Commercial Bankruptcy, Restructuring and Creditors’ Rights

The lines that used to define traditional bankruptcy and creditors’ rights issues have become increasingly blurred and complex. 

• Companies that once restricted themselves to the manufacture and delivery of products and services find themselves creditors to many of their best customers who have sought bankruptcy relief.
• Businesses, investors and financial institutions of all types and in every industry are being squeezed by lower profits and restricted growth while carrying higher debt loads.
• Bankruptcy cases are involving many of the nation’s largest companies and financial institutions, creating restructuring and liquidation issues that cross multiple jurisdictions and borders.
• These bankruptcies also present opportunities for creative uses by financiers and by asset or business acquirers.

What remains clear is that creditors, debtors and other interested parties now need legal representation with the right combination of experience, perspective, national scope and resources — delivered with a straightforward approach to solve problems and take advantage of available opportunities.

The Commercial Bankruptcy, Restructuring and Creditors’ Rights Practice Group at Quarles & Brady LLP has this combination of professional attributes. We are committed to the highest standards of professional excellence in helping clients pursue meaningful and practical solutions to fiscal problems.

Experience and Perspective
Our Commercial Bankruptcy, Restructuring and Creditors’ Rights practice has been an integral part of Quarles & Brady for many years. As the Firm has grown, so has our representation of lenders, debtors, and other major constituencies through the addition of experienced, knowledgeable attorneys from around the country. Our national practice group of more than 25 attorneys has represented clients in matters involving nearly every industry and literally every kind of workout, restructuring, reorganization and liquidation proceeding.

Our clients include secured and unsecured creditors, debtors, lessors, bondholders, equity interests, committees representing creditors or equity holders, trustees, examiners, post-petition financiers and prospective acquirers of businesses or assets. We have represented, and continue to represent, clients in cases including airlines, equipment leasing and finance, gaming, healthcare, hotels and hospitality, manufacturing, real estate, retail, intellectual property, transportation, utilities and nearly every other sector of the economy. We also have significant experience in rare, but extremely important, Chapter 9 municipal reorganizations. Notable recent reorganizations have included religious and non-profit organizations which have needed to resolve large and difficult to quantify damage exposure from very sensitive litigation.

Over the years, many of our attorneys have developed specific experience with various businesses and industries. By applying lessons learned in the past to existing matters, we can significantly reduce the ramp-up time often required by other firms. In another departure from many firms’ traditional bankruptcy representation, our attorneys also have significant experience as litigators. Rather than handing off the courtroom aspects of cases, we are able to handle every aspect of a case, including most litigation disputes, from start to finish, including trials and appeals. 

Our commitment to helping industries address bankruptcy-related issues extends beyond our services to current clients.  We have developed and presented bankruptcy-related programs on behalf of the National Institute for Trial Advocacy (“NITA”). Several of our partners founded the first NITA bankruptcy litigation program in the early 1990s.

National Reputation, National Resources
Across the country, Quarles & Brady has become known as a firm of choice for lenders, borrowers and others involved in bankruptcy proceedings. We are proud of this reputation; more importantly, we are proud of the client relationships and service levels that are the source of this reputation. 

From our offices in Arizona, Florida, Illinois and Wisconsin, our attorneys provide clients with the focused, personal services they’ve come to value and expect, backed by the exceptional resources and efficiencies of a large firm. We understand that effective representation requires attention to detail, combined with the ability to act immediately when opportunities present themselves.

We have represented clients in nearly every major jurisdiction across the country, and our attorneys are admitted to practice in states from coast to coast. Our ability to represent clients at the national level is an important asset, as consolidation, globalization and technology improvements enable businesses to manage far-flung operations effectively.

Straightforward Client Partnership
Although we offer our clients all of the experience and resources of a large firm, we approach each matter with individual attention and commitment to service.

We believe in straight talk — when multiple jurisdictions are involved and complex issues arise, the last thing clients need is for their attorneys to rely on legal jargon or gloss over the facts. We treat our clients with respect and a sense of partnership, understanding that their unique industry and business knowledge is complemented by our knowledge of the law, and not subservient to it. Our objective at all times is to explore all relevant options, explain these alternatives in clear terms, and assist our clients with the implementation of effective solutions.

As bankruptcy cases become increasingly complex, we work with our clients to develop creative solutions and alternatives to traditional reorganization or liquidation options. For example, we often represent lenders who provide debtor-in-possession financing and we understand the intricacies, pitfalls and opportunities that lie within these financial arrangements. 

Client Services

• Representation of clients involved in all aspects of small- and large-scale bankruptcies, restructurings and workouts.
• Representation of third-party clients in acquisitions of businesses and assets.
• Bankruptcy litigation on behalf of creditors, debtors, trustees, committees and others, involving issues such as preferences, breach of duty, fraudulent transfer, claims against insiders and filing of involuntary bankruptcy petitions.
• Representation of bondholders and indenture trustees in matters involving bond defaults and troubled securitizations.
• Negotiation and drafting of Chapter 11 plans.
• Representation of, and service on, creditor and creditor group committees.
• Resolution of disputes involving leased property and real estate.
• Municipal reorganizations.
• Non-profit organizations’ reorganizations.

As businesses seek to divest or liquidate assets or parts of their enterprise or seek strategic mergers or acquisitions, we often represent acquirers, helping negotiate terms that enable both parties to meet long-term objectives. Our acquirer clients sometimes become plan proponents in a reorganization case, especially if they have paved the way as post-petition lenders.

As our long history of successfully representing our clients demonstrates, the Commercial Bankruptcy, Restructuring and Creditors’ Rights Group at Quarles & Brady is committed to providing the highest level of legal counsel, wherever and whenever they are required by our clients. As leaders in the field, we know that our reputation is solely based on the quality of our work and our commitment to our clients — and we take both very seriously.

It is now more important than ever for businesses, institutions and organizations to see clearly through the maze of bankruptcy and creditors’ rights issues.

For more information on how Quarles & Brady can help you create long-term success, please contact John A. Harris at (602) 229-5406 / or your local Quarles & Brady attorney.