Gordon and Spero Successfully Represent LendersOctober 7, 2016 |
Stu Gordon and Matt Spero successfully represented two affiliated lenders – one secured and one unsecured – in connection with their borrower’s bankruptcy case. The case was filed as a Chapter 11 and was converted to Chapter 7 in response to motion practice commenced on behalf of our clients. That motion practice argued that a Chapter 7 Trustee would be more successful than the Debtor in liquidating the secured creditor’s collateral (a multi-million dollar co-op in Manhattan). Ultimately, that is exactly what occurred, and it resulted in the secured creditor being paid in full on its claim. Additionally, the conversion of the case to Chapter 7 eliminated additional administrative expenses in the Chapter 11 and resulted in the unsecured creditor being paid a higher distribution on account of its claim than previously anticipated.