Bankruptcy litigation requires a specialized combination of in-depth knowledge of the U.S. Bankruptcy Code and the experience of litigating complex, multi-party disputes in a host of forums. As an adjunct to our Financial Restructuring practice, our bankruptcy litigation team represents secured and unsecured creditors and committees, ad hoc bondholder committees, trustees, debtors, regulators, examiners, strategic investors, equity interests, equity committees, and lessors and lessees of real and personal property in litigation related to every aspect of bankruptcy, reorganizations, and workouts.

Our attorneys' experience extends from arguing issues of first impression in "bet-the-company" matters to providing counsel with regard to contested plan confirmation and enterprise valuation hearings, substantive consolidation issues, objections to plan exclusivity, debtor in possession financings, and equitable subordination claims. The firm's attorneys also have litigated issues relating to fraudulent transfers, preferences, insider transactions, and sales and dispositions of collateral.

Cadwalader bankruptcy litigation attorneys have been at the forefront of disputes arising from chapter 11 cases involving a range of companies in almost every industry, including financial services companies, broker/dealers, insurance companies, energy businesses, retail chains, and airlines, as well as entities facing shareholder suits. The bankruptcy litigation team also has significant expertise in handling and finding solutions to asbestos and other mass-tort liabilities. Cadwalader has successfully defended significant claims asserted against Pharmacia Corporation in the chapter 11 case of chemicals manufacturer Solutia Inc., and is actively representing Pfizer Inc. in the asbestos chapter 11 case of Quigley Company, Inc.

Given the number of significant financial institutions represented by Cadwalader, our attorneys have particular expertise in disputes related to sophisticated financial products and complex derivatives, the restructuring of financial and securities contracts, CDS, and insured credits. For example, we advised Enron Corp. on the unwinding of the debtors' pre-petition power, gas, and financial trading book resulting in over $2 billion in recoveries to the debtors' estate. We also represent Bank of America with respect to federal securities litigation relating to CDOs.

In addition to representing parties in litigations in the U.S. Bankruptcy Court and other domestic venues, our attorneys are adept at coordinating and managing significant multi-jurisdictional proceedings and cross-border international insolvencies that often require the use of unique and creative solutions to reconcile conflicting legal and regulatory schemes.

In addition to advising clients regarding litigation, our bankruptcy litigators work closely with clients in structuring sophisticated corporate and commercial transactions to identify and minimize the adverse effects of an insolvency on the parties to the transaction.

Recent and significant representations include:

• Lyondell Chemical Company in securing the approval of the largest debtor-in-possession financing package ever approved under the bankruptcy code, in obtaining an injunction against claims against European affiliates who guaranteed claims of debtors but are not themselves debtors, and numerous other contested matters.
• The joint administrators of RSL Communications Plc in a $1 billion breach of fiduciary duty litigation against various persons responsible for operating the company, which is currently pending in the Southern District of New York.
• Bank of America with respect to federal securities litigation relating to CDOs.
• Pfizer Inc. in the asbestos chapter 11 case of Quigley Company, Inc.
• Pharmacia Corporation against complex fraudulent conveyance and subordination claims asserted by various parties in the Solutia chapter 11 cases.
• Northwest Airlines Corp. in several adversary proceedings and contested matters, including defeating challenges to plan confirmation, achieving substantive consolidation of certain debtors, and successfully objecting to flight attendant union claim on grounds that rejection of labor contract does not permit party to assert rejection damages claim (a previously undecided issue).
• Enron Corp. in connection with more than 40 separate adversary proceedings seeking to recover monies owed to the Enron estate under swaps, forwards, and other derivative contracts. Cadwalader was successful in recovering $2 billion for the Enron estate and eliminating several billion dollars of claims against the estate.
• One of a number of defendants in a fraudulent transfer claim brought by the Official Committee of Unsecured Creditors of M. Fabrikant & Sons, Inc. against ABN Amro Bank, N.V. alleging damages of over $100 million, which is pending in the Bankruptcy Court for the Southern District of New York.
• ABN Amro Bank, N.V. in a fraudulent transfer claim brought by the chapter 7 trustee of the Sentinel Funds, Inc., based upon sale of securities issued in European markets.
• The official creditors' committee of Heartland Automotive Holdings, Inc. in its investigation of potential claims arising from the pre-petition dividend of more than $120 million to Heartland's main shareholder, a private equity fund.
• Bear Stearns Companies, Inc. and several of its former directors and officers in federal and state shareholder litigations relating to the merger of Bear Stearns with JPMorgan Chase & Co.
• Several claim transferees seeking to recover millions of dollars in Adelphia Communications Corp. claims they purchased from Motorola, Inc.
• Omnicare, Inc. successfully in a number of litigation and bankruptcy matters against Omnicare's debtors.
• An ad hoc committee of bondholders in its Delaware Chancery Court litigation, California Public Employees' Retirement System et al. v. Mirant Corp., seeking to enjoin a prejudicial exchange offer. The litigation subsequently caused the issuer to commence chapter 11 proceedings, which eventually resulted in a full recovery for the bondholders.
• One of two official creditors' committees in Mirant Corp.'s contested valuation/confirmation hearings before the U.S. Bankruptcy Court in the Northern District of Texas, including a 20-day trial on enterprise valuation issues.
• Wakefern Food Corp., a supermarket cooperative, in a contract dispute with Big V Supermarkets involving expedited fact and expert discovery that went to trial in just seven months, resulting in a favorable $200 million ruling.