BG Law Successfully Represents Official Committee of Unsecured Creditors
BG Law represented the Official Committee of Unsecured Creditors in a lengthy Chapter 11 bankruptcy case. BG Law litigated on behalf of the Committee hard fought claims arising out of the transfer of certain assets of the debtor before bankruptcy. Those claims were ultimately settled on the day set for a jury trial in the bankruptcy court in a mediation presided over by the bankruptcy judge. Although disputes arose over distribution of the proceeds of the settlement, which involved an appeal taken by BG Law to the Ninth Circuit Bankruptcy Appellate Panel where an initial distribution order was vacated, BG Law has now obtained bankruptcy court approval for a revised distribution scheme which will return a 5% dividend to the unsecured creditors and provide a distribution to priority creditors and administrative professionals.