Business Reorganization / Bankruptcy Law

Informal Debt Restructuring

Bankruptcy is not always the first or best option for debt restructuring. The Firm provides consultation and advice in restructuring debts and reorganizing assets outside of formal bankruptcy proceedings. The Firm's expertise in the bankruptcy setting has proven invaluable in enabling the Firm to obtain consensual workouts with creditors without the difficulty and expense of a bankruptcy proceeding. Institutional lenders often perceive consensual workouts as preferable to a formal bankruptcy and the Firm has found informal reorganization to be successful in given cases.

Bankruptcy Representation

Sometimes formal bankruptcy is unavoidable or preferable. The Firm represents debtors, creditors, creditors' committees, third parties (including purchasers and funders), and trustees in connection with Chapter 7 (liquidation) and Chapter 11 (liquidation or reorganization) cases throughout Texas and across the country. Members of the Firm have served as examiners, receivers, trustees, escrow agents, and liquidating agents in bankruptcy cases. The Firm has handled both small and large cases in all areas of business, including real estate, oil and gas, manufacturing, retail, wholesale, construction, technology, telecommunication, healthcare and transportation.

Related Areas of Representation

Many different types of matters are likely to arise in a bankruptcy case: use of cash collateral; debtor-in-possession financing; sales of assets; relief from the automatic stay; assumption and rejection of contracts; preference and fraudulent transfer litigation; termination of retirement plans; approval of retention bonus plans; and disclosure statement and plan confirmation proceedings. The Firm has substantial experience in handling all of these matters which generally arise in bankruptcy proceedings of all sizes. In addition, a bankruptcy proceedings often involve matters outside the exclusive province of bankruptcy, such as: oil and gas, real estate, corporate matters, transactions, regulatory matters, estate planning, tax, and litigation. The Firm has the expertise to represent the client in any of these matters, and virtually all other matters which may arise in the course of the bankruptcy proceeding.

Representative Cases

The firm's experience in the corporate restructuring/bankruptcy area is perhaps best demonstrated by the following selected examples of its' representation of clients in connection with bankruptcy proceedings.

Chapter 11 Debtor Representations

Aerospace Industrial and Manufacturing, Inc., a specialty machine shop for complex parts for military and commercial aircraft in the successful third party acquisition of entity and continuance of operations.
Alford Refrigerated Warehouses, Inc., a public company in the cold storage business, in its successful confirmation of its plan of reorganization and partial liquidation.
American HomePatient, Inc., a public company in the home healthcare business, along with its 24 affiliated entities, in its successful reorganization through confirmation of a plan of reorganization
Buckingham Development Venture, a real estate venture that owned the entire town of Buckingham, Texas located in the Dallas/Fort Worth metroplex, in its successful reorganization efforts through confirmation of a plan of reorganization.
Craig Hall, one of the largest real estate syndicators in the country, and over 25 affiliated real estate partnerships in their successful reorganization through confirmation of a plan of reorganization and funding of a settlement with the RTC and FDIC involving payment of over $100 million.
Dallas Tailor and Laundry Supply Co., a distributor of laundry and dry cleaning supplies, in its successful reorganization through confirmation of a plan of reorganization.
Dilling, Harris and Ginsan, Inc., a manufacturer and distributor of self service car wash components in its successful sale of its business through a confirmed plan of liquidation.
Delta Drilling Company, one of the largest land oil and gas drilling companies in the world, in its successful reorganization through confirmation of a plan of reorganization funded by Gordon Getty.
EarthCare Company, a public company in the waste management business, in its Chapter 11 proceedings including the successful consummation of the sale of its two operating divisions.
G-M Co-Op Warehouse, Inc., a co-op owned distribution facility, in its successful reorganization efforts through the confirmation of a plan of reorganization.
HSC Hospitality, Inc., an in-hotel restaurant chain operating facilities in 5 states, in its successful reorganization efforts through the confirmation of a plan of reorganization.
Imaging Specialists Group, et al, sibling companies in the medical imaging industry in their successful 363 sale as a going concern.
INVA #1, an owner of development property in North Dallas in its successful reorganization through confirmation of its plan
John K. Pearcy, a major shopping center developer, in his successful reorganization along with approximately 20 real estate partnerships through confirmation of a plan of reorganization.
John Sullivan, a major real estate developer, in his successful reorganization through confirmation of a plan of reorganization.
JVille Homes, Inc., a mobile home manufacturer, in its successful reorganization through confirmation of a plan of reorganization.
Krestmark Industries, Inc., a subsidiary of Michigan General, in its successful reorganization through confirmation of a plan of reorganization.
KTBB Radio, Inc., KTYL Radio, Inc. and 97.5 Radio, Inc., a group of radio stations, in their successful reorganization through confirmation of a plan of reorganization.
Lamar Hunt Trust Estate, one of the three Hunt brothers trusts that filed Chapter 11 proceedings to deal with billions of dollars in debt, in its successful reorganization through confirmation of a plan of reorganization.
Marketing Specialists Corporation, a public company and one of the nations largest food brokerage firms, in its reorganization through confirmation of a plan of liquidation based on the companys determination to exit the business.
MSU Devices, Inc., a public company involved in delivery of WindowsCE technology related services, its successful reorganization through confirmation of its plan.
Myre Construction Company, a large road building and dam construction company, in its successful reorganization along with its sole shareholder through confirmation of a plan of reorganization.
Nu-kote International, Inc., an independent manufacturer and distributor of imaging supplies, in its successful reorganization along with its affiliate companies through confirmation of a plan of reorganization.
Privacy, Inc, a provider of privacy management software, in its chapter 11 proceedings.
Professional Investors Insurance Group, Inc., an insurance holding company with multiple subsidiaries, in its successful reorganization through confirmation of a plan.
RB Daniels, Inc. d/b/a RB Furniture, a furniture retailer, in its confirmation of a plan of liquidation.
Renaissance Radio, Inc., an owner of two AM frequencies in the DFW market, in its successful reorganization through confirmation of a 100% payment plan.
S&R Sand and Gravel Inc., an operator of a pit sand and gravel mining company, in its successful reorganization through confirmation of a plan.
Stevens International, Inc., a public company that designs, manufactures, markets and services web-fed packaging and printing systems and related equipment, in its Chapter 11 proceedings.
Turner Mechanical and Insulation, Inc., a minority subcontractor which performs mechanical and insulation subcontracting for primarily public projects, in its successful reorganization through confirmation of a plan.
TX.C.C., Inc, d/b/a Texas Land and Cattle Company, a chain of steak house restaurants located in four states, in its successful sale to lonestar steak and saloon, Inc. through confirmation of plan of reorganisation.
Tyler Jet, LLC, the worlds largest reseller of business jets, in its Chapter 11 proceedings.
Sina, Inc., a oil and gas investment entity, in its successful reorganization through confirmation of a plan of reorganization.
Vanguard Rubber Technologies, Inc., in its Chapter 11 proceedings.
Zane Publishing, Inc., a direct marketing seller of CD-Rom based home education materials in its successful reorganization through confirmation of a plan.

Chapter 11 Committee Representations

Accident & Injury Pain Centers, Inc., a multi entity, multi location, group of pain management and chiropractic clinics representing the official unsecured creditors in connection with a committee sponsored and structured plan of reorganization, with a creditors trust, slated to pay creditors 100% of their allowed claims.
Chief Freight Lines, Inc., a trucking company, in the representation of the Unsecured Creditors' Committee.
C-Power Products, Inc., a multi-product manufacturer including power suppliers and exercise equipment, in the representation of the Unsecured Creditors' Committee in connection with the successful confirmation of a plan of reorganization proposed by the committee and a third party purchaser.
McNeil Limited Partnership Fund XXIII, in the representation of the Equity Security Holders Committee.
Monterrey Petroleum, in the representation of the Unsecured Creditors' Committee.
Spring Creek Investments of Dallas, N.V., Inc., a real estate investment venture, in the representation of the Unsecured Creditors' Committee that was comprised of representatives of approximately 400 Belgian investors.
SPW Corporation, a mechanical construction company, in the representation of the Unsecured Creditors' Committee in connection with successful confirmation of a plan of reorganization that resulted in an approximately 80% dividend to creditors.
T. E. Mercer Trucking Company, a trucking company, in the representation of the Unsecured Creditors' Committee.
Tri-Star Corporation, a developer, manufacturer, marketer and distributer of value oriented designer fragrances, in representation of Unsecured Creditors' Committee in connection with the the sale of the assets and the confirmation of a plan of reorganization together with the Debtor.

Chapter 11 Creditor Representations

Co-Serv Electric, Inc., a regional electric co-op, in representation of an unsecured creditor.
County Seat, Inc., a retail clothing store chain, in representation of various former members of managment in connection with their employment contracts.
Creative Design International, in representation of a major creditor and the designated litigation representative.
Eastern Freight Company, a trucking company, in representation of one of the largest unsecured creditors.
Federated Department Stores, a large department store chain, in representation of a creditor.
Hechinger Investments Company of Delaware, Inc., in representation of a major creditor in preference litigation.
Kmart Corporation, a large department store chain, in representation of various landlord interests.
National Gypsum, Inc., a public company, in representation of various claimants.
McLean Trucking Company, a trucking company, in representation of one of the largest unsecured creditors.
MJ Designs, L.P., an arts and crafts retail chain, in representation of a landlord in connection with both Chapter 11 filings.
Mirant Corporation, a multi-billion dollar power supply and trading company, in representation of class action bond sellers regarding debt securities in multi-tiered case.
Montgomery Wards, a large department store chain, in representation of consignment vendor, defending a substantial preference defendant and organizing a industry joint defense group.
Overland Park Merchandise Mart Limited Partnership, a real estate partnership, in representation of the largest secured creditor and confirmation of a competing plan of reorganization.
PSA, Inc., a multi-state coin operated telephone company, in representation of large group of investors regarding plan negotiations and acquisition agreements.
Quality Beverage Company, Inc., a large liquor distributor, in representation of a number of California wineries in preference litigation.
Teraforce Technology Corporation, a two entity case involving a telecommunications and computing firm and a maker and patent holder as to embedded, harden chip sets representing an individual lender in concert with the official unsecured creditors committee in terminating the debtors' exclusivity, proposing an alternate plan and ultimately settling all of the client's disputes with the Debtor and its principal secured lenders through the confirmation of a consensual plan.
Voluntary Purchasing Groups, Inc., a farmers cooperative, in representation of a major unsecured creditor.
Wallace Bookstores, Inc., retail bookstores, in representation of a major creditor in preference litigation.
Wilson Freight Company, a trucking company, in representation of a major unsecured creditor.
Winstar Communications, Inc., a large multi-state communication company, in representation of site lessors.
Zale Corporation, a jewelry company, in representation of a number of consignment vendor.

Chapter 11 Equity Owner Representations

e-2 Communications, Inc., a company in the email marketing and communications business, in representation of a shareholder group in connection with confirmation of a plan of reorganization.
Film Dallas, a motion picture investment company, in representation of the Subordinated Debenture Holders.
Lodges Investors, L.P., an apartment complex in representation of preferred equity holder in connection with the confirmation of a plan in competition with another creditor.
Placid Oil Company, an oil and gas company, in representation of working interest owners.
Reserve Production, Inc., an oil and gas company, in representation of working interests defense group.
Search Financial Services, Inc., a sub-prime automobile finance company, in representation of the largest creditor in connection with the confirmation of a competing plan of reorganization.

Chapter 11 Third-Party Acquisition Representations

Bridge Span, Inc., a company engaged in the business of software development to provide an automated system for real estate closings, in representation of a third-party which successfully the business through confirmation of a plan of reorganization.
Coho Energy, an oil and gas exploration and operating company, in representation of a third party interested in acquiring the debtors' assets by means of a competing plan.
DP Partners Limited Partnership, a real estate partnership, in representation of a third party interested in acquiring the debtor's assets by means of a competing plan. This case resulted in a 5th Circuit opinion in favor of the client on substantial contribution claims.
EQK Realty Investors I a/k/a Harrisburg East Mall, a regional shopping mall, in representation of a rejected pre-petition merger partner, where the merger partner acquired the remaining assets of the debtor under a plan, injected new properties into the debtor entity and was able to preserve net operating losses for going forward operations.
Express One International, Inc., an airfreight company, in representation of a creditor interested in acquiring the debtor's assets by means of a competing plan.
National Airlines, Inc., a regional airline, in representation of a party, who acquired claims, in order to acquire the debtor by means of a competing plan.

Chapter 11 Plan Reverse Merger Representations

Ballantrae Healthcare, LLC., in representation of a third party plan participant to create post confirmation merger vehicles for the benefit of unsecured creditors and client.
Hospitality Companies, Inc., in representation of a third party plan participant to create post confirmation merger vehicles for the benefit of unsecured creditors and client.
Optical Corporation of America and Benson Eye Care, in representation of a third party plan participant to create post confirmation merger vehicles for the benefit of unsecured creditors and client.
Reddi Brake and Supply, Inc., in representation of a third party plan participant to create post confirmation merger vehicles for the benefit of unsecured creditors and client.
Rose Auto Stores, Inc., in representation of a third party plan participant to create post confirmation merger vehicles for the benefit of unsecured creditors and client.
Senior Management Services of America, et al, in representation of a third party plan participant to create post confirmation merger vehicles for the benefit of unsecured creditors and client.
Super Shops, Inc.,in representation of a third party plan participant to create post confirmation merger vehicles for the benefit of unsecured creditors and client.
The Excelex Corporation, in representation of a third party plan participant to create post confirmation merger vehicles for the benefit of unsecured creditors and client.
Water Point Systems, Inc., in representation of a third party plan participant to create post confirmation merger vehicles for the benefit of unsecured creditors and client

Chapter 11 Examiner Roles

Interlink Home Health Care Inc., a multi-state home health care delivery company with 26 offices in three states, in the role of Chapter 11 examiner.

Expert Witness Roles

Dal-Tile Corporation, as expert witness for a major lender.
Roger Lawler, as expert witness for former counsel.

Informal Workout Represntations

San Lorenzo Nursery Company, a large local floral and decorating company, in representation of the company in its informal workout with its creditors.
The Firm has represented many other companies in connection with their successful informal workouts with their creditors which due to the fact that such workouts were informal and not public can not be listed.

Trustee Representations

Majestic Consulting, L.C., a salt water disposal well service company, in the representation of the Chapter 7 trustee.
Noble Petroleum, Inc., an oil and gas company, in the representation of the trustee.
Omnistaff, Inc., a staff leasing company, in the representation of the Chapter 11 and Chapter 7 trustee.
Petroleum Energy Equipment Corporation, an oil and gas equipment company, in the representation of the Chapter 11 trustee.
T. Cullen Davis, an entrepreneur, in the representation of the Chapter 11 trustee in the confirmation of a liquidating plan of reorganization.

Chapter 11 Trustee Roles

Braswell Motor Freight Lines, Inc., a trucking company, in the capacity of operating trustee.
Hampstead Properties, L.P., a real estate partnership, in the capacity of Chapter 11 Trustee.
Network Staffing Services, Inc., an information technology staffing company, in the capacity of Chapter 11 Trustee which involved the sale of substantially all assets to a management led acquisition company.
Shawn K. Brown, one of the Firm's members, serves as a chapter 11 trustee, and is a chapter 7 private panel trustee in the Fort Worth Division of the Northern Federal District of Texas including acting as chapter 7 trustee for a number of subsidiaries of Promedco Management Company, Inc. The Firm has represented Mr. Brown in numerous engagements, ranging from sales of assets, transfer recovery litigation, asset recovery and collection litigation.