Litigation And Dispute Resolution
Complex Chapter 11 cases can generate a great deal of litigation on every issue imaginable, ranging from asset values to the priority of competing security interests. The Togut Firm has highly sophisticated and seasoned litigators who are experts in creditors’ rights and corporate restructurings.
Unlike most firms, Togut, Segal & Segal LLP does not have any retainer clients so that it can be truly independent. It is able to be adverse to any bank, hedge fund, equity fund, or other large financial company. The Togut Firm regularly sues banks and others.
Here are some examples of the work we have done in this area:
Co-counsel for the Old Carco Liquidation Trust as successor in interest to Old Carco LLC (f/k/a Chrysler LLC). Addressed and responded to supplier-related issues and objections, resolved over 560 cure objections relating to more than $750 million in disputed cure amounts, and handled 330 reclamation demands totaling over $711 million. The Togut Firm also had primary responsibility for claims objections related to suppliers and was responsible for expunging and/or reclassifying more than $5.7 billion in claims.
Conflicts counsel for Motors Liquidation Company (f/k/a General Motors Corporation). Among other things, the Togut Firm challenged and resolved a $24 million setoff claim against the debtors and achieved over $137 million in savings related to various lease and rejection claims asserted against the debtors.
Co-counsel to the debtors and administrator. The Togut Firm successfully negotiated and litigated a reduction of administrative proofs of claim from more than $350 million to under $7 million to satisfy a key condition precedent to the effective date of the plan.
Aurora Commercial Corp.
Counsel to the debtors, subsidiaries of Lehman Brothers Holdings Inc. The Togut Firm reduced the claims pool from approximately $343 million to $55,000, which enabled the debtors to confirm a fully consensual plan providing for payment in full for all allowed claims.