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Significant Engagements - Business Reorganization

Bankruptcy Appeals

Berger Singerman's Business Reorganization team has extensive federal bankruptcy-related appellate litigation experience, both prosecuting and defending cases before the U.S. District Court and the U.S. Court of Appeals for the Eleventh Circuit. Two of the attorneys on the Business Reorganization Team are members of the Appellate Section of The Florida Bar and have authored, individually and collectively, bankruptcy and non-bankruptcy appellate related articles published in The Record, the quarterly publication of the Appellate Section. These articles are entitled "Practicing in the Eleventh Circuit Court of Appeals: Avoiding Common Pitfalls,” “The Collateral Order Doctrine", “Standing in Bankruptcy Appeals Refined,” and “Office of the Solicitor General of Florida: An Overview.”

Creditors' Committees

Berger Singerman's Business Reorganization Team is proud of our experience in representing official committees of unsecured creditors, and of the results obtained in cases in which we have had the opportunity to serve as committee counsel. Representing creditors' committees is a significant and core part of our Firm's business, and we have had the privilege of representing committees in some of the largest cases in our region.

Debtors

Berger Singerman's Business Reorganization Team is a market leader in representing debtors in bankruptcy cases in Florida and throughout the region. Certain of our debtor representations are briefly described below.

Distressed Litigation

Distressed Mergers & Acquisitions

Institutional & Secured Creditors

Berger Singerman's Business Reorganization Team represents an impressive array of domestic and foreign institutional and non-institutional lenders in workouts and bankruptcy matters throughout the United States. Amongst the clients for whom Berger Singerman has appeared of record in pending cases are Ableco, an affiliate of Cerberus Capital, Colonial Bank, General Electric Capital Corporation, Textron Financial Corp., Heller Financial, La Salle National Bank, Lehman Brothers Holdings, Inc. and its affiliates, Metro Bank, Southtrust Bank, and Cypress Lending Group, Ltd.

Trustees

Berger Singerman's Business Reorganization Team does not engage in a consumer bankruptcy practice, except for matters which the firm undertakes in connection with its substantial pro bono endeavors. We proudly represent bankruptcy trustees in substantial commercial cases or in cases with significant litigation.


  



Bankruptcy Appeals

  • AD HOC COMMITTEE FOR WESTWOOD COMMUNITY ASS'N, INC.
    Berger Singerman’s Business Reorganization Team represented a group of homeowners on appeal from an order which precluded them from challenging an order awarding $900,000 in punitive damages and an order approving assessments made against the homeowners’ property on the ground that they lacked standing. The Eleventh Circuit held that the group did, in fact, have the right to challenge the orders of the bankruptcy court. In re Westwood Community Two Ass’n., Inc., 293 F.3d 1332 (11th Cir. 2002). In this case, the trustee was authorized by the bankruptcy court to make special assessments against the homeowners to satisfy the claims of creditors of the estate. Our representation of these homeowners is continuing as we are seeking disgorgement of fees collected by the trustee. Our firm is also defending an appeal from the District Court to the Eleventh Circuit on the merits of the Trustee’s assessment as well as the merits of an award to the claimants of punitive damages.

     

  • ALAN L. GOLDBERG, AS CHAPTER 7 TRUSTEE FOR THE ESTATE OF IMPACT DISTRIBUTORS, INC.
    Berger Singerman’s Business Reorganization Team successfully defended on appeal a judgment it won from a bankruptcy court on behalf of a Chapter 7 Trustee that held that an alleged assignment of a trademark was an “assignment in gross” and therefore the trademark was property of the bankruptcy estate.

     

  • ALAN L. GOLDBERG, AS CHAPTER 7 TRUSTEE FOR THE ESTATE OF STEPHAN JAY LAWRENCE
    Berger Singerman’s Business Reorganization Team represents the Chapter 7 Trustee of a Debtor who transferred in excess of $7 million to an off-shore asset protection trust in the Republic of Mauritius. The bankruptcy court ordered the Debtor to repatriate these assets to the United States. Both the District Court and the Eleventh Circuit affirmed the Bankruptcy Court. In re Lawrence, 251 B.R. 630 (S.D. Fla. 2000), aff’d, 279 F.3d 1294 (11th Cir. 2002). The Eleventh Circuit directed the turnover of the corpus of the offshore trust, which the court found constituted property of the Debtor’s estate because the trust was self-settled and the Debtor retained de facto control over it.

  • BUSINESS LAW SECTION OF THE FLORIDA BAR
    Berger Singerman served as counsel to the Business Law Section of The Florida Bar in connection with an appeal to the Florida Supreme Court on an issue of critical importance to its members. Specifically, in Osborne v. DuMoulin, Case No. SC09-751, the Court held that where a debtor in bankruptcy elects not to claim the Article X, Section 4 homestead exemption and the trustee's administration of the bankruptcy estate is not otherwise obstructed by the existence of the homestead exemption, the debtor does not receive the benefits of the homestead exemption and may claim the section 222.24 (4) personal property exemption of $4,000.00. The Court's ruling provides a lengthy analysis of the issues discussed in the brief submitted to the Court by the Business Law Section. The Court rephrased the certified question to "better address the conflict in the federal bankruptcy courts regarding the application of section 222.24 (4) of the Florida statutes”.

  • JAMES S. FELTMAN, AS LIQUIDATING TRUSTEE FOR THE ESTATE OF WORLDWIDE WEB SYSTEMS, INC.
    Berger Singerman’s Business Reorganization Team successfully defended a bankruptcy court trustee’s $1.8 million default judgment setting aside a fraudulent transfer. The bankruptcy court ruled that the defendant failed to meet the burden of proof required for vacating the default judgment. The District Court affirmed and the defendant took a further appeal to the Eleventh Circuit where the matter is presently pending.
  • PABLO MARTINEZ, DEBTOR
    Berger Singerman’s Business Reorganization Team successfully defended an Eleventh Circuit appeal of a judgment obtained by a debtor under the Fair Debt Collection Practices Act (FDCPA). The Debtor had sued a law firm for its failure to give effective notice of the debtor’s right to validate a debt allegedly owed to his mortgagee as required by the FDCPA. The required FDCPA validation notice was placed in the middle of a foreclosure suit package, which was the initial communication from the law firm to the Debtor. The ruling in favor of the debtor was affirmed by the District Court and Eleventh Circuit Court of Appeals. In re Martinez, 271 B.R. 696 (S.D. Fla. 2001), aff’d, 311 F.3d 1272 (11th Cir. 2002).

Creditors' Committees

  • ADVANCED PROMOTION TECHNOLOGIES, INC.
    Berger Singerman's Business Reorganization Team represented the Official Committee of Unsecured Creditors. Advanced Promotion Technologies, Inc. was a technology company that received in excess of $100 million in equity and subordinated debt financing during its developmental stages. The business of Advanced Promotion Technologies was computer hardware and software designed to implement "frequent shopper" programs at grocery stores throughout the United States. The Chapter 11 case for Advanced Promotion Technologies was primarily a balance sheet restructuring during which the company's pre-bankruptcy debt was converted to equity, new equity was infused and the company emerged distributing stock to pre-bankruptcy creditors. After bankruptcy, the company was sold to a national market leader in frequent shopper incentives programs, and the share price of the company appreciated nicely. Berger Singerman handled all aspects of the corporate and securities work on behalf of the Advanced Promotion Technologies unsecured creditors.
  • AURORA CAPITAL, INC.
    Berger Singerman is counsel to the Joint Committee of Unsecured Creditors of Aurora Capital, Inc. and its subsidiary, Flamingo Enterprises, Inc. (collectively “Aurora”). Aurora was engaged in the business of financing the purchase of used cars and light trucks through the purchase of retail installment sales contracts originated by used car dealers and used car departments of franchise dealers located in Florida. The Company was also engaged in the business of selling used cars and trucks from three retail facilities that were owned and operated by Aurora. Aurora’s purchase of the installment contracts indirectly involved Aurora’s extension of credit to borrowers who did not meet the credit criteria of more traditional lenders. These borrowers fell into the “C” and “D” segments of the credit score universe known as “sub-prime” borrowers. Aurora financed its business through a senior secured loan from Bank of America as well as private offering to individual noteholders in South Florida and Israel (approximately 78 noteholders holding notes in the face amount of $22.5 million). Berger Singerman first represented an Ad Hoc Committee of noteholders in an attempt to negotiate a resolution with Aurora. When those efforts were unsuccessful, involuntary petitions were filed against Aurora and Berger Singerman represented the petitioning creditors throughout the five month period of the hotly contested Involuntary Chapter 7 cases, with the Court ultimately entering an order for relief in the cases and appointing a Trustee. Berger Singerman continues to represent the Committee in the bankruptcy case and has just been retained as special counsel to the Trustee to pursue litigation claims against the former directors and officers.
  • BLACK CROW MEDIA GROUP AND ITS 11 AFFILIATES
    Berger Singerman represents the Committee in the Chapter 11 bankruptcy cases of Black Crow Media Group, LLC (“Black Crow”) and its affiliates. The cases represent one of the largest chapter 11 matters pending in the Middle District of Florida in 2010. The Debtors’ operations provide valuable service to the communities that they serve and since the filing of the Chapter 11 Cases, their operations have stabilized. The Secured Creditor has taken an aggressive role in the cases and any proposed plan of reorganization will likely address may significant legal issues, including substantive consolidation and a secured creditors right to “credit-bid” in the post-Philadelphia Newspaper environment. The Committee’s role has been prominent.
  • CENTRIX FINANCIAL, LLC, ET AL.
    Berger Singerman’s Business Reorganization Team is co-counsel to Phoenix Capital Management, as agent for and manager of Centrix Funds, LLC (“Centrix Funds”) and its investors, as the largest single creditor of Centrix Financial, LLC (“CFL”) and its related subsidiaries and affiliates. CFL was engaged in the business of underwriting and servicing sub-prime automobile loans through a portfolio management program whereby loans underwritten by CFL were purchased and funded by various credit unions and Centrix Funds, an investment fund independent from CFL. When CFL and its subsidiaries filed Chapter 11 in September 2006 in the District of Colorado (Denver Division), Centrix Funds owned approximately $640 million of the $1.6 billion of sub-prime automobile loans underwritten and then being serviced by CFL. A member of the Business Reorganization Team has had primary responsibility for negotiating a complex settlement of various material objections by Centrix Funds to the sale of CFL’s servicing businesses to Flatiron Financial Services resulting in the assumption and assignment of modified servicing agreements for the loans held by Centrix Funds. Additionally, Berger Singerman recently had the primary role in the negotiation and documentation of Centrix Funds’ substantial settlement with Everest National Insurance Company with respect to the risk default insurance coverage for the Centrix Funds loan portfolio.

  • CHS ELECTRONICS, INC.
    Berger Singerman initially represented the Official Committee of Unsecured Creditors in this large Chapter 11 case. Over $1 Billion of claims were filed against the bankruptcy estate by over 500 creditors. CHS Electronics was a public company, the shares of which were traded on the New York Stock Exchange. Before the Chapter 11 case was filed, CHS had annual sales in excess of $3 Billion. Since the Chapter 11 plan was confirmed, Berger Singerman has represented the Responsible Person for the bankruptcy estate and has pursued litigation claims all over the world. Berger Singerman lawyers have been actively involved in large and complex litigations relating to CHS in Asia, and throughout Eastern and Western Europe.

  • FIDDLER’S CREEK, LLC
    Berger Singerman is counsel to the Official Committee of Unsecured Creditors of Fiddler’s Creek, LLC et al. Fiddler’s Creek, LLC and twenty-seven of its subsidiaries (“Fiddlers”) filed Chapter 11 on February 23, 2010. Fiddlers owns, operates and/or is otherwise affiliated with a fully integrated master planned residential community known as “Fiddler’s Creek” in southwestern Florida. At the time of the bankruptcy filing, Fiddlers was indebted to 9 lenders with secured loans totaling approximately $150,300,000. In addition, there is approximately $109,000,000 of Community Development District Bond debt on the Fiddlers’ properties approximately $20,000,000 in general unsecured claims. The Committee represents the interests of unsecured creditors as well as approximately 1,600 homeowners and members of the Golf Club and Tarpon Club.

  • FINE AIR SERVICES CORPORATION ET AL.
    Berger Singerman's Business Reorganization Team represented the official committee of unsecured creditors. Fine Air was the largest cargo carrier operating out of Miami-Dade County, Florida. The cases involved over $40 million in secured claims and approximately $100 million in allowed unsecured claims. Berger Singerman assisted the committee in obtaining a competing plan procedure which ultimately lead to competitive bids for the Fine Air debtors as going concerns, thereby preserving over 1,000 jobs and long standing trading relationships with a series of vendors.
  • FIRST AMERICAN CAPITAL TRUST
    Berger Singerman's Business Reorganization Team represented the Official Committee of Unsecured Creditors in this Chapter 11 case in Tampa, Florida. The Debtor sold promissory notes to mostly elderly customers and alleged that the notes were secured with sub-prime automobile loans. There were approximately 1400 creditors with claims exceeding $60,000,000. The Debtor and Committee's Joint Chapter 11 Plan of Liquidation was confirmed.
  • FIRST FOLIAGE, L.C.
    Berger Singerman is counsel to the Official Committee of Unsecured Creditors of First Foliage, L.C. (“First Foliage”). First Foliage, located in Homestead, Florida, is a $40 million leading national supplier and marketer of indoor and outdoor tropical plants, which are sold primarily to big-box retailers, including Lowe’s, WalMart and The Home Depot. First Foliage is one of the ten largest foliage nurseries in the country and one of the three largest tropical foliage nurseries in Florida, measured by sales dollars and growing square footage. At the time of its chapter 11 bankruptcy filing, First Foliage had secured debt of approximately $26,000,000 and unsecured debt of approximately $7,300,000.
  • IN RE TELENOTICIAS LLC D/B/A CBS TELENOTICIAS
    Berger Singerman’s Business Reorganization Team served as counsel to the Official Committee of Unsecured Creditors in the case In re Telenoticias LLC d/b/a CBS Telenoticias, which was pending in the United States Bankruptcy Court for the Southern District of Florida. At the time of the filing, the Debtor was the largest Spanish and Portuguese-speaking cable television network in the world. During the course of the case, Berger Singerman assisted in the negotiations and ultimate sale of substantially all of the Debtor’s assets to Telemundo Network, Group, LLC. Berger Singerman thereafter represented the Trustee of the Liquidating Trust that was created pursuant to the confirmed Plan of Liquidation propounded jointly by the Debtor and the Official Committee. In connection with this representation, Berger Singerman prosecuted claim objections, handled media related tax issues and liquidated remaining assets of the estate and pursued all post-bankruptcy litigation.
  • ITG VEGAS, INC., ET AL
    Berger Singerman’s Business Reorganization Team represents the Official Committee of General Unsecured Creditors in the jointly administered cases filed by ITG Vegas, Inc, et al. Eleven entities filed cases under Chapter 11. These debtors owned one operating gambling ship, and two non-operating ships. At the time of the filing on December 4, 2006, the primary secured lender asserted liens in excess of $40 Million. Berger Singerman reached a partial settlement for the Committee, resulting in a significant carve-out for the benefit of unsecured creditors. The case is still pending and plan negotiations are ongoing.
  • LANCER PARTNERS, LP
    Berger Singerman’s Business Reorganization Team represents the Official Equity Committee in this case as Florida counsel. The creditors include about 300 investors who invested monies in funds operated by the Debtor. Although termed an “Equity Committee”, the constituents represent investors who did not exercise their redemptive rights prior to the Petition Date. The case was consolidated for several years with a receivership brought by the Securities and Exchange Commission.
  • LYKES BROTHERS STEAMSHIP
    Berger Singerman's Business Reorganization Team represented the Official Committee of Unsecured Creditors. The Lykes Brothers Steamship, et al. cases where amongst the largest cases filed in the United States Bankruptcy Court for the Middle District of Florida. Lykes Brothers was a longstanding international steamship company, and amongst the few that were United States flagged. The case involved complex bankruptcy and admiralty law issues, over 7,000 pending asbestos lawsuits, and other fascinating issues occasioned by the intersection of international law, admiralty law, and United States bankruptcy law. Through the Chapter 11 proceedings, the Lykes Brothers Steamship's business was sold as a going concern to a Canadian conglomerate. Since emergence from bankruptcy, Lykes Brothers has grown nicely and is a formidable competitor in the international steamship trade industry.
  • MARS MUSIC, INC., ET AL.
    Berger Singerman's Business Reorganization Team represented the Official Committee of Unsecured Creditors. Mars Music was one of three national "big box" musical instrument and equipment retailers. After having received in excess of $150 million in equity and subordinated debt financing, the non-institutional lenders and investors elected to forbear from further financing. Mars= senior secured creditor restricted availability under Mars= asset based line of credit, resulting in Mars filing and effecting a prompt liquidation through comprehensive going out of business sales. Berger Singerman's Business Reorganization Team was selected as counsel to the committee after extensive interviewing by the committee of multiple firms and quickly got up to speed in order to effectively represent the committee and to negotiate the best possible arrangement with the liquidators who bid on the opportunity to conduct the going out of business sales.
  • MOONEY AIRCRAFT COMPONENTS
    Berger Singerman's Business Reorganization Team represented the Official Committee of Unsecured Creditors for Mooney Aircraft Components. Mooney Aircraft has been in production for over 50 years and represents the highest quality in single engine propelled driven general aviation aircraft. The firm was instrumental in negotiating the sale of the assets of Mooney to AASI, who has undertaken to perpetuate the quality of the Mooney name and assure that the Mooney fleet will be maintained into the future. We expect that creditors will become a meaningful recovery.

  • PAN AMERICAN WORLD AIRWAYS CORP. (PAN AM II)
    Berger Singerman's Business Reorganization Team was selected to represent the Official Committee of Unsecured Creditors when Pan Am filed its second Chapter 11 case in the Southern District of Florida. The Pan Am cases were particularly difficult giving the financial distress which had befallen Pan Am. Berger Singerman assisted the debtors in formulating a plan of reorganization and in obtaining confirmation of a plan in less than four months. Following confirmation, Berger Singerman was retained to represent the liquidating trustee appointed in the Pan Am cases. Pan Am is on target to make the single largest distribution to unsecured creditors in any scheduled airline bankruptcy case.
  • SEA ISLAND COMPANY
    Berger Singerman is counsel to the Official Committee of Unsecured Creditors of Sea Island Company et. al. Sea Island Company and 6 of its subsidiaries (“Sea Island”) filed for Chapter 11 on August 10, 2010. Sea Island is currently engaged in operating a collection of hotel resorts, golf courses, spa and recreational complexes, together with their real estate development, all of which are located in or around St. Simons Island and Sea Island, Georgia. Sea Island’s history began in 1928 with the opening of the Cloister Hotel and since then expanded with the development of three spectacular 18 hole golf courses, the addition of the 40 room Lodge and the Frederica Golf Club and Residential Development. At the time of the bankruptcy filing Sea Island had in excess of $560,000,000 of secured debt and unsecured debt of approximately $100 million. On November 4, 2010, the Bankruptcy Court approved Sea Island’s Amended and Restated Joint Chapter 11 Plan, which included the sale of substantially all of Sea Island’s assets to a joint venture between two groups (i) Oaktree Capital Management, L.P. and Avenue Capital Group, and (ii) The Anschutz Corporation and Starwood Capital Group. The Committee, tasked with the responsibility of advocating on behalf of those unsecured creditors not being treated under the terms of the Asset Purchase Agreement and being left behind in the bankruptcy case, with the assistance of the Berger Singerman team, were able to obtain the buyers’ agreement to assume additional deferred compensation liabilities and some improvements in the golf membership plans”. Berger Singerman also successfully negotiated other enhancements for the benefit of unsecured creditors, including an increase in the amount of the cash to be set aside for the unsecured creditors of over 100% (from $3 million to appx. $6.5 million). The lenders also have agreed to contribute approximately $220,000 to fund the operations of the liquidating trust under the plan as well as limit their deficiency claim. The enhancements resulted in at least $8.2 million of additional value for the unsecured creditors.
  • ST. JOHN'S HOME HEALTHCARE
    Berger Singerman's Business Reorganization Team represented the Official Committee of Unsecured Creditors when St. John's Home Healthcare, the single largest home healthcare provided in South Florida, filed its Chapter 11 case. Based upon a decision by the bankruptcy court in the early stages of the case allowing United States Healthcare Administration to recoup amounts claimed due it from the Debtor, the case was converted to a case under Chapter 7.
  • SUNDALE LTD/KENDALL HOTEL AND SUITES, LLC
    Berger Singerman's Business Reorganization Team is counsel to Florida Associates Capital Enterprises, LLC, the second largest secured lender in these jointly administered chapter 11 cases. Kendall Hotel and Suites operates a Crowne Plaza Hotel in the Kendall area of Miami and leases land from its affiliated landlord Sundale Ltd. Berger Singerman acts as lead counsel in a contested Joint motion to appoint a chapter 11 trustee filed and joined by the two secured creditors and largest unsecured creditor. The case is still ongoing and significant litigation is anticipated over the validity and priority of our client's lien.
  • TAYLOR, BEAN & WHITAKER MORTGAGE CORP.
    Berger Singerman is general and sole counsel to the Official committee of Unsecured Creditors.  Taylor Bean and Whitaker is the largest bankruptcy case pending in the State of Florida. Before filing Chapter 11, Taylor Bean & Whitaker Mortgage Corp. (“TBW”) was the largest independent (non bank owned) mortgage originator in the United States. The demise of TBW has had profound ramifications in a number of respects. First, TBW’s failure is the direct cause for the failure of Colonial Bank in Alabama. TBW was the principal mortgage banker for Colonial Bank. Shortly after TBW filed bankruptcy, Colonial Bank was seized by the United States Federal Deposit Insurance Corporation and the bank was put into receivership. Colonial Bank is one of the largest bank failures in the United States. When Colonial Bank failed in August of 2009, it was  the largest bank failure of the year. In addition, TBW had hundreds of thousands of consumers whose mortgages were owned or serviced by TBW, many of whom experienced servicing interruption. TBW had over 1,000 employees, and operations throughout the United States. By the time all claims are resolved, there will be approximately $4.5 -5.0 Billion in claims. Since TBW filed bankruptcy, Berger Singerman has been involved in all aspects of the case and several transactions selling mortgages and interests in mortgages and real estate collateral resulting from foreclosure of mortgages. Finally, Berger Singerman is handing substantial litigation in this case for the bankruptcy estate.
  • U.S. LENDING CORP.
    Berger Singerman's Business Reorganization Team represented the Official Committee of Unsecured Creditors. U.S. Lending Corp. was engaged in the "sub-prime" automobile finance industry. Like many sub-prime companies, U.S. Lending's aggressive lending practices, combined with a curtailment of institutional and securitized capital, led to its seeking relief under Chapter 11. Through its reorganization cases, U.S. Lending's business was sold to Search Capital, then a successful publicly traded sub-prime and consumer finance company.
  • VITECH AMERICA, INC.
    Berger Singerman's Business Reorganization Team represented the Official Committee of Unsecured Creditors. Vitech America was engaged in the business of exporting computer components and peripherals to Brazil and assembling and distributing completed computers and peripherals throughout Brazil and South America. At the time of the filing of Vitech=s bankruptcy, Vitech's had in excess of $75 million of unsecured debt and was engaged in intensive litigation with Gateway. On behalf of the Official Committee of Unsecured Creditors of Vitech America, Inc., Berger Singerman assisted in an examination of Vitech's business plan and a forensic analysis of various financings and business transactions in which Vitech engaged with insiders and foreign affiliates. After doing so, the Official Committee of Unsecured Creditors moved to convert the Vitech case to a case under Chapter 7 in order to facilitate the investigation and prosecution of claims by a Chapter 7 trustee.

Debtors

  • ADVA-LITE INC. , ET AL
    Berger Singerman’s Business Reorganization Team represents Adva-Lite, Inc., Toppers, LLC, CGI, Inc., It’s All Greek To Me, Inc., Corvest Promotional Products, Inc. and Corvest Group, Inc. in their Chapter 11 cases pending in the United States Bankruptcy Court for the District of Delaware. Prior to their bankruptcies, the Corvest debtors were amongst the largest distributors of promotional products in the U.S., having sales of approximately $77 Million in the year ended December 31, 2006. Total debt in the Corvest cases consists of approximately $100 Million. In these cases, the assets of the debtors were sold after a banking and sale process to an affiliate of Cerberus Capital, the debtors’ pre-bankruptcy lender.


  • ALOHA AIRGROUP, INC.
    Berger Singerman represented, first as special transactional counsel, and later as general bankruptcy counsel, Aloha Airgroup, Inc. and its wholly owned subsidiary, Aloha Airlines, in their first chapter 11 reorganization case in Honolulu, Hawaii filed at the end of 2004. Berger Singerman\'s team, including Paul Steven Singerman, Jordi Guso, Brian G. Rich and Daniel Lampert, represented Aloha in connection with DIP financing arrangements with Cerberus Capital, the sale and sponsor process, and confirmation of Aloha\'s chapter 11 plan despite opposition by the Pension Benefit Guaranty Corporation (\"PBGC\"). After the PBGC appealed from the initial confirmation order, Berger Singerman spearheaded Aloha\'s successful efforts to expedite appellate review of the confirmation order and obtained an order affirming the confirmation order from the District Court within a week after the appeal was docketed. Aloha emerged successfully from chapter 11 about 13 months after Berger Singerman began working on the engagement. In late 2007, Berger Singerman once again assisted Aloha with respect to financing issues and its continued operation in light of new competition in its marketplace and unprecedented spike in fuel prices which caused Aloha to suffer significant operational losses and resulted in Aloha again filing for Chapter 11 protection in early 2008. Despite its best efforts to attract new capital in a very difficult economic environment, Aloha could not attract new debt or equity financing and was forced to shut down its scheduled passenger service on April 1, 2008. Notwithstanding, Berger Singerman assisted Aloha in obtaining approval for the expeditious sale of its air cargo and ground handling businesses as going concerns. Thereafter, remaining assets of Aloha were liquidated under chapter 7 of the Bankruptcy Code.


  • AMERICAN TISSUE, INC.
    Berger Singerman serves as special litigation counsel to the chapter 7 trustee of American Tissue, Inc. and its 25 affiliated debtors. The American Tissue bankruptcy cases are pending in Delaware and involve a fraud in excess of $300 million. Led by Brian G. Rich and Anthony Carriuolo, the Team Manager of the Dispute Resolution Team, Berger Singerman commenced over 300 lawsuits in various courts throughout the United States against a variety of litigation targets, including the former insiders of the debtors and their affiliated transferees, the debtors\' former auditors, and lenders to affiliates of the American Tissue debtors who are alleged to have appropriated property and collateral of the American Tissue debtors and their lenders. One of those insiders, the company’s president, was recently sentenced to 15 years in prison for conduct uncovered in part by the investigations in the bankruptcy case. Additionally, Berger Singerman commenced a fraudulent transfer claim against the Debtors\' former investment bankers in the District Court for the Southern District of New York. case ultimately resulted in a multi-million dollar settlement for the benefit of the estates.


  • ATCO PRODUCTS, INC.
    Berger Singerman's Business Reorganization Team represented Atco and its affiliates in their Chapter 11 cases in the Northern District of Texas, Fort Worth Division. Atco and its affiliates were engaged in the manufacture and distribution of automotive components and air conditioning systems. The Atco bankruptcy cases facilitated the sale of the companies.


  • AVTEAM, INC.
    Berger Singerman's Business Reorganization Team represented Avteam, Inc. and its affiliates in their Chapter 11 cases. At the time of the filing of the Avteam cases, Avteam was a public company whose shares were traded on the NASDAQ with annual revenues in excess of $170 million. The Avteam companies were engaged in the business of providing jet engine maintenance, repair and overhaul ("MRO") services for airlines throughout the world, as well as selling and brokering aviation parts.


  • BAINBRIDGE SHOPPING CENTER II, LLC
    Berger Singerman represents the company as debtor-in-possession in the case. The company had been “operating” with its rents sequestered by the lender for almost a year before the case was filed and operational control was restored to the company. Berger Singerman negotiated a cash collateral agreement with the lender’s special servicer that permitted the Debtor to begin long stalled tenant improvements These improvements will lead to full occupancy at the shopping center, thereby allowing it to achieve sufficient cash flow to fund a plan of reorganization keeping the property in the original owner’s hands.


  • CDS MANUFACTURING, INC.
    Berger Singerman’s Business Reorganization Team is counsel to CDS Manufacturing, Inc. (“CDS” or the “Debtor” of the “Company”) in connection with its Chapter 11 bankruptcy case pending in the Tallahassee Division of the Bankruptcy Court for the Northern District of Florida. The Debtor is a leading manufacturer of precast and pre-stressed concrete products. Established in 1999, CDS has three casting yards in the Tallahassee, Florida area; the Quincy Casting Yard, housed in a 30,000 square foot facility on 9 acres, the Midway Casting Yard, located on 38 acres and the Gretna Casting Yard, located on 50 acres. CDS maintains its own fleet of tractors and trailers and the drivers are exclusive employees of the company, thus providing customers with timely and dependable service. CDS uses state-of-the-art vapor curing systems, enabling them to cast, strip and deliver orders to the job site within a 72-96 hour time period. Berger Singerman has been negotiating settlements of disputed issues, engaging professionals to conduct appraisals of the Debtor’s equipment and real estate and actively negotiating for a promp and successful emergence from Chapter 11.


  • DM INDUSTRIES, LTD.
    Berger Singerman’s Business Reorganization Team is counsel to DM Industries, Ltd. (“DM” or the “Debtor” of the “Company”) in connection with their chapter 11 bankruptcy case pending in the Miami Division of the Bankruptcy Court for the Southern District of Florida. The Debtor is a leading manufacturer of luxury hydrotherapy products for indoor and outdoor use. The Company produces portable hot tubs, swim spas and luxury whirlpool tubs marketed worldwide under the brand names of Vita Spa, Vita Bath, xStream Pro, and Reflection Spas. The Company sells its products to a network of over 600 distributors and third-party retail outlets and operates seven retail stores; six throughout Florida and one in Ontario, Canada. The Debtor’s headquarters and manufacturing facilities are located in six buildings (with area of approximately 275,000 square feet) in Opa-Locka, Florida. DM owns the headquarters building and leases the remaining buildings from two related entities. DM successfully operated its hydrotherapy business from inception in the 70s through 2007, then with the downturn in the economy, sales of these luxury products to builders and distributors diminished significantly. In 2008, there were cash flow problems with the senior secured lender and forbearance was denied and the existing credit agreement expired. Berger Singerman engaged a CRO to work hand in hand with the secured lender and currently we are working with the Debtor, the bank and the CRO on liquidating surplus inventory of the Debtor’s products and seeking a buyer.


  • FIRST NLC
    Berger Singerman’s Business Reorganization Team is general bankruptcy counsel to First NLC Financial Services (“FNLC”), LLC; NLC, Inc.; and First NLC, Inc. (the “Debtors”) in their Chapter 11 bankruptcy proceedings before the Bankruptcy Court for the Southern District of Florida. FNLC is the wholly-owned subsidiary of Friedman, Billings, Ramsey Group, Inc, a publicly traded real estate investment trust. FNLC and its wholly-owned subsidiaries, NLC, Inc. and First NLC, Inc., originated and sold mortgage loans on homes in several states prior to their bankruptcy filing on January 18, 2008. When the Debtors filed for bankruptcy protection in order to facilitate an orderly wind-down of their business, they had combined secured indebtedness to their senior secured lenders (the “Lenders”) of approximately $75 million. Berger Singerman, along with the Debtors’ Chief Restructuring Officer, Thomas J. Allison of Mesirow Interim Financial Management, LLC, participated in negotiating with the Lenders for the consensual use of their cash collateral which facilitated an orderly wind-down of the Debtors’ business.


  • GEMINI AIR CARGO
    Berger Singerman represents Gemini Air Cargo, Inc. (“Gemini”) and its affiliates in connection with their chapter 11 cases pending in the United States Bankruptcy Court for the Southern District of Florida. Gemini is an air cargo carrier that provides worldwide airport-to-airport service to the air freight community and airline customers, primarily under renewable long-term contracts. With the high cost of fuel plaguing the airline industry, Gemini saw a sharp decline in its revenues resulting from a shift towards more fuel efficient aircraft. Gemini undertook a process to identify and recruit a new debt or equity partner willing to provide the incremental liquidity needed to operate the airline. Following the commencement of the bankruptcy case, Gemini ran a sale process that resulted in Gemini’s lead lender taking title to substantially all of Gemini’s assets and a wind-down of its domestic and international operations.


  • GENCOR INDUSTRIES, INC.
    Berger Singerman's Business Reorganization Team represented Gencor and its affiliates who became debtors in bankruptcy by virtue of the filing of involuntary petitions against them by their secured bank group. At the time of the involuntary filings, Gencor was a public company whose shares were traded on the stock exchange. The bank group that commenced the involuntary cases held approximately $110 million in debt. After protracted litigation relating to the propriety of the involuntary petitions, the Gencor debtors consented to relief under the Bankruptcy Code, and thereafter went on to file a plan of reorganization which paid unsecured creditors a 100 % dividend, a result that was and remains extraordinary. In the Gencor cases, Berger Singerman worked as co-counsel with our friends and colleagues from the firm of Pachulski Stang Young Ziehl & Jones.


  • GULFSTREAM INTERNATIONAL GROUP, INC., GULFSTREAM INTERNATIONAL AIRLINES, INC. AND ITS AFFILIATES
    Berger Singerman represents Gulfstream and its affiliates in their Chapter 11 cases in the Southern District of Florida. Gulfstream Airlines is the 16th largest regional airline group in the U.S. in terms of number of passengers flown, operating 147 scheduled flights per day, serving 19 destinations in Florida, the Bahamas, and operating as Continental Express to 5 codeshare destinations flown out of Cleveland, Ohio.
  • L. LURIA & SONS, INC.
    Berger Singerman's Business Reorganization Team represented Luria's in its Chapter 11 case. At the time of the filing of the case, Luria's was a public company whose shares were traded on the New York Stock Exchange with annual revenues in excess of $250 million. Luria's operated approximately 30 catalog showroom retail locations in multiple states.


  • LAND RESOURCE, LLC
    Berger Singerman’s Business Reorganization Team represented Land Resource, LLC and its thirty-three (33) subsidiaries (collectively, the “Land Resource Debtors”) in connection with their chapter 11 bankruptcy cases in the Orlando Division of the United States Bankruptcy Court for the Middle District of Florida. The Land Resource Debtors developed vacation and second home residential communities in Florida, Georgia, North Carolina, Tennessee and West Virginia. They marketed and sold lots primarily to individual end users and investors. The business of the Land Resource Debtors had been adversely effected by the crisis afflicting the credit markets. In 2007, the Land Resource Debtors had $200 million in sales. Of those, only $87 million were closed as a result of the buyers’ inability to obtain financing. The deterioration in the credit markets created a liquidity crisis for the company resulting in the commencement of the bankruptcy cases. The cases involve over $214,000,000 in liabilities, excluding contingent claims, and involve a number of infrastructure development issues.


  • LEVITT AND SONS, LLC.
    Berger Singerman’s Business Reorganization Team represents Levitt and Sons and 37 of its subsidiaries in their Chapter 11 cases pending in the Bankruptcy Court in the Southern District of Florida. At the time these cases were filed, Levitt and Sons was the largest home-builder bankruptcy case pending in the United States. Total debt in the cases is approximately $800 Million and there are over 23,000 creditors. These cases involve cutting-edge bankruptcy issues involved in home-builder cases, including customer deposits (in this case exceeding $18 Million), mechanic’s lien issues and a host of legal issues involving the rights of home-owners’ associations. These cases are yet another example of the combination of Berger Singerman’s real estate and business reorganization expertise.


  • MEDICAL STAFFING NETWORK HOLDINGS, INC.
    Berger Singerman is lead and sole restructuring counsel for Medical Staffing Network Holdings, Inc., "MSN," and its affiliates. MSN is a publicly traded company and is the largest provider of per diem nurse staffing in the United States. The Company also provides travel nurses and allied health professionals on a temporary basis. The Company employs approximately 4000 nurse and health care professionals and staff and operates out of more than 120 offices in 40 states.


  • MILES PROPERTIES, INC.
    Berger Singerman represents Miles Properties, Inc. and its, affiliated, debtor and non-debtor project level LLC entities, “MPI,” and its debtor affiliates in connection with thirteen (13) jointly administered Chapter 11 cases pending in the Northern District of Georgia, and an out-of-court restructuring and liquidation of approximately 20 remaining non-debtor related entities.


  • NATIONAL PICTURE AND FRAME COMPANY, INC.
    Berger Singerman's Business Reorganization Team represented National Picture. At the time Berger Singerman filed the National Picture Chapter 11 case in Mississippi, National Picture was the second largest picture frame manufacturing company in the United States. National Picture became a victim of foreign manufacturers and increasing pricing pressure from U.S. mass retailers.


  • NEW RIVER DRY DOCK, INC., NEW RIVER SHIPYARD INC., AND NEW RIVER BOAT CLUB, INC. D/B/A NEW RIVER MARINA
    Berger Singerman represents the New River family of corporations (New River Dry Dock, Inc., New River Shipyard Inc., and New River Boat Club, Inc., d/b/a New River Marina) in their separate Chapter 11 cases. Each of the entities owned and/or operated valuable commercial shipyard/drydock/marina facilities servicing mega-yachts (80-160 feet) on the New River in Fort Lauderdale, Florida. Creditors in the Shipyard case received a 100% dividend, and even equity received a substantial return. In the Dry Dock case, the firm managed the sale of a $12,250,000 piece of waterfront property and facilitated a 100% creditor acceptance of the Chapter 11 plan. Marina remains a full service, operating marina servicing vessels up to 110 feet in length. The firm is working closely with management and professional financial consultants to reorganize internally and to repay creditors in full through investments, emergence financing and operational management changes. These cases are representative of Berger Singerman’s outstanding expertise in bankruptcy cases and work-outs that require appellate real estate, land use and environmental law expertise and of the seamless way in which our practice teams work together for our clients.


  • NORCROSS DEBTORS
    Berger Singerman is lead counsel to Realty Financial Partners VI, as managing member and plan sponsor for the Norcross Debtors, in their Chapter 11 reorganization cases pending in the Bankruptcy Court for the Northern District of Georgia. These cases involve the restructuring of approximately $80 million of secured and unsecured debt in connection with the ownership and rehabilitation of four (4) rental apartment complexes (with over 1,200 units) located in Norcross, Gwinett County, Georgia.


  • PALMS OF SEBRING
    Berger Singerman's Business Reorganization Team represented the Palms of Sebring, a multi-level adult congregate living facility, nursing home and acute care facility located in Sebring, Florida. The representation of Palms of Sebring in its Chapter 11 case, and in the course of doing so, utilized the substantial expertise of its health care and administrative law colleagues to confirm a Chapter 11 Plan which resulted in bondholders and creditor recovery of dividends and the uninterrupted delivery of services to the residents of the facility.


  • PHARMED GROUP
    Berger Singerman’s Business Reorganization Team is counsel to Pharmed Group and its related subsidiaries (“PMG”) in their Chapter 11 cases. PMG, founded in 1980 and headquartered in Miami, was the largest independent, minority-owned, full-line distributor of medical, surgical and rehabilitative supplies in the United States. Before bankruptcy, PMG distributed over 25,000 products domestically and internationally. In each of 2003 and 2004, PMG had approximately $600 Million in annual revenues. PMG maintains operations in the United States, Panama, Costa Rica and Brazil. The Chapter 11 cases resulted in the successful sale of one of PMG’s operating subsidiaries and remaining assets. A liquidating plan was confirmed by the Court within one year from the date of the filing of the cases. The total debt of the PMG debtors was approximately $158 Million, held by approximately 1,000 creditors.


  • PICCADILLY CAFETERIAS, INC.
    Berger Singerman served as counsel to the Debtor in Possession, and currently is counsel for the Plan Administrator. In our capacity as Chapter 11 counsel to the company, we helped to facilitate confirmation of a plan after a sale of the company for some $25 Million more than the initial “stalking horse” bid of $54 Million. We are presently defending against a Petition for Certiorari to the United States Supreme Court filed by the State of Florida, Department of Revenue. Our client prevailed in the U. S. Bankruptcy Court, in the U. S. District Court and in the Eleventh Circuit Court of Appeals on the complicated bankruptcy tax issue of whether a sale that occurs prior to the confirmation of a Chapter 11 plan qualifies for a tax exemption under Section 1146 of the Bankruptcy Code. The case is significant, as the Eleventh Circuit ruling arguably diverges from existing law in the Third and Fourth Circuits that denied the exemption with respect to sales that occurred before plan confirmation. The decision affects the payment of taxes in many Chapter 11 cases across the nation.


  • PIPER AIRCRAFT CORPORATION
    Prior to joining Berger Singerman, Paul Singerman was lead bankruptcy counsel to Piper Aircraft Corporation in Piper's Chapter 11 case. The Piper case is amongst the most successful reorganization cases in the United States. In a case of first impression, the Piper case afforded the Eleventh Circuit Court of Appeals the opportunity to meaningful contribute to the jurisprudence of future claims in bankruptcy. Berger Singerman continues to serve as counsel to the Piper Aircraft Corporation Irrevocable Trust.



  • PPOA HOLDING, INC., FORMERLY PROTECTIVE PRODUCTS OF AMERICA, INC. ("PPA")
    Berger Singerman’s Business Reorganization Team is counsel to PPA and four of its subsidiaries as debtors in possession (the “PPA Entities”). PPA was a publicly traded company on the Toronto Stock Exchange. PPA and its subsidiaries engaged in the design, manufacture and marketing of advanced products used to provide ballistic protection for personnel and vehicles in the military and law enforcement markets. The PPA Entities commenced its Chapter 11 cases in order to effectuate a sale of their assets as a going concern. Berger Singerman advanced a process that culminated in the sale of the PPA Entities in less than 60 days to a $6 billion private equity fund. Substantially all of the assets of the PPA Entities were sold on March 5, 2010 to Protective Products Enterprises, Inc., an affiliate of Sun Capital (“PPE”). The purchase price included $10,700,000 in cash, assumption of certain liabilities, and the contribution of $50,000 toward cure amounts. In addition, the PPA Entities will receive 42.858% of income tax refunds in excess of $2 million (with the first $2 million to be paid to PPE).



  • PUIG ENTITIES
    Berger Singerman was counsel to Puig, Inc. and thirteen of its affiliates as debtors in possession (“Puig Entities”). The Puig Entities were amongst the largest condominium converter in the southeast. In May of 2007, the Puig Entities commenced chapter 11 proceedings in the United States Bankruptcy Court for the Southern District of Florida. The case involved over twenty-six (26) separate condominium conversion projects in different stages of development, and approximately $104,000,000 of senior debt, $26,000,000 of mezzanine debt and approximately $115,000,000 of unsecured debt. Through the chapter 11 process, the Puig Entities sold or monetized substantially all of their real estate holdings, the Puig Entities were substantively consolidated and, together with the official committee of unsecured creditors, proposed a liquidating plan of reorganization that provided for, among other things, the prosecution of litigation claims.


  • RENAISSANCE CRUISES, INC.
    Berger Singerman's Business Reorganization Team represented Renaissance Cruises, Inc. and its 7 foreign and domestic affiliates in their Chapter 11 cases. At the time of the filing of the Renaissance cases (shortly after September 11, 2001), Renaissance was the fifth largest cruise line in the world, operating 10 cruise ships in foreign exotic ports throughout the world. Secured ship related debt exceeded $1.2 billion, and the case required the resolution of in excess of $125 million in consumer deposit related debt held by over 70,000 creditors.
  • ROADHOUSE GRILL, INC.
    Berger Singerman's Business Reorganization Team represented Roadhouse Grill, a public company whose shares are traded on the NASDAQ. Roadhouse Grill became a debtor in bankruptcy after one of its landlords filed an involuntary bankruptcy petition against it in January 2002. At the time of the involuntary bankruptcy filing, Roadhouse boasted annual revenues of approximately $170 million, had over 5,200 employees and operated approximately 80 restaurants in 20 states. After litigation relating to the propriety of the filing of the involuntary bankruptcy petition, Roadhouse Grill consented to relief under the Bankruptcy Code, and on the very same day, filed a plan of reorganization that provided for the payment of a 100 % dividend to unsecured creditors. The case was particularly interesting and exciting as a result of the filing of competing plans of reorganization by Roadhouse Grill and the landlord-creditor that filed the involuntary case in the first instance. Ultimately, the plan of reorganization proposed by Roadhouse Grill was confirmed in just over four months from its filing date. In the Roadhouse Grill case, Berger Singerman worked as co-counsel with our friends and colleagues from the Kilpatrick & Stockton firm.
  • ROSE AUTO STORES, INC.
    Berger Singerman's Business Reorganization Team represented Rose Auto, another retail bankruptcy case. At the time of its Chapter 11 filing, Rose Auto operated approximately 30 retail outlets throughout the Southeastern United States engaged in the business of selling automobile spare parts and after market products.


  • SOLOPAK PHARMACEUTICALS, INC.
    Berger Singerman's Business Reorganization Team represented the Solopak companies, engaged in the development and manufacture of generic drugs and a wide range of medical and dental equipment. At the time of the filing of the Solopak cases, the companies had received in excess of $ 200 million in venture capital financing. The Solopak cases required the Berger Singerman Business Reorganization Team to expertise itself in a substantial amount of pharmaceutical and biotech laws and regulations.


  • THE SCO GROUP, INC. AND SCO OPERATIONS, INC.
    The Business Reorganization Team of Berger Singerman represents The SCO Group, Inc. and its wholly-owned subsidiary, SCO Operations, Inc. (collectively “SCO”) in their Chapter 11 reorganization cases pending in the District of Delaware. SCO is a Utah-based technology company and is publicly traded on the NASDAQ under ticker symbol “SCOX”. SCO’s core business focus is to serve the needs of small-to-medium sized businesses and branch offices and franchisees of Fortune 1000 companies, by providing reliable, cost-effective UNIX software technology for distributed, embedded and network-based systems. SCO also provides a full range of pre- and post-sales technical support for all of its products, primarily focusing on OpenServer and UnixWare. Additionally, SCO provides UNIX-based technical support services and consulting services. SCO has been in litigation for four years with Novell, Inc. and with International Business Machines Corporation, among others, with regard to licensing issues for SCO’s proprietary software. Prior to filing, Chapter SCO received an adverse ruling in the litigation with Novell, in which the district court held that much of the UNIX software thought to be owned by SCO is still the property of Novell. This ruling, in conjunction with SCO’s repeated losses, led to the Chapter 11 filing.


  • TOUSA, INC.
    Representing TOUSA, Inc. and approximately 40 debtor and non-debtor affiliates in their currently-pending Chapter 11 cases that will seek to restructure more than $2 billion in debt obligations, including obligations related to bank debt, senior and subordinated public bond debt, and complex land bank option and development contracts. TOUSA is a publicly traded homebuilder with substantial operations in Florida, the Mid-Atlantic, Texas and the West, doing business under trade names including Newmark, Engle Homes and Trophy Homes.

Distressed Litigation

  • MASTEC NORTH AMERICA, INC. (“MASTEC”)
    The Business Reorganization Team is co-counsel to Mastec in connection with the 2008 out-of-court workout, settlement and restructuring with ATLAS Traffic Management Systems, LLC (“ATLAS”), with respect to the 2007 sale of its Intelligent Traffic Division to ATLAS.

Distressed Mergers & Acquisitions

  • THE COMVEST GROUP AND COMVEST INVESTMENT PARTNERS, III, L.P. (“COMVEST”)
    Berger Singerman’s Business Reorganization Team is general counsel and advisors to ComVest in connection with several acquisition and investment opportunities, both in and out-of-court. These representations have included ComVest’s acquisition of assets and businesses of troubled companies under Section 363 of the Bankruptcy Code, plan funding agreements, as well as providing debtor-in-possession financing in connection with such transactions.

Institutional & Secured Creditors

  • ALL AMERICAN SEMICONDUCTORS, INC.
    Berger Singerman’s Business Reorganization Team is co-counsel to Harris Bank, N.A. as the agent for the secured lenders (the “Bank Group”) to All American Semiconductors, Inc.(“AASI”) and its related subsidiaries. AASI, a publically traded company, was engaged in the distribution of electronic components manufactured by third parties and distributed a full range of semiconductors (active components), including transistors, diodes, memory devices, microprocessors, microcontrollers, other integrated circuits, active matrix displays and various board-level products, as well as passive/electromechanical components. When AASI and 33 of its subsidiaries filed Chapter 11 in April 2007, its combined secured indebtedness to the Bank Group was in excess of $41 Million and total debt in the cases is approximately $60 Million. Berger Singerman participated in the negotiation of the Bank Group’s Debtor-in-Possession financing agreement as well as the Bank Group’s credit bid for certain of the debtor’s assets.


  • EMIGRANT BANK
    Berger Singerman's Business Reorganization Team represents Emigrant Bank in its capacity as a mortgagee and secured creditor in commercial workout and foreclosure proceedings, and the interests of the bank in bankruptcy proceedings.
  • TRIVEST PARTNERS AND ONE OF ITS PORTFOLIO COMPANIES, LADY OF AMERICA FRANCHISE CORPORATION
    Lady of America was a creditor in the Chapter 11 Bankruptcy Case of Alex Valladares. Lady of America is a Franchisor of approximately 200 woman’s health clubs and Valladares was one of its largest franchisees. Valladares owed Lady of America several million dollars and as a result of his actions, had threatened to damage the value of the franchise. Berger Singerman assisted in protecting the loss of the franchise interest and arranging the bankruptcy sale of the franchise interests to an investment group that agreed to participate in the franchise system.

  • VICTORY PARK CAPITAL ADVISORS, LLC
    QSGI, Inc. a public company and two of its wholly owned subsidiaries, QSGI-CCSI, Inc. and Qualtech Services, Group engaged in the provision of technology related services and maintenance for both users of enterprise-class hardware and business computing hardware filed Chapter 11 cases in the Southern District of Florida in July, 2009. Victory Park and its related entities were the Senior Secured Creditor Class. Berger Singerman successfully represented Victory Park in connection witha series of matters in the case including Cash Collateral, Debtor in Possession Financing, Relief from Stay and 363 Sale and recovery of collateral issues.

Trustees

  • CMC, INC.
    Berger Singerman's Business Reorganization Team was engaged to represent Kenneth A. Welt in his capacity as Chapter 7 Trustee for the bankruptcy estates of CMC, Inc. and CSC, Inc. pending in the United States Bankruptcy Court for the Southern District of Florida, Fort Lauderdale Division. CMC was engaged in the equipment leasing business, and at the time of its seeking bankruptcy protection had originated in excess of $300 million of lease transactions. CSC, Inc. was an affiliate of CMC and provided lease servicing for the CMC lease portfolio. Shortly after the filing of CMC's bankruptcy case, various creditors sought the dismissal and conversion of the case to a case under Chapter 7. The cases were converted to cases under Chapter 7, and thereafter the investor entities which provided financing for the lease transactions sought to transfer the venue of the CMC and CSC cases to California. The bankruptcy court ultimately transferred venue of the cases to the United States Bankruptcy Court of the Southern District of California, San Diego Division. Prior to the transfer order, Berger Singerman conducted extensive analysis regarding the bankruptcy estates' interest in and structure of the underlying contracts and the issue of whether the transactions were true sale or disguised financing transactions.


  • DUBOIS & SON, LLC
    Berger Singerman represents Deborah Menotte, Chapter 7 Trustee in the case of Dubois & Son, LLC. The Trustee operated the business of the Debtor for approximately 90 days before starting a total liquidation of the business and pursuit of litigation claims and other assets.


  • LANCER PARTNERS, LP
    Berger Singerman represented Gerard A. McHale, Jr., as Liquidating Trustee for Lancer Partners, LP. During the Chapter 11 case of Lancer Partners, LP, Berger Singerman represented the Official Equity Committee in this case as Florida counsel. The creditors included approximately 300 investors who invested monies in funds operated by the Debtor, later found to be “Ponzi schemes.” Although termed an “Equity Committee”, the constituents represented investors who did not exercise their redemptive rights prior to the Petition Date. The case was consolidated for several years with a receivership brought by the Securities and Exchange Commission. A plan was successfully confirmed and the Liquidating Trustee retained Berger Singerman as his General Counsel to represent him post-confirmation of the plan.


  • LORRAINE BROOKE ASSOCIATES, INC.
    Berger Singerman is counsel to Drew Dillworth, in his capacity as the Chapter 7 Trustee for the bankruptcy estate of Lorraine Brooke Associates, Inc. (“LBA”). The LBA case has attracted widespread media attention throughout the world. LBA was formed by the children of O.J. Simpson for the alleged purpose of owning and selling the book rights for the infamous book written by O.J. Simpson entitled “If I Did It” (the “Book”). Upon the filing of the Chapter 7 case, Berger Singerman attorneys undertook an extensive investigation into the facts and circumstances surrounding the underlying publishing contract and the funds that were paid by the publisher. Our firm’s representation initially involved successfully defeating a motion to convert the case to a case under Chapter 11. Thereafter, the Trustee, represented by our firm, reached a settlement with the family of Ronald Goldman, which, at the family’s request, resulted in the publication of the Book. The Book ultimately reached No. 2 on the New York Times Best Seller List. A portion of the revenues from the sale of the Book will be payable to the bankruptcy estate under the settlement. Additionally, Berger Singerman has sued and successfully recovered fraudulent transfers to maximize the recovery for the creditors of the estate. The case has been extremely high-profile with features appearing on various media outlets ranging from CNN to thesmokinggun.com.


  • MAIN STREET USA, INC., PYC DEVELOPMENT ONE, LLC. PYC DEVELOPMENT IV, LLC and MAIN STREET USA MORTGAGE, INC.
    Berger Singerman represents the Chapter 7 Trustee in these real estate related cases. The Trustee is not a panel Trustee, but instead was selected because of his expertise in complex fraud and Ponzi scheme cases. Pre-bankruptcy, the Main Street debtors raised approximately $9 Million of private debt for investments in condominium units converted from apartments in generally low- rent projects. In addition, the Main Street debtors incurred approximately $15 Million in institutional debt. The Trustee determined that the sales practices used by the debtors before bankruptcy were illegal. Accordingly, the Trustee brought and settled lawsuits against various parties involved in this fraudulent enterprise. The former principal of the Main Street debtors was indicted and has pled guilty to federal criminal charges relating to this enterprise. Additionally, the Trustee investigated several potential complex claims, which after thorough analysis and demand resulted in significant settlements without the need for the commencement of litigation.


  • MAXIM ENTERPRISES, INC.
    We represent Kenneth Welt, the Chapter 7 Trustee for Maxim Enterprises, Inc. (“Maxim”) in its Chapter 7 case pending in the Southern District of Florida. Based upon allegations made in certain state court litigation that had been commenced as of the Petition Date, it became apparent that Maxim may have been part of a multi-million dollar Ponzi scheme, including claims of mortgage fraud. At the time, there was only $10,000 (approximately) in the estate and no hard assets. Shortly after Mr. Welt’s appointment, we commenced an adversary proceeding seeking declaratory judgments from the Bankruptcy Court that more than 100 real properties titled in the names of third parties were really property of Maxim, and therefore, part of the bankruptcy estate. Through our efforts, Mr. Welt has obtained final judgments declaring that 59 of those properties are, in fact, property of the Estate. Indeed, an auction sale for 54 of those properties took place on November 1st that resulted in signed contracts totaling $4,576,000 that were approved by the court. The Trustee and Berger Singerman have successfully fought off substantial efforts to get the bankruptcy case and the declaratory judgment lawsuit dismissed. To date, proofs of claim of nearly $100 million have been filed, and we continue to investigate and pursue all avenues of recovery in order to bring assets into the estate to meet the legitimate claims of creditors.


  • PAUL BILZERIAN
    Prior to joining Berger Singerman, Paul Singerman was engaged as special litigation counsel to the bankruptcy trustee for the estate of Paul Bilzerian in the Tampa Division of the Middle District of Florida. Mr. Bilzerian filed a voluntary Chapter 7 bankruptcy case after having been convicted of violation of securities laws and after having substantial fines assessed against him by the United States Securities and Exchange Commission. After substantial litigation with Mr. Bilzerian, the Chapter 7 Trustee reached a favorable settlement with Mr. Bilzerian for the benefit of his unsecured creditors.


  • ROTHSTEIN, ROSENFELDT & ADLER, P.A.
    Berger Singerman is serving as general counsel to Judge Herbert Stettin in his role as Chapter 11 Trustee of the Rothstein, Rosenfeldt & Adler, P.A.'s bankruptcy estate. This is a Chapter 11 case of a 70-lawyer, 150-employee law firm that served as the platform for the largest Ponzi scheme in the history of the State of Florida. According to the United States Federal Bureau of Investigation, this Ponzi scheme involves approximately $1.4 Billion. The Ponzi scheme was orchestrated by Scott Rothstein, the named partner of the law firm. Mr. Rothstein offered “investors” interests in confidential pre-suit settlements he allegedly obtained for clients against large defendants at extraordinary returns-in some instances with interest rates between 200%-600% per annum. When the Ponzi scheme was discovered, it was discovered that in fact there were no settlements-the clients and the defendants and the settlements were all fictitious. Mr. Rothstein and the law firm’s Chief Operating Officer have pled guilty to a variety of Federal crimes. Mr. Rothstein was recently sentenced to 50 years in prison. We have had to wind down the legitimate operations of the law firm, transition hundreds of client files, terminate the firm’s pension plan, and commence and prepare many civil lawsuits against parties involved in the Ponzi scheme, the law firm’s accountants, many of the law firm’s partners and employees and other third parties, including the law firm’s accountants and depository banks. In addition, the case has involved intense and cutting edge litigation with the United States regarding the United States’ forfeiture proceedings involving competing claims of the Government and the Bankruptcy Trustee to the same property. No large bankruptcy case in the United States has involved litigation with the Government as intense as the litigation in this case regarding forfeiture issues.


  • STEPHAN JAY LAWRENCE
    Berger Singerman's Business Reorganization Team has gained national prominence in its prosecution of the Stephan Jay Lawrence case. The Lawrence case consists of a series of landmark decisions which have generally defined the rights and obligations of settlors of offshore asset protection trusts in the bankruptcy venue. In particular, in the Lawrence case, the firm successfully advanced the proposition that the failure of a debtor to turnover the assets of an offshore asset protection trust can serve as the basis for a contempt citation and incarceration. In this case, the debtor has been incarcerated since September 2000 for his refusal to repatriate over $7.0 million settled in an offshore trust established in the Republic of Mauritius. The impact of the Lawrence decisions is not limited to offshore asset protection trusts, but provides the basis for bankruptcy trustees to compel debtors of all types to meet their obligation under the Bankruptcy Code and to turnover estate property.


  • USA LABS, INC.
    Berger Singerman has represented Barry Mukamal, the Chapter 11 Trustee in the USA Labs, Inc. and Cosmyl, Inc., bankruptcy cases pending in the Southern District of Florida. During the case, the Trustee prosecuted a complex and hotly contested collusive bidding action that resulted in settlements and/or agreed judgments against all defendants. At a court supervised auction conducted in August, 2005, the debtors' assets were sold for $6.5 Million. Berger Singerman, on behalf of the Trustee, filed a lawsuit in the Bankruptcy Court against two bidders, the principal of the losing bidder, and the law firm that had represented the winning bidder before and at the auction, after the firm discovered the existence of two previously undisclosed bidding agreements between the two bidders.

    The lawsuit brought by Berger Singerman sought avoidance of the sale and/or recovery of "damages" under Bankruptcy Code section 363(n), and damages against the law firm for fraudulent concealment. The issues facing the Trustee and his counsel were numerous, primarily because there were few published decisions addressing section 363(n), and virtually none discussing the appropriate standard of how damages are to be measured. After defeating motions to dismiss and for summary judgment Messrs. Eaton and Shawde were successful in negotiating a settlement with the winning bidder and the law firm that had represented it. Thereafter, the trial proceeded against the losing bidder and its principal.

    After four days of trial, the denial of the defendants' motion for judgment on partial findings, and the striking of virtually all of the defendants' affirmative defenses, we negotiated a settlement that was approved by the Bankruptcy Court. The settlements resulted in the payment of $2.3 Million to the debtors' estates and an agreed judgment in the amount of $450,000. Our efforts with the Trustee paved the way for a Chapter 11 Plan, which was confirmed by the Bankruptcy Court on December 11, 2008.

  • WORLDWIDE WEB SYSTEMS, INC.
    Berger Singerman's Business Reorganization Team represented James S. Feltman as the Chapter 11 Trustee of the estate of Worldwide Web Systems, Inc., a telecommunications fraud case. When our firm began our representation of Mr. Feltman, there were no unencumbered assets or cash in the estate and claims in excess of $56,000,000. As a result of Berger Singerman's efforts in connection with the Trustee and the Official Committee of Unsecured Creditors, a Plan was confirmed that will result in a distribution to the majority of unsecured creditors in the approximate amount of $.70 on the dollar.