Dorsey’s Distressed Assets Team is a multi-disciplinary legal response team formed to address the consequences of the coronavirus-related economic downturn. The best approach to dealing with a specific distressed situation is dependent on numerous variables. What industry is involved? Is your business distressed, or are you dealing with a distressed business as a lender, landlord, customer, vendor, purchaser or otherwise? Are you acting in a fiduciary capacity? Determining and executing on the optimal approach frequently requires a team that crosses multiple practice areas and industry experiences. Dorsey’s Distressed Assets Team calls on lawyers from across the Firm’s 19 offices and practice groups to consider options including:

  • Out-of-court restructurings;
  • Foreclosures (real or personal property);
  • Receiverships;
  • Assignments for the Benefit of Creditors (ABCs);
  • Creative financing options (including tapping into the Stimulus Acts);
  • Bankruptcy;
  • Sales or other dispositions; and
  • Litigation and other dispute resolution alternatives.

Dorsey stands ready to assist clients whatever the cause of distress, including the following:

  • Companies experiencing financial distress or needing adjustment to loan terms;
  • Secured and unsecured creditors in out-of-court restructurings, foreclosures, bankruptcies, receivership cases and ABCs;
  • Secured creditors in UCC and mortgage foreclosures, and debtors and creditors in asset sales, including in bankruptcy cases, receivership cases and ABCs;
  • Buyers of distressed assets in all types of transactions, including foreclosure sales, bankruptcy cases, receivership cases and ABCs;
  • Landlords and other contractual counterparties with unexpired leases and executory contracts, both in and outside bankruptcy cases;
  • Boards and board members of financially distressed companies;
  • Parties in preference, fraudulent conveyance and other avoidance or insolvency related actions; and
  • Equity holders, including venture capital and private equity funds, looking to close or reorganize distressed investments.

Industry-Specific Experience
We have outlined our industry-specific experience in the following areas that have especially been impacted by COVID-19: