Greenberg Traurig LLP Settles $2.2M Lawsuit With Brown Medical Centre
February 3, 2017, Southern Texas – Greenberg Traurig LLP recently settled a lawsuit, for an undisclosed amount, seeking the return of $2.2 million in legal fees it received for representing the now-deceased owner of an insolvent medical center management company, Brown Medical Centre, Inc.
The bankruptcy estate agent for Brown Medical Center Inc., Elizabeth Guffy, agreed to dismiss her suit with prejudice. Earlier, she had alleged that the fees were technically fraudulent transfers because they were made after the company’s insolvency, within two years of the petition date and were avoidable as fraudulent transfers under §548. Specifically, Guffy alleged that the Debtor received less than reasonably equivalent value in exchange for the transfers because Greenberg provided no legal services for the benefit of Brown Medical Centre. Guffy further contended that all value provided by the law firm was specifically for the benefit of Michael Brown or Brown’s wholly-owned entities unrelated to the Debtor. However, in its recent filing last month, Guffy filed agreed motion to dismiss the case with prejudice against Greenberg Traurig, LLP with each party to bear its respective fees and costs. In its agreed to motion to dismiss, Guffy states that the plan agent and Greenberg Traurig have settled the issues that form the basis of this matter and accordingly, the Court should enter an order granting the agreed motion to dismiss with prejudice.
Madoff Trustee Begins Seventh Pro Rata Interim Distribution of Recovered Funds to Madoff Claim Holders
New York, July 1, 2016 – Irving H. Picard, Securities Investor Protection Act (SIPA) Trustee…Read More
Ninth Circuit – Courts May Entertain Hypothetical Preference Actions Within Section 547(b)(5)’s Hypothetical Chapter 7 Liquidation
March 7, 2017, California – Schoenmann v. Bank of the West (In re Tenderloin Health,…Read More
Bank Legally Bound to Pay Despite Unsigned Settlement Agreement in a Clawback Suit
New York, August 3, 2017 – The U.S. District Judge Denise Cote recently affirmed a…Read More
Metered Electrical Energy Delivered by a Defendant to the Debtor Constitutes “Goods” Under the Unambiguous Text of §503(b)(9)
In re Escalera Res. Co., 563 B.R. 336 (Bankr. D. Colo. 2017) Debtor Escalera Resources…Read More
Accepting a Fraudulent Transfer Creates Sufficient Contact with a Forum to Establish Jurisdiction
Montoya v. Akbari-Shahmirzadi (In re Akbari-Shahmirzadi), Nos. 11-15351-t11, 13-01035-t, 2016 Bankr. LEXIS 3957 (U.S. Bankr….Read More