Bankruptcy Court Approved Sales

The vast majority of Chapter 11 cases now result in the sale of a debtor’s assets, whether through Section 363 of the Bankruptcy Code or under a confirmed plan.

Section 363 sales have become the preferred approach because they are designed to achieve a prompt result. Dickinson Wright has extensive experience representing sellers, purchasers, and creditors in these transactions. We have handled matters ranging from a few million dollars to multimillion-dollar transactions, in regional and national cases, across industries including automotive, health law, and real estate, including matters involving regulatory and environmental issues and emergency sales requiring immediate action.

Dickinson Wright’s insolvency and restructuring attorneys guide clients through every stage of the bankruptcy sale process. Our restructuring team is supported by lawyers throughout the firm with experience in corporate, finance, employment, securities, tax, environmental, intellectual property, real estate, and litigation.

Services

Representation of Prospective Purchasers

• Represent stalking horse purchasers and other prospective buyers in Section 363 auctions and sale hearings, including negotiating break-up fees and expense reimbursements.
• Negotiate purchase agreements and sale orders to minimize successor liability risks.
• Guide clients from the initial bid through closing, including obtaining required regulatory approvals.

Representation of Secured Creditors

• Represent secured creditors at sale hearings to help maximize asset value.
• Review and negotiate bid procedures to promote competitive bidding and the highest and best offer.
• Evaluate bids in real time during auction proceedings.
• Develop, review, and negotiate bidding procedures.

Representative Matters

• Counsel to the stalking horse purchaser in the Wet Seal bankruptcy.
• Counsel to a surgical hospital in its Chapter 11 case and successful sale to a large hospital association.
• Counsel to the purchaser of certain assets of Molycorp Metals & Alloys, Inc.
• Counsel to Johnson Controls, Inc. in all aspects of the Plastech Engineered Products bankruptcy and subsequently to JCIM LLC in acquiring Plastech’s interiors division.
• Counsel to a prospective purchaser of a skilled nursing facility.
• Counsel to a secured lender in the Lee Steel bankruptcy, including the auction process that resulted in the sale of all debtor assets for more than the secured debt.
• Represented Emterra Group and affiliated companies in the multimillion-dollar acquisition of the Cove Landfill and related assets through a Section 363 sale.
• Represented Gainey Transportation in the sale of substantially all of its assets through a contested Section 363 sale.
• Counsel to Alumina LLC, the successful bidder in the Revstone Industries bankruptcy for the Greenwood, South Carolina facility.
• Counsel to Wabash Castings, Inc. in acquiring the Wabash, Indiana facility through a court-approved receivership sale involving Harvey Industries.
• Counsel to a secured lender in the sale of Paramount Industries’ Oak Park, Michigan facility through a federal receivership sale.
• Represented an ad hoc committee of consignment vendors in the Section 363 sale of Family Christian Book Stores.
• Counsel to a creditors’ committee in the successful Chapter 11 sale of a publicly traded electric vehicle charging company.