Our Corporate Restructuring Group provides a full range of services to clients who depend upon us to maximize value through creative and cost-effective solutions to financial challenges. We know our clients’ business and the steps necessary to achieve their restructuring goals. We offer a fully-integrated approach to commercial workouts, refinancings, bankruptcy proceedings, and other out-of-court debt restructurings.
The team is comprised of established industry leaders, who are always engaged in the largest restructuring cases currently pending. We pride ourselves on keeping abreast of industry developments, continuously on the lookout for opportunities and solutions for our clients. Internally, we are a valued resource for other practice areas of the firm, which utilize our 20/20 hindsight in structuring transactions and deals to avoid the worst-case scenarios we have helped other clients navigate first-hand.
While our lawyers routinely appear in courts all over the country, the group is concentrated in the nation’s most prominent bankruptcy jurisdictions, including New York and Delaware, where most cases are filed.
Our clients turn to us when their borrowers, customers or counterparties develop financial troubles, and we have decades of experience representing creditors, particularly major secured creditors, bond interests and finance companies. We have a national reputation representing indenture trustees and bondholder interests, and regularly act as default counsel for indenture trustees in major national cases. Our full list of services includes:
Bond Workout & Default
We have extensive experience representing investors and indenture trustees in restructuring bond indebtedness, both in and out of Chapter 11 proceedings.
Drinker Biddle is regularly selected to represent Official Unsecured Creditors’ Committees, Official Bondholders’ Committees, and other statutory and ad hoc committees in Chapter 11 cases.
Secured Creditors: Agent, Syndicated Loan and Lender Representation
We regularly represent secured creditors in a wide range of bankruptcies, foreclosures, loan restructurings, and workouts.
Our practice often involves the representation of corporate clients in the acquisition of assets from companies in Chapter 7 or 11, or state court proceedings, including buyers in the following Chapter 11 cases.
Trade and Other Creditor Representations
We advise clients who hope to minimize their exposure as unsecured creditors in bankruptcy.
Trustees, Receivers and Investigations
Our lawyers have considerable experience serving as, and on behalf of, trustees and receivers, and in particular, serving as counsel for Chapter 11 trustees, SIPA/SEC trustees and SEC receivers.
Chapter 11 Debtor Representation
Our representation of debtors and debtors-in-possession includes pre-bankruptcy counseling and advising clients on a range of issues, including post-petition financing, retention of professionals and possible transactions for avoiding bankruptcy altogether, or exiting quickly if filing is necessary for any number of reasons.
When the customer of a business is showing signs of financial distress, it can be a frightening and uncertain time. A business could be left with thousands, if not millions of dollars in unpaid invoices, work in process and pre-made inventory with no buyer.
Businesses can take pro-active steps to prepare for a customer’s bankruptcy that can help them legally recover what is due to them, while continuing to maintain a relationship with the customer post-bankruptcy. We have created a series of podcasts with practical advice on how businesses can prepare for and protect themselves if one of their customers files for bankruptcy.
The podcasts highlight parts of the U.S. Bankruptcy Code that businesses should be aware of as their customer proceeds through the bankruptcy process such as the court’s automatic stay order, which means that a business has to cease all collection efforts in the pre-bankruptcy process.
The guidance is provided through the lens of a fictional business, Alpha Auto Parts, and its bankrupt customer, Burning Cash Auto, to walk listeners through the various steps and options that a business has in working with a customer.
The podcasts are available below and cover the following topics:
- How to evaluate a relationship with a customer who may be experiencing financial distress
- What happens to contracts in bankruptcy
- Automatic stay orders
- Claims businesses can file to recover money the customer owes them.
- Collecting money as a critical vendor
- Handling contractual obligations to a bankrupt customer
- Proof of claim process
- 503(b)(9) claims
- Benefits of joining the Official Committee of Unsecured Creditors
- Preference payments
- Different types of defenses in a bankruptcy proceeding
Top Bankruptcy/Corporate Restructuring Practice in PennsylvaniaTHE LEGAL INTELLIGENCER BEST LAW FIRM CORPORATE PRACTICES 2015