Fiduciary Services – Receivers, Assignees, Trustees

We apply specialized financial, operational, and industry expertise to quickly design and implement a strategic plan to maximize stakeholders’ recovery when an organization faces insolvency, severe operating challenges, contentious disputes, or fraud. 

Our fiduciary expertise spans:

• Federal & State Receiverships
• Bankruptcy Advisory, Including Serving as a Trustee & Examiner
• Alternatives to Bankruptcy:
  • Assignment for the Benefit of Creditors (ABC)
  • Article IX Sales
  • Out-of-Court Settlements
• Expert Witness in Creditor Recovery Actions

Our proven process to maximize recoveries involves taking control of a business’s operations, determining the sources of distress, developing a strategic plan to overcome issues, resolving obstacles such as litigation, and managing communication with stakeholders to facilitate informed decision-making. 

Receivership is a viable alternative for distressed companies with potential going-concern values greater than their liquidation values, as well as situations where there is the potential likelihood of squandering corporate assets.

Lenders, attorneys, and Federal and State courts recommend or appoint us as Receiver for companies facing illiquidity due to operational problems, complex disputes, fraud, mismanagement, and other challenges. Our full-service team of Receivers, financial advisors, and accountants applies extensive leadership, financial, accounting, fraud examination, and operational expertise to adeptly manage the troubled business, simultaneously orchestrating its sale as a going-concern, refinancing, or asset liquidation. Throughout the process, we proactively communicate with the company’s lenders, key customers, employees, suppliers, shareholders, and other stakeholders, resolving impasses as needed.  

We are regularly appointed as a Receiver in instances of corporate fraud, embezzlement, lapping, Ponzi and pyramid schemes, asset theft, and other malfeasance, as well as corporate deadlock situations. Our experts are involved in the reconstruction and reconciliation of accounting records; assist with evidence discovery, collection, preservation, and analysis; and provide expertise in hidden or misappropriated asset recoveries.

We often exceed client expectations by strategically improving the borrower’s operations, thereby increasing business value and the overall cash recovery for lenders and other stakeholders. In certain situations, we apply our expertise as a financial advisor to a Receiver. 

Distressed businesses with substantial real estate assets, such as agribusiness, healthcare, residential developments, commercial developments, and hotels, create unique challenges and opportunities for their lenders and shareholders. Receiverships often can provide the best capital recovery when a qualified Receiver stabilizes, repositions, or completes construction of the properties then strategically refinances the business or markets the assets for sale. 

Once named Receiver, our real estate professionals deliver a comprehensive solution, leveraging our business restructuring skills and experience spanning from office buildings to multi-family housing developments, agribusinesses, and more to implement a creative path to capital recovery. We oversee completion of construction, property and leasing management, tenant negotiations, brokerage sales, asset disposition, and more. 

Our astute focus on managing operations optimizes income opportunities as we resolve impediments to a sale or financial restructuring, such as regulatory and environmental issues, deferred maintenance, and titling issues and design and implement a strategic plan to maximize the capital recovery for creditors and shareholders.

When the Securities and Exchange Commission (SEC), Federal Trade Commission (FTC), or Consumer Financial Protection Bureau (CFPB) suspects fraud or other misconduct at a company, judges appoint a qualified Receiver to design and implement a recovery plan for investors and creditors.

Once appointed Receiver, we diligently take control of operations and assets, conduct forensic accounting to trace cash flows, and review and manage outstanding litigation to discern the source of the company’s problems. We often discover Ponzi schemes, extensive fraud, extreme mismanagement, and deficient financial record keeping. 

We assess the potential capital recovery under various scenarios then implement a strategic plan for the benefit of investors and creditors. Throughout the process, we communicate with federal and state agencies, investors, and creditors to keep them informed, manage litigation, and deliver required reporting.

Our experts apply specialized experience in the cannabis industry and understand the complexities involved in both the business and technical aspects of this ever-changing landscape. We have been appointed as Receivers over multiple cannabis operations, including dispensaries, cultivations, and commercial kitchens. We combine our extensive restructuring skills with our industry knowledge and ability to manage complex regulatory relationships to optimize the ultimate recovery for companies in distress and their stakeholders.

When an organization is on the brink of insolvency, we assess the situation and advise on whether bankruptcy or an alternative, such as receivership, ABC, or restructuring may yield the best outcomes for lenders, creditors, shareholders, and other stakeholders. We then manage the bankruptcy or alternative process through conclusion.

Chapter 11 bankruptcy can yield a full recovery for creditors with experienced turnaround managers leading the financially distressed business. Serving as Trustee, Plan Administrator, Liquidating Trustee, or financial advisor, our experienced team transforms the operations of troubled businesses to maximize proceeds through an asset liquidation or going-concern sale.

We remain accountable for all aspects of the business until all outstanding issues are resolved and the case is dismissed.

> Click to learn more about our Bankruptcy Services & Alternatives to Bankruptcy

We are regularly appointed by the court as fiduciaries in bankruptcy matters involving complex issues such as litigation or strained relationships between borrowers and lenders, including matters under Subchapter V of the Chapter 11 Bankruptcy Code. Our experts objectively manage the bankruptcy proceedings, ensuring proper bankruptcy processes are followed by both debtors and creditors. 

Serving as Trustee, Plan Administrator, Liquidating Trustee, Examiner, and/or Winddown Agent, our team transforms the operations of troubled businesses to maximize proceeds through an asset liquidation or going-concern sale. We remain accountable for all aspects of the business until all outstanding issues are resolved and the case is dismissed.

In certain situations, an out-of-court Assignment for the Benefit of Creditors (ABC) may be the most prudent fiduciary action by a distressed company’s Board of Directors. ABCs involve assigning the business assets to an Assignee who generally operates the company while selling it as a going-concern in a competitive process. An ABC can be faster and yield greater net proceeds than a receivership, bankruptcy, or other out-of-court restructuring process. 

As Assignee, we pursue a fast and efficient process, which generally includes the following:

• Company assigns its assets to the Assignee for the benefit of creditors
• Assignee serves as company’s CEO and CFO and manages operations
• Assignee manages creditors, employees, and litigation
• Assignee liquidates assets through a competitive M&A process
• Assignee distributes proceeds to creditors based on priority