. Tex.): Represented an ad hoc committee of convertible noteholders and then the indenture trustee for convertible noteholders in connection with Debtors’ bankruptcy cases.
In re The Weinstein Company Holdings, LLC et al. (D. Del.): Representing Bank Hapoalim as appellee following the (i) successful opposition to the motion of debtors’ licensee to reject licensing contract to sell Project Runway clothing where Hapoalim was secured by assignment of licensing royalties, and (ii) successful prosecution of a motion to enforce performance and request for the posting of a bond respecting a stay pending appeal.
In re Boston Generating LLC, et al. (S.D.N.Y.): Representing numerous defendants in fraudulent conveyance action by the liquidating trust arising from a $2 billion leveraged recapitalization.
SunEdison, Inc.: Represented Reorganized SunEdison, Inc. concerning indemnity claims asserted by the syndication agent and lead arranger for a pre-petition second lien loan facility.
In re Toys “R” Us Inc., et al. (E.D. Va.): Represented Great Elm Capital Group, Inc. in connection with the prosecution of a plan objection regarding proposed disparate treatment of similarly situated creditors.