Workouts & Out of Court Restructuring/Bankruptcy Alternatives

Overview

In today’s economy, loan restructurings and workouts have become an integral, and often necessary, part of doing business. These situations can develop into multilayered transactions that require careful review of documentation and consideration of relevant legislation and regulations. Our bankruptcy and restructuring attorneys provide the business sophistication and client attention needed to help identify the various options aligned with a client’s strategic goals.

We represent lenders, creditors, investors, and others in a broad range of restructuring, reorganization, and workout matters. We maximize successful outcomes for our clients by taking a pragmatic approach, combining practical experience with creative strategies that address the nuances of each transaction. We’ll provide a risk assessment, advice on alternatives, and the optimal restructuring to complete the transaction. Given the cost and time required for Chapter 11, out-of-court solutions can often be the preferred solution. 

If issues cannot be resolved by negotiation and litigation becomes necessary, we draw upon our commercial litigators who are adept at handling disputes in state and federal court, including federal bankruptcy court. We take an interdisciplinary approach which allows us to leverage the full resources and insights of complementary service areas across our firm. 

Our restructuring attorneys have handled high-profile insolvency cases in a wide variety of industries, including energy, technology, manufacturing, financial services, agri-business and foodservice, insurance, retail, consumer products, healthcare, life sciences, telecommunications, aircraft and airlines, transportation, and real estate. 

We handle matters throughout the United States, and are nationally recognized for our practices in New York, Wilmington, and Philadelphia.

How We Can Help

  • contested foreclosures
  • borrower bankruptcies
  • assumption, assignment, and rejection of real property leases in bankruptcy proceedings
  • bankruptcy asset sales
  • loan restructurings, including conversion of debt to equity and participating loans
  • forbearance agreements
  • discounted pay-off agreements
  • sale and purchase of distressed debt
  • extensions of time for a debtor-in-possession or trustee
  • appointments of receivers
  • Chapter 11 and 7 proceedings

What Sets Us Apart 

  • Chambers USA notes we have a “stellar bankruptcy and restructuring team handling the full range of issues including Chapter 11 and Chapter 15 matters, as well as related bankruptcy litigation. Maintains a specialty practice advising maritime and transportation clients, and possesses significant knowledge of complex financing transactions.”
  • 2014–2017 Chambers USA recognized the Firm for Bankruptcy/Restructuring both nationally and regionally in Delaware and Pennsylvania.
  • Our bankruptcy practice ranked at the top of The American Lawyer’s Corporate Scoreboard in 2011.
  • Four of the team’s attorneys are fellows of the prestigious American College of Bankruptcy. One partner served as Third Circuit regent of the American College of Bankruptcy and another partner served as chairman of the American College of Bankruptcy Foundation and is a past chair of the American College of Bankruptcy.
  • Many members of the group write and lecture extensively on issues involving corporate restructuring and bankruptcy.

Experience

  • Counsel to secured lender to a manufacturing company in an attempted workout and subsequent Chapter 11 case. After litigating with an unsecured creditors committee on adequate protection, cash collateral, entitlement to interest, and related issues, the secured lender was paid in full on principal, default interest, and counsel fees.
  • Hussey Copper - Counsel to agent and bank group of largest US copper producer in its workout and then Chapter 11 filing and sale of substantially all of its assets.
  • Saxony Health Center - Counsel to bondholders in pre-bankruptcy restructuring of an extended-stay nursing care facility.
  • Southern States Cooperative - Counsel to agent for bank group for consensual restructuring of $1.3 billion agricultural cooperative, reducing balance sheet liabilities by $500 million.
  • GSI Gulfstream - Counsel to member of syndicated bank in out-of-court restructuring of term and revolving loans secured by E&P services equipment.
  • Peregrine - Counsel to agent in efforts to complete out-of-court restructuring of $189 million syndicated loan to owner of deep water drill ship prior to bankruptcy filing.
  • Delba - Counsel to lead lender in out-of-court restructuring of $488 million syndicated loan to finance construction and delivery of semi-submersible offshore mobile drill ship.
  • Icicle Seafoods - Counsel to member of syndicated bank group in out-of-court restructuring of revolving loan secured by fisheries assets and vessel mortgages.
  • Argo Turboserve and Argo Tech - Counsel to agent and lender in connection with debt restructuring for a supply chain management service company and the restructuring/increase of existing term loan debt for a manufacturer and distributor of aviation products. 
  • Arthur Andersen - Counsel to partner committee in out of court liquidation of Big 5 accounting and consulting firm.