Carmody lawyers represent creditors in bankruptcy cases, insolvency proceedings, and out-of-court workouts and restructurings to preserve corporate value for clients and their stakeholders. Drawing upon the experience of a multidisciplinary team, we represent our clients’ interests throughout the bankruptcy process, from pre-bankruptcy workout stage through bankruptcy trial proceedings to plan preparation and confirmation, as well as bankruptcy-related litigation and the acquisition of distressed debt and assets.
We have particular experience in:
- Handling complex foreclosures on behalf of Connecticut lending institutions and other clients.
- Assisting landlords in resolving disputes with tenants, including eviction actions involving commercial tenants.
- Representing utility companies in collecting sums resulting from theft of utility services and unpaid commercial accounts.
- Negotiating cash collateral orders and proposed plans of reorganization in Chapter 11 proceedings.
- Defending avoidance actions (e.g., preference claims and fraudulent transfer lawsuits) on behalf of creditors in bankruptcy proceedings.
- Obtaining relief from the automatic stay in bankruptcy proceedings, to permit creditor clients to pursue rights with respect to collateral in which they possess security interests.
- Obtained dismissal of a federal court RICO action on behalf of an individual who had been sued by a Bankruptcy Trustee who had claimed that the client was a fraudulent transferee of assets formerly held by a party engaged in a Ponzi Scheme with the debtor entities.
- Negotiated a seven-figure settlement on behalf of union members whose employer-nursing home had gone into bankruptcy and whose administrator had absconded with the members’ pension funds and health insurance premiums.
- Successfully litigated utility company’s request for security deposit against commercial debtor in contested bankruptcy court proceeding in one of the first test cases under Section 366 of the revised Bankruptcy Code.
- Successfully argued a case of first impression before the Connecticut Supreme Court, which held that a right of first refusal was not applicable in the context of an involuntary foreclosure sale.
- Negotiated favorable six-figure settlement of preference action in representing a Chapter 7 Trustee, despite the fact that the Trustee’s prior counsel had failed to file the preference claim prior to the running of the statute of limitations.
- Successfully renegotiated debtor’s Chapter 11 plan of reorganization on behalf of junior lienholder, whose interest had been completely eliminated under original version of the plan, to allow for significant recovery on the secured portion of the client’s debt.