The Business Finance & Restructuring Group at Bilzin Sumberg brings together diverse backgrounds in accounting, finance and banking, to assist clients with financial restructurings and insolvency proceedings throughout the United States. As highly skilled negotiators and litigators, our Business Finance & Restructuring attorneys are able to assist clients with the full gamut of bankruptcy-related matters such as debtor-in-possession financing, the appointment and removal of trustees, creditor committee governance, claims administration, avoidance litigation, competing plans of reorganization, and contested confirmation hearings and Section 363 sales.
Recognized as top restructuring professionals, our attorneys keep their finger on the pulse of this complex area of law and regularly contribute their insight to Bilzin Sumberg's Finance & Restructuring blog, an indispensable resource for financial professionals and their advisors.
Chapter 11 debtor-developer of high-rise condominium project
Represented the debtor in possession in the chapter 11 case of Cabi Downtown LLC, the owner of an 849-unit condominium project, which had debts in excess of $250 million owed to a bank consortium, defaulting unit purchasers, trade creditors and its general contractor. Case was the first large condominium filing in South Florida after the 2005-2007 real estate boom. Debtor’s plan was confirmed in December 2010.
Investment funds in Rothstein Ponzi scheme
Serve as counsel to three investment funds that lent hundreds of millions of dollars to entities known as "Banyon entities" which, in turn, used those proceeds to acquire structured settlements from Rothstein Rosenfeldt Adler P.A. ("RRA"). Those loans were guaranteed by the principals of the Banyon entities. Unbeknownst to the funds, those settlements were actually part of the billion dollar Ponzi scheme perpetrated by Scott Rothstein, the founder of RRA. As a result of the default on the loans by the Banyon entities, the principals' guarantees became due. After failing to pay on the guaranty, we commenced involuntary chapter 7 bankruptcy proceedings in the Southern District of Florida against George and Gayla Sue Levin, the Banyon principals, asserting claims on behalf of our clients in excess of $150 million. In addition, in December 2010, our clients were sued for approximately $420 million in a "clawback" lawsuit filed by the RRA Trustee. We actively defended that lawsuit on behalf of our clients and were instrumental in helping them achieve a settlement with the RRA Trustee that results in them paying less than 10% of the amount sought in the lawsuit filed against them by the RRA Trustee. We also were successful in reaching an agreement with George Levin to consent to entry into bankruptcy and for a $200 million judgment against Gayla Sue Levin.