Representative Matters

Johnson & Johnson Spin-off Bankruptcy Case: Amicus Briefs

Filed amicus briefs on behalf of a group of 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 a motion to dismiss LTL’s chapter 11 case, both before the Bankruptcy Court in the District of New Jersey, and the appeal to 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. (D.N.J. and 3^rd Circuit Court of Appeals 2022-2023).

G4 Capital Partners – Construction and Mezz Loan – Brooklyn Heights, NY

Represented G4 Capital Partners in connection with a $130 million construction and mezzanine loan for the construction of a residential building near Prospect Park in Crown Heights, Brooklyn, New York.

IIG Structured Trade Finance Fund Ltd. (Cayman; Curacao)

Representing the fund’s directors in connection with the liquidation of the fund and related funds.

In re Hollister Construction (D.N.J.)

Representing a project owner in connection with the chapter 11 case of one of NJ’s largest general contractors seeking to restructure in excess of $100 million of debt.

In re 6350747 Canada, Inc. (D.N.J.)

Representing three separate companies in connection with estate claims being investigated by a foreign representative in the company’s chapter 15 case.

In re J.C. Penney Co. Inc. (S.D.Tex.)

Representing Bank Hapoalim as a significant creditor in connection with J.C. Penney’s chapter 11 cases.

In re Neiman Marcus LTD LLC (S.D.Tex.)

Representing a significant consignment vendor to Neiman Marcus and Bergdorf Goodman in connection with Neiman’s chapter 11 cases.

In re Melinta Therapeutics, Inc. (D. Del)

Representing Yale University as a creditor and contract counterparty in connection with Melinta’s chapter 11 cases.

In re: Charge Enterprises Inc. (D. Del.)

Represented Kenneth Orr and certain KORR entities, significant shareholders and creditors of the debtor in the In re Charge Enterprises, Inc. Chapter 11 case in the Bankruptcy Court for the District of Delaware. The Debtor commenced its Chapter 11 case with a prepackaged plan negotiated with its prepetition secured lender and sought confirmation of that plan – which provided for the Lender to receive 100% of the equity in post-reorganization Charge – within 48 days of the bankruptcy filing. Prior to the Chapter 11 case, Charge had described in its SEC filings certain aggressive acts by the Lender that hindered Charge’s ability to refinance its debt to the Lender and increased the size of the debt purportedly owed by Charge, which led to the Charge’s inability to repay the notes at maturity. But, in its first-day Chapter 11 filings, the Debtor looked to blame KORR for its predicament, claiming that a separate dispute with KORR over illiquid investments Charge made with KORR left Charge with insufficient liquidity to repay the Lender notes. That dispute was the subject of a separate New York State Court litigation commenced by Charge while negotiating its restructuring with the Lender. In the limited time available in the Chapter 11 case, Herrick engaged in a strategy of attacking the Debtor and its Lender’s proposed restructuring on several fronts. Ultimately, KORR reached a settlement of all its disputes with Charge and the Lender, which was a positive result for Herrick’s client as well as for the Debtor and its estate. The plan and disclosure statement were approved pursuant to the Confirmation Order.

Private Lender – Multiple State and Federal Litigations

Represent a private lender in connection with multiple state and federal litigations related to a significant commercial property in Upper Saddle River, New Jersey.

In re Urban Commons 2 West LLC (Bankr. SDNY)

Represent BPC Lender, LLC, an affiliate of Silver Creek Development, a real estate development and investment company, in the Chapter 11 cases of real estate developer and hotelier, Urban Commons 2 West LLC and certain affiliates, which defaulted on hotel loans regarding the former Ritz-Carlton of Battery Park (now called The Wagner) in downtown Manhattan. After almost two years in Chapter 11 and 13 months of mediation, the Court issued a favorable ruling on behalf of our client. This included: (i) the approval of the debtors’ sale of its hotel lease interests to our client, and (ii) confirmation of the debtors’ Chapter 11 plan. In so doing, the Court (i) approved a global 9019 settlement reached between our client, the Battery Park City Authority, the Union, the Residential Board and the debtors negotiated over 13 months, and (ii) overruled the sole objection interposed by a junior, out-of-the-money mechanic’s lienholder who argued that the debtors could not sell their property free and clear of its lien. This matter is ongoing.

Sumitomo Mitsui Trust Bank – Acquisition & Construction Loan – Houston, TX

Represented Sumitomo Mitsui Trust Bank as lender in connection with an acquisition and construction loan of approx. $76 million to a developer who plans to demolish an existing retail strip center and build an approximately 12 story, 209-unit market rate multifamily project with approximately 2,867 square feet of ground floor retail in Houston, TX.

G4 Capital Partners – $29.5 Million Loan – Brooklyn, NY

Represented G4 in connection with a $29.5 million acquisition and pre-development loan for the development of property located in Brooklyn, New York for both residential and commercial use.

G4 Capital Partners – $74.5 Million Construction and Mezz Loan – Long Island City

Represented G4 Capital Partners in connection with a $74.5 million construction and mezzanine loan for the development of property in Long Island City, New York for both residential and commercial use.

In re C.T.W. Realty Corp. (S.D.N.Y.)

Representing the debtor in multi-million dollar restructuring concerning a commercial building in Manhattan.

Cantor Fitzgerald Securities – Administrative and Collateral Agent in Exit Facility

Represented Cantor Fitzgerald Securities as the administrative agent and collateral agent under an $85 million exit facility following the successful Blackhawk Mining, LLC, et al. (Bankr. D. Del.), chapter 11 cases, which involved over 100 properties, encompassing active mining complexes in West Virginia and Kentucky and substantial metallurgical and thermal coal reserves in West Virginia, Kentucky, Indiana, Illinois and Ohio. The finance component included establishing a collateral trust arrangement by transferring all of the collateral, loans and obligations to a collateral trust and amending and restating the existing loan documents. The real estate component included assigning existing mortgages encumbering the properties, amending and restating the existing mortgages and memoranda of intercreditor agreements to secure Cantor’s interest as collateral trustee, preparing as-extracted collateral filings, reviewing specific requirements related to leasehold properties, and title review.The real estate component included terminating existing mortgages encumbering the properties, preparing new mortgages to secure Cantor’s interest, preparing as-extracted collateral filings, reviewing specific requirements related to leasehold properties and title review. Herrick 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, which involved assigning the previous administrative agent’s interest in all of Blackhawk’s properties in West Virginia, Kentucky, Indiana, Illinois and Ohio to Cantor Fitzgerald, as administrative agent.

In re RLCH, Inc. – Debtor in Chapter 11

Represented debtor in Chapter 11. Sold multifamily residential apartment building pursuant to plan of reorganization. (E.D.N.Y. 2020)

Chinatown Commercial Building Sale Post-Bankruptcy

Represented an affiliate of a New York City-based family office on the approximately $28.6 million sale of a largely vacant commercial building in the Chinatown neighborhood of Manhattan. The sale was following a bankruptcy court order, in a Chapter 11, single-asset bankruptcy case.

In re Whiting Petroleum Corporation, et al. (Bankr. S.D. Tex.)

Representing indenture trustee for convertible noteholders in connection with Debtors’ bankruptcy cases.

In re Ample Hills (Bankr. E.D.N.Y.) – Debtor in Chapter 11

Represented debtors who operated 10 retail ice-cream stores in the New York metropolitan area. Sold stores pursuant to section 363 sale in early days of COVID crisis (E.D.N.Y. 2020).

SunEdison, Inc.

Counsel to Reorganized SunEdison, Inc. concerning indemnity claims asserted by the syndication agent and lead arranger for a pre-petition second lien loan facility.

In re Gymboree, et al. (S.D.N.Y)

Representing a defendant in a WARN Act action arising out of the sale of substantially all of Gymboree’s assets.

Sears – Special Counsel to Creditors Committee

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 company 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. (In re Sears Holdings Corporation, et al. (S.D.N.Y.)

In re Blackhawk Mining, LLC, et al. (D. Del.)

Representation of Cantor Fitzgerald Securities as (i) successor administrative agent and collateral agent under a $660 million first lien facility, (ii) the administrative agent and collateral agent under a $150 million DIP facility in connection with the chapter 11 case of Blackhawk Mining, and (iii) the administrative agent and collateral agent under an $85 million exit facility.

Steven B. Smith, Partner