Bankruptcy, Reorganization + Creditors' Rights

Pryor Cashman’s Bankruptcy, Reorganization + Creditors’ Rights Group provides its clients with bespoke legal solutions in the most sophisticated and complex bankruptcies and reorganizations throughout the world. As trusted advisors and formidable advocates, we assist creditors, investors, and fiduciaries in connection with distressed companies, financially troubled entities, underperforming loans or investments and evaluate in- and out-of-court options while consistently representing clients when bankruptcy or insolvency proceedings ensue. With client goals always driving our strategy, we work strategically and efficiently to anticipate and mitigate the impact of bankruptcy on our clients and their businesses while maximizing value through cost-effective solutions.

What We Do

From complex investment and debt instruments to single creditor claims, Pryor Cashman’s bankruptcy lawyers assist clients in nonjudicial workout situations and in strategic motion practice and evidentiary proceedings, contested matters, trials, and appeals. Our clients include creditors, indenture trustees, administrative and collateral agents, landlords and lessors, lenders, trade creditors, labor unions, pension funds, claim traders, and asset purchasers.

Largely representing creditors, we appear in federal and state courts, administrative agency proceedings, arbitrations, and mediations, handling all phases of Chapter 11 and Chapter 7 bankruptcy proceedings, and state law insolvency and business dissolution proceedings. We also negotiate the terms of reorganization and restructuring plans and out-of-court workouts for clients in a variety of industries, including manufacturing, retail, banking, real estate, and entertainment.

Corporate Trust and Loan Agency

Our Bankruptcy, Reorganization + Creditors' Rights Group is highly regarded for its unparalleled representation of the corporate trust and loan agency departments of distinguished banks and financial institutions. This strength, which derives from our unique ability to leverage our renowned Corporate Trust practice, allows our team to successfully utilize its inimitable expertise to lead our clients through all complex corporate insolvencies, ranging from out-of-court restructurings to large, sophisticated Chapter 11 bankruptcies.

With extensive experience representing administrative and DIP agents and indenture trustees both in and out of bankruptcy, our expertise is consistently called upon in the largest and most prominent corporate insolvency matters and bankruptcy cases in the industry, including: Wesco Aircraft Holdings, Inc., Mallinckrodt plc, SVB Financial Group, Dynata, LLC, National CineMedia, LLC, iHeartMedia, Inc., FirstEnergy Solutions Corp., EXCO Resources, Inc., and Caesars Entertainment Operating Company, Inc.

Bankruptcy and Insolvency-Related Litigation

Our experienced team, which consistently provides innovative legal solutions in a full range of bankruptcy, financing, and insolvency proceedings, is often called upon to play pivotal roles in the most complex and high-profile bankruptcies and reorganizations. Our vast expertise includes cases involving mortgage-backed securities and collateralized debt obligations for banks, private equity firms, and hedge funds and asserting the interests of lenders and creditors in real property foreclosure proceedings.

With a diverse array of clients ranging from multibillion-dollar financial institutions and private equity and distressed debt funds to small and midsize companies, individuals, trusts, and family offices, our team is uniquely positioned to provide clients with comprehensive legal representation. Examples of notable experience includes:

• Litigation Administrator and Litigation Oversight Committee in Celsius Network LLC
• Ad hoc group of dollar lenders in Genesis Global Holdco, LLC
• Ad hoc group of hair relaxer claimants in Revlon, Inc.
• Top 20 unsecured creditor and UCC chair in Core Scientific, Inc.
• Targets of avoidance actions in Bernard L. Madoff Investment Securities LLC

Claims Trading

As experts in identifying risks and framing the ideal structure and settlement options for each transaction, our claims trading team routinely represents buy-side and sell-side clients in the purchase and sale of securities and claims of companies in domestic and foreign insolvency proceedings.

We utilize this expertise to work with clients at all aspects of a trade, from due diligence and risk analysis (including recovery and counterparty risk) to negotiating and drafting trade confirmations, assignment agreements, purchase and sale agreements, participation agreements, receivable put options, and other applicable trading and transfer contracts. Additionally, when necessary, as a nationally acclaimed full-service law firm, our team possesses the unique ability to leverage our firms’ renown commercial litigators to litigate broken trades.

Our extensive experience includes the purchases of claims in FTX, PG&E, Lehman Brothers, American Airlines, Delta Airlines, Northwest Airlines, Madoff, Home Insurance Company, Mission Insurance Company, Kingate, and Lancelot.

Asset Sales

We frequently advise clients regarding the purchase of assets and contracts from debtors’ estates and represent stalking horse bidders, competing bidders, and third parties whose rights may be affected by a bankruptcy sale or contract assumption and assignment.

Transactional Assistance

Our bankruptcy attorneys are regularly called upon by the firm’s other practice groups for advice and assistance in structuring, financing, purchase and sale, leasing, licensing, and other transactions. We also assist in the prosecution or defense of civil litigation proceedings where insolvency and bankruptcy matters are raised. Additionally, we render non-consolidation and true sale opinions to facilitate complex real estate loans and other lending arrangements, and we assist other practice groups in the issuance of more routine law firm opinions where bankruptcy or insolvency issues are involved.