Financial Restructuring & Bankruptcy

Bankruptcy Trustee

Representative Matters

Fox attorneys have successfully represented trustees acting as fiduciaries in bankruptcy cases for a variety of industries, including biotechnology, manufacturing, telecommunications, technology, health care, real estate development, apparel and retail.

Most notably, Fox attorneys have represented trustees in the following matters:

  • Counsel to the Chapter 7 trustee ofHospital Partners of America, Inc., et. al., a Charlotte, NC-based holding company that developed and operated hospitals in partnership with physicians, which involved the successful sales of ownership interests in two hospitals, resulting in purchase prices in excess of $155 million and $13 million, respectively.
  • Counsel to the Chapter 7 Trustee of Winstar Communications, Inc., et al., a billion-dollar telecommunications company that provided broadband services to business customers, which involved the distribution of more than $320 million in assets.
  • Counsel to the Chapter 7 Trustee of Dollarland, Inc., et al., a chain of 46 dollar retail stores in Pennsylvania, New Jersey and Maryland, which resulted in the collection of more than $4 million in assets.
  • Counsel to the Chapter 7 Trustee of the third largest bank failure in the 2008 financial crisis, which resulted in a summary judgment award of more than $400 million in tax refunds to the Chapter 7 trustee.
  • Counsel to the Chapter 7 trustee of Hess Industries, Inc., et al., a Niles, MI, a company that engineered, fabricated and installed custom metalforming equipment and integrated manufacturing systems primarily for applications in the automotive industry, which resulted in the sale of substantially all of the assets to a China-based company for $19.25 million.
  • Counsel to the Chapter 7 trustee of Bionol Clearfield, LLC, et al., a Clearfield, PA company that constructed and operated a $300 million corn-based ethanol production facility – the only bioethanol production facility in Pennsylvania, which involved court authority to operate the facility and the production business during the course of a going concern sale process, which lasted approximately 10 months and resulted in a $10 million sale after a multiparty bid and auction process.
  • Counsel to the Chapter 7 Trustee of the estate of Jeffrey J. Prosser, the ultimate owner of Innovative Communication Corporation and related entities, a telephone and cable provider in the Caribbean, which resulted in various multimillion-dollar judgments for fraudulent transfers and turnover.
  • Counsel to the Chapter 7 Trustee of the estate of Frank E. Lembi, who was the largest owner of residential rental property in San Francisco, which resulted in the recovery of millions of dollars through the sale of significant real estate holdings.
  • Counsel to Yann Geron as Chapter 7 trustee of Thelen LLP, formerly a law firm with more than 600 attorneys nationally, which resulted in liquidating assets throughout the United States; resolving complex issues relating to client files and escrow funds; and resolving the vast majority of claw-back and unfinished business claims. In addition, the Fox team addressed issues relating to employee claims and WARN Act issues.
  • Counsel to James P. Carroll as Chapter 7 Trustee of Jeffrey J. Prosser, in the U.S. Virgin Islands, which resulted in liquidating high-end real property in Florida and New York, and personal property, including art work, antiques, wines and jewelry. We successfully objected to the debtor’s discharge and obtained recoveries from numerous parties, including in a jury trial in the district court and a judgment against the debtor’s wife for more than $14 million.
  • Counsel to Yann Geron as Chapter 11 trustee of Dallek, Inc., formerly a furniture dealer in New York City, resulting in liquidating claims and assets; developing competitive bidding and selling real property; and resolving long-standing disputes between owners of company. We successfully obtained a confirmed plan of liquidation under which creditors received a 100 percent distribution and equity received surplus.
  • Counsel to Yann Geron as Chapter 7 trustee Rodman & Renshaw, a broker-dealer, which resulted in liquidating numerous open equity positions, developing competitive bidding and selling the debtor’s intellectual property and other assets.
  • Counsel to Yann Geron as Chapter 7 trustee of Pali Holdings, Inc. and Pali Capital, Inc. We successfully litigated and ultimately resolved claims against the former directors and officers of the debtors, resulting in a multimillion-dollar recovery.
  • Counsel to Yann Geron as Chapter 7 trustee of Third Toro Family Limited Partnership, a former bagel manufacturer (H&H Bagels). We successfully sold the debtor’s building on 46th Street and Tenth Avenue for $11 million.
  • Counsel to Yann Geron as Chapter 7 trustee of Louis Frey Company, Inc., a reprographics firm, which resulted in liquidating assets (including significant complex receivables); selling the debtor’s tangible property; resolving disputed claims; litigating various claw-back claims resulting in recoveries in excess of $1 million; and litigating and ultimately resolving various breach of contract, breach of fiduciary duties and tortious interference claims against the debtor’s managing company, which resulted in a $10.5 million settlement.