Reorganization & Bankruptcy

Gray Plant Mooty’s Reorganization & Bankruptcy Team provides sophisticated, cost-effective counsel in business bankruptcy cases, restructurings, and workouts throughout the United States.

We serve a wide range of clients affected by bankruptcy and insolvency issues as creditors, including:

  • Secured lenders
  • Banks
  • Franchisors
  • Indenture trustees
  • Trade vendors and other unsecured creditors
  • Real estate lenders and lessors
  • Equipment financiers/lessors
  • Agricultural enterprises and lenders
  • Creditors’ committees
  • Insurance companies
  • Student loan guarantors

Our team frequently represents clients purchasing businesses and assets from bankrupt or insolvent companies.

We often represent creditors in the defense of preference, fraudulent transfers and other “avoiding power” actions, and in the prosecution of nondischargeability actions.

Our attorneys represent trustees and receivers, and have served as trustees in Chapter 11 and Chapter 7 cases.

Locally Based, Nationally Connected

As a practice with national presence, we have the knowledge and savvy to appear comfortably in any bankruptcy court your matter requires. At the same time, our familiarity with local courts and practice issues is particularly advantageous for clients in our home state of Minnesota.

Representative Clients

  • Carlson Hotels Worldwide, Inc.
  • Lakes Entertainment, Inc.
  • Ziegler, Inc.

Experience

Representative Matters

  • Represented a lender in providing debtor in possession financing to a group of companies in Delaware Chapter 11 cases. Our client then acquired substantially all of its collateral by credit bidding at an auction of the collateral.
     
  • Represented a strategic buyer in its acquisition of a business as a going concern at an auction in a Delaware Chapter 11 case.
     
  • Represented an indenture trustee in connection with three North Carolina assisted living projects whose bonds were in default. We assisted the trustee in creating a strategy to market the facilities and generate competitive bidding at auctions.
     
  • Represented a court-appointed receiver for nine entities whose investment programs defrauded investors and other creditors of more than $60 million. We assisted the receiver in liquidating assets and distributing proceeds. We commenced fraudulent transfer and other litigation on behalf of the receiver in three states.
     
  • Represented a quick service restaurant franchisor in the Chapter 11 case of a multi-unit franchisee, including the sale of its units.
     
  • Represented numerous preference defendants in jurisdictions throughout the U.S. Cases have ranged from small amounts in disputes to multi-million dollar actions. All cases have been either successfully settled or dismissed.
     
  • Represented creditors’ committees in various Chapter 11 bankruptcies filed in Minnesota. We assisted our clients in either negotiating favorable terms for unsecured creditors or in converting the case when reorganization was not in the best interest of the unsecured creditors.
     
  • Represented a bank in a Chapter 11 case regarding a hotel property, including negotiation of agreements for use of cash collateral and a plan of reorganization.
     
  • Represented a hotel franchisor in a Chapter 11 case of a franchise with several hotels and helped recover all post-petition debts, a satisfactory return on unsecured debt, and new arrangements with purchasers.
     
  • Represented a secured supplier of equipment to a major steel producer in a Chapter 11 bankruptcy. We asserted untested lien rights and a potentially flawed secured position, yet successfully negotiated a near total recovery.
     
  • Represented a major automobile dealer in the purchase of a financially distressed auto dealership through a foreclosure sale under Article 9 of the U.C.C.