Selected Trustee & Fiduciary Matters

The following is a selection of work in Chapter 7 and Chapter 11 proceedings that the firm has handled / continues to handle, where the United States Department of Justice appointed members of the firm as bankruptcy trustees, the firm serves or served as counsel to a trustee or as a state court fiduciary or counsel for a state court fiduciary:

  • Entertainment Publications LLC – Restarted the terminated operations of a $95 million per year coupon book business.  Transferred the operations as a going concern and saved 270 jobs in the process.

  • Omne Staffing – Pursued the wrongdoers in a case involving a $300 million employee leasing company engaged in fraudulent workers compensation practices on a national level and assisted the United States Attorney’s Office in Florida with their prosecution

  • NJ Affordable Homes Corp. – Liquidated more than 300 parcels of real estate following contentious litigation over the estate’s interest in the properties at issue in a $80 million real estate Ponzi scheme

  • The Russ Companies, Inc. – Liquidated a famous international designer and distributor of gift items with subsidiaries in Asia, Australia, Europe and Canada and satisfied more than $13.5 million in secured debt

  • Ameripay, LLC – Liquidation of a regional payroll company at the center of securities fraud investigation

  • Spanish Peaks Holdings II, LLC – Trustee for a 5,700-acre golf resort and planned residential community in Big Sky, Montana

  • Alabama Aircraft Industries, Inc. – Liquidation of a leading provider of aircraft maintenance and modification services for the United States Government

  • Stirling Energy Systems, Inc. – The liquidation of a foreign owned solar power equipment manufacturer

  • AES Thames – Liquidation of a major coal fired power plant in Connecticut

  • Halpert and Company – Liquidated a securities broker-dealer involved in the Bennett Funding Ponzi scheme and satisfied 100% of allowed claims

  • Howard Handler – Unraveled a $20 million Ponzi scheme involving the sale of non-existent medical equipment

  • Christian Bernard – Liquidated major national retail jewelry chain with 16 locations across the country

  • U.S. Mortgage – Represented examiner and liquidating trustee in massive mortgage fraud scheme

  • Linens ’n Things – Supervised the liquidation of a variety of claims including tax refunds from Canadian and United States taxing authorities and prosecuting hundreds of avoidance claims for the bankruptcy estate of the second largest home furnishings chain in North America

  • Arts des Provinces de France, Inc. – Representation of the trustee of a national retail furniture and specialty chain

  • Meridian Benefit, Inc. – Liquidated claims with employee benefit program with national implications

  • United States Workers of America Local 16 National Health Fund – Liquidated claims with employee health-care programs with widespread national significance

  • NorVergence, Inc. –  Liquidated highly publicized telecommunications venture whose failure resulted in the loss of service for businesses throughout the United States.  This matter also required the trustee’s cooperation with federal and state agencies in an investigation of fraud allegations concerning the debtor’s marketing schemes

  • Penco of Lyndhurst– Liquidated a 17-acre environmentally contaminated chemical plant, including oversight of the appropriate disposal of tons of chemicals and rehabilitation of the property for use as a new shopping mall and as a regional transportation hub

  • Upsala College – Liquidated a four year liberal arts college, including its major urban and rural campuses and academic related assets

  • Spiniello Construction Company – Orchestrated the successful reorganization of a national $40 million a year construction company

  • TSR Wireless – Operated a nationally based telecommunication business with 2.5 million customers and successfully transferred the debtor’s operations to a new operating company, thereby saving jobs, continuing service and generating a dividend to creditors. 
    Our Managing Member, Charles M. Forman, received the Directors Award for Outstanding Achievements by the Executive Director of the Office of the United States Trustee for his role as trustee in this matter and in others.  This is the only time that a panel trustee has received such an award from the Department of Justice.

Discharging Duties: Public Policy Perils of a Trustee Leveraging a § 727 Claim for Financial Gain

Michael J. Connolly explores the obligations of a chapter 7 trustee which, at times, may seem to clash in the handling of discharging duties.

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Discharging Duties: Public Policy Perils of a Trustee Leveraging a § 727 Claim for Financial Gain

3 Tips For Small Business Owners In Financial Difficulty

Charles M. Forman is featured in the online column “Triple Play”, a weekly NJBIZ feature that asks top executives in New Jersey to talk about three things related to their industry.

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3 Tips For Small Business Owners In Financial Difficulty

Wall Street Journal: Using Bankruptcy To “Rebirth” Companies

“Master of Disaster” Charles M. Forman uses a bankruptcy filing unconventionally, bringing businesses back to life while awaiting a sale.

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Wall Street Journal: Using Bankruptcy To “Rebirth” Companies

NJ Law Journal: When Money Problems & Marital Problems Collide

Exploring the implications of Erin Kennedy’s ground-breaking Third Circuit decision in the Ruitenberg case and still-unanswered “divorce colliding with bankruptcy” questions.

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NJ Law Journal: When Money Problems & Marital Problems Collide