Bankruptcy and Creditors’ Rights

Bankruptcy and Creditors’ Rights

Broad and Cassel’s Bankruptcy and Creditors’ Rights group represents creditors, trustees, assignees, receivers, creditors’ committees and parties to Assignments for the Benefit of Creditors involved in major bankruptcy cases across the State of Florida and nationwide.

Our attorneys regularly handle the following matters:

  • Chapter 7, 11 and 13 proceedings
  • Discharge and dischargeability proceedings/litigation
  • Lifting of automatic stay/adequate protection
  • Out-of-court settlements and workouts
  • Representation of secured and unsecured creditors; and creditor committees
  • Prosecuting and defending fraudulent transfer and preference actions
  • Receiverships, Assignments for the Benefit of Creditors (“ABC”) and Trustee Representations (Chapter 7 and 11)
  • Landlord rights
  • Section 363 sales
  • Prosecution and defense of avoidance actions
  • Ponzi scheme and fraud litigation
  • Analysis of tax aspects of bankruptcy restructurings
  • UCC Article 9 litigation and sales
  • Complex mortgage foreclosures, workouts, receiverships, and rents sequestrations
  • Healthcare insolvency
  • Involuntary bankruptcy proceedings

“With the support of the Firm’s nationally recognized health law practice, our bankruptcy attorneys offer this specialized area to protect clients in what has become a challenging and rapidly evolving health care system.”

Broad and Cassel’s bankruptcy team also has substantial experience in the area of health care insolvency. With the support of the Firm’s nationally recognized health law practice, our bankruptcy attorneys offer this specialized area to protect clients in what has become a challenging and rapidly evolving health care system.

Highlights of recent experience include:

  • Representation as special health care insolvency counsel of a skilled nursing facility debtor in a large, complex Chapter 11 health care matter in opposition to the Centers for Medicare and Medicaid Services and the Florida Agency for Healthcare Administration that was pending in the U.S. Bankruptcy Court in the Middle District of Florida, Tampa Division. This case received national attention going through two levels of appeal up to the 11th Circuit Court of Appeal.
  • Representation of a bank client in multiple defendant fraudulent conveyance actions against a group of lenders through trial and various appeals.
  • Represent secured lender in Debtor’s Chapter 11 bankruptcy. In addition to representing Lender throughout the prosecution of first-day motions, securing court authority to continue use of a secured creditor’s cash collateral and negotiating and obtain court approval for obtaining DIP financing, the Firm defended Lender against the Debtor’s  adversary seeking the determination, extent, validity, and priority of Liens, fraud, breach of fiduciary duty regarding a loan that included complex SWAP agreement litigation and Article 9 related issues.
  • Representation of multiple shareholders in a state court assignment for a benefit of creditors case worth $30 million. Our attorneys moved to dismiss the case as unauthorized and to protect against the sale of assets to affiliated third parties. This case was successfully settled with client being able to select the assets client wanted to retain.
  • Representation of trustees appointed over failed physician practices in Chapter 7 cases.
  • Representation of a creditors’ committee in a Chapter 11 case involving a rural access hospital which was a victim of a massive clinical reference laboratory fraud in excess of $100,000,000 dollars.
  • Representation of an international clothing company in its capacities as licensor of a trademark and as the largest unsecured creditor in two pending jointly administered bankruptcy cases. The goal was to protect the trademark and prevent conveyance to a third party through a bankruptcy sale or plan, or other acts that would diminish the trademark’s value. This case was successfully settled with the client being able to direct the transfer of the trademark and dismissal of the chapter 11 case.
  • Representation of creditor sued by Chapter 13 Debtor for alleged violations of the automatic stay. Our firm represented the Creditor in a contested day long evidentiary hearing. The case is still pending.
  • Representation of bank in individual Chapter 11 case filed to prevent foreclosure of property and limit payment on unsecured claim. Our attorneys prevented confirmation of the debtor’s plan, caused the dismissal of the case, uncovered improper disbursement from the debtor’s DIP account that led to debtor’s counsel being sanctioned by the bankruptcy court, and obtained a final judgment of foreclosure.
  • Representation of a bank client in a Chapter 11 bankruptcy proceeding filed to prevent the foreclosure sale of a commercial property. The case was dismissed following a motion to prohibit use of cash collateral, a motion for adequate protection and a motion to dismiss the case.
  • Representation of a group of Florida physicians in defense of a bankruptcy trustee’s assertion of a qui tam action against the physicians for receiving process and handling fees in the bankruptcy of a clinical reference laboratory. The trustee, for the first time in a bankruptcy court, asserted that he could be a relator or whistleblower in an action against parties that may have been involved in the federal anti-kickback statutes and STARK statutes. At the preliminary hearing, the court objected to having the trustee have standing to raise the qui tam action and was compelled to consider suing physicians only under the theories of fraudulent transfer under the Bankruptcy Code. The case involved defending the process and handling fees given to a physician for drawing blood and centrifuging blood for a fee in return for sending the sample to the reference laboratory. The trustee was sued for approximately $11 million of payments made to the physicians. A trial date has not yet been determined.
  • Represent Chapter 7 Trustee in a converted Chapter 11 of 33 related entities that owned and developed  large residential subdivisions throughout the Southeast. The firm assisted the Trustee in the collection, liquidation, and distribution of the debtors’ assets within the bankruptcy estate. Our team members also handles numerous related fraudulent transfer and preference litigation, which involved analysis of security interests and the sale of assets. The case is still pending.
  • Representation of a group of physicians defending fraudulent transfer actions brought by a Virginia-based laboratory bankruptcy trustee. Payments were made to physicians for specimen handling and venipunctures that are being characterized by the trustee as fraudulent by virtue of an asserted violation of the federal anti-kickback laws. The liquidating trustee is suing for more than $50 million in recoveries. A trial date has not yet been determined.
  • Representation of a multi-facility home health agency operating in 29 Florida counties. The home health agency has an overpayment liability and is considering filing a Chapter 11 for the purposes of selling the facilities to a third party free and clear of the outstanding overpayment liabilities. This case is ongoing.
  • Representation of the liquidating trustee of nine affiliated entities in the Middle District of Florida, Orlando Division, in which the principal of the affiliated entities sought investors in the amount of approximately $25 million. The investments never yielded the returns that were promised and the affiliated entities had to file for Chapter 11 bankruptcy. The Chapter 11 was a liquidating plan in which a liquidating trustee was appointed. The Firm is currently representing the liquidating trustee to monetize the investments made to produce a return to the unsecured creditors.
  • Representation of four of the directors in a defending adversary action filed by the Chapter 7 trustee alleging fraud and breach of fiduciary duty. Debtors filed voluntary Chapter 11 bankruptcy petitions in a jointly administered case in the bankruptcy court. A trustee was appointed and filed an adversary action against former officers and directors of the debtors. The Firm objected on behalf of clients to the trustee’s settlements with debtors’ former accounting firms based upon the trustee’s request for a bar order preventing the defendants to sue for indemnification and contribution against the former accounting firms. This case is recently settled.

Discover Your
Career with Broad and Cassel

Search all openings by completing the following form.

Advanced Search

By submitting your search, you acknowledge that you are leaving Broad and Cassel's website and are being redirected to a third-party website. Broad and Cassel is not responsible for the content or security of third-party sites. Any information that you submit to Broad and Cassel via the third-party website may not be encrypted. Also, please be aware that the security and privacy policies on third-party sites may be different than Broad and Cassel policies.