Clay J. Pierce

Partner
clay.pierce dbr.com
Phone: (212) 248-3186 (212) 248-3186
Fax: (212) 248-3141

About

Clay J. Pierce is a partner in the firm’s litigation group. A seasoned courtroom advocate, he has handled high-stakes litigation and arbitration matters in jurisdictions throughout the United States. He represents a broad array of clients—from Fortune 100 companies in the financial, energy, technology, and health care industries to individual bond holders, fund managers, project developers, trustees, liquidators, and entrepreneurs.

Clay has prosecuted and defended numerous complex financial and securities suits relating to distressed businesses and investment funds. In addition, he has handled multiple disputes involving renewable energy projects, defended numerous consumer class actions (in the FDCPA, RICO, Lanham Act, securities and antitrust areas), and represented several national law firms in malpractice and firm partnership disputes.

Experience

Clay has handled a broad array of financial litigation cases for high profile clients, including the following representative matters:

  • Defending the General Motors General Unsecured Claims Trust against class action and individual plaintiffs alleging harms caused by automobile ignition switch defects that GM failed to disclose prior to its 2009 bankruptcy. Includes related claims by the Trust against General Motors LLC (the purchaser of old GM’s assets) seeking over $1 billion in additional contributions to GM’s bankruptcy estate.
  • Defending a $50 million fraud suit by two offshore CDO funds (each formerly controlled by
    Patriarch Partners and Lynn Tilton) against the CEO and Chairman of a failed Chinese media conglomerate (Xinhua Sports & Entertainment Ltd.). Obtained orders dismissing negligent misrepresentation claim on the pleadings, striking all references in complaint to parallel criminal proceedings against client, and striking plaintiffs’ jury demand. Orders affirmed after interlocutory appeal.
  • Representing banking and investment management firm in an arbitration arising from fraudulent guarantee documents submitted by commercial borrower. Includes negotiation of settlement with purported guarantor and prosecution of contract and tort claims against borrower’s former CEO.
  • Prosecuted suit by unsecured bondholders against Caesars Entertainment Corporation based on violations of the Trust Indenture Act and governing indenture agreements. Obtained settlement for clients worth over six times the amount at which their bonds were trading at the commencement of litigation.
  • Prosecuted suit by secured bondholder Trustee against Norske Skogindustrier based on disputed €110 million exchange offer transaction. Transaction withdrawn after Court ruled on preliminary injunction motion that transaction would breach secured bondholders’ rights under indenture.
  • Defended Fair Debt Collection Practices Act class action claims against leading credit card issuer arising from alleged misleading statements concerning credit card issuers’ obligation to file 1099 forms with the Internal Revenue Service.
  • Obtained dismissal on the pleadings of class action claims for negligence and breach of fiduciary duty brought against indenture trustee by holders of $160 million in municipal bonds. Claims arose from alleged failure to properly invest trust assets following the 2008 financial crisis.
  • Prosecuted interpleader claims by institutional investor for payment of $150 million in commercial paper notes issued by failed structured investment vehicle (Victoria Finance, Ltd.). Favorable settlement following discovery against SIV’s collateral trustee, investment advisers and transaction counsel.
  • Defended nation’s largest commercial lender against $125 million fraudulent conveyance/leveraged buyout suit by unsecured creditors of national home improvement chain. Obtained judgment in favor of client after bench trial in the District of Delaware. Subsequently prevailed on appeal.

Clay has litigated multiple disputes involving renewable energy projects, including:

  • Representing developer and seller of solar energy project in contract dispute with purchaser regarding alleged delays in project completion.
  • Prosecuted suit brought by Indiana wind energy producer against the country’s largest utility based on breach of 20-year purchase power agreement. Negotiated advantageous settlement after Seventh Circuit granted summary judgment for client on all liability issues.
  • Defended arbitration claims against equity investors in renewable energy project based on dispute over the calculation of internal rate of return thresholds. Obtained final award for clients after multiple rounds of briefing and discovery.
  • Defended power transmission company in declaratory judgment action brought by two wholesale power marketers. Obtained dismissal of all claims pursuant to doctrine of primary jurisdiction.

Clay has defended multiple clients in false advertising and labeling cases. His successes include:

  • Defended nation’s leading health care company against state Attorney General suit based on alleged false marketing of leading anti-psychotic medication.
  • Defended nation’s leading health care company against multiple false advertising claims for its dominant no-calorie sweetener brand. Included litigations in multiple jurisdictions commenced by industry competitors and consumer class action plaintiffs. All class actions dismissed after denial of class certification. Competitor claims settled after five-week jury trial in the Eastern District of Pennsylvania.

Clay has represented several national law firms in malpractice and firm partnership disputes.

  • Defended national law firm against alleged malpractice and breach of fiduciary duty claims arising from client’s representation of federal qui tam relator.
  • Defended international law firm against breach of fiduciary duty claims asserted by departing senior partner. Involved contested transfer of high-profile litigation and white collar practice.
  • Prosecuted fiduciary duty claims against major law firm on behalf of two departing partners.
  • Involved challenges to firm partnership agreement's treatment of departing partners under New York ethics rules.
  • Defended law firm against attorney malpractice claims arising from Continental Airlines bankruptcy.

Credentials

Bar Admissions

  • New York

Education

  • Fordham University School of Law, J.D., 1995, Order of the Coif; Associate Editor, Fordham Law Review
  • Columbia University, B.A., 1990

Court Admissions

  • U.S. Court of Appeals, Second Circuit
  • U.S. Court of Appeals, Third Circuit
  • U.S. Court of Appeals, Seventh Circuit
  • U.S. District Court, Eastern District of New York
  • U.S. District Court, Southern District of New York

Organizations

  • Association of the Bar of the City of New York
  • Federal Bar Council Inn of Court

Clay's Areas of Focus