The Bankruptcy and Creditor's Rights Group has a long history of representing secured lenders, equipment lessors, commercial landlords, trade creditors, Chapter 7 Trustees and formal creditors' committees in Chapter 7 and Chapter 11 bankruptcy cases in New Jersey, Southern District of New York and Eastern District of New York. Established as a core practice area in 1939, the group has represented numerous companies, committees, and others in complex restructurings, out-of-court workouts, and chapter 11 cases. Additionally, Stark & Stark's Bankruptcy & Creditor's Rights attorneys have been appointed to the panel of bankruptcy trustees by the Office of United States Trustee, Bankruptcy Lawyers Advisory Board and New Jersey Local Bankruptcy Rules Committee.

Complimented by the Firm's highly accomplished Litigation Group, the Bankruptcy and Creditor's Rights Group is capable of handling litigation matters which arise in many bankruptcy cases. This Group's lawyers prosecute and defend all types of chapter 11 claims, preference actions, fraudulent conveyance claims, challenges to acquisitions and all other litigation arising in the bankruptcy context.

Matters the Bankruptcy and Creditor's Rights Group regularly confront are:

• Protecting creditors' rights in complex Chapter 11 cases, including debtor-in-possession financing, litigating adequate protection and cash collateral motions, and negotiating debt restructures.
• Litigating the recovery of rents and assumption or rejection of leases, and recovery of leased or financed property.
• Defending creditors in preference and fraudulent transfer actions.
• Assistance in the purchase and/or sale of assets from bankruptcy debtors and trustees.
• Litigating matrimonial and real estate issues in bankruptcy cases.

Recent examples of cases handles by the Bankruptcy and Creditor's Rights Group include:

• Represented lessor of trailers and busses on claims exceeding $4 million in Chapter 11 case filed in the Southern District of New York. Successfully restructured the leases on terms very favorable to lessor.
• Represented commercial landlord in a Chapter 7 case and successfully obtained immediate possession of property and removal of tenant's property secured by loan which resulted in a quick re-letting of the property.
• Successfully defended preference claims filed against suppliers of services to Enron entities in New York bankruptcy case.
• Litigated Chapter 11 plan in order to obtain more favorable treatment on an $7.5 million secured claim for a public entity.
• Represented various purchases of property from Chapter 11 and Chapter 7 bankruptcy estates, including bidders for ground lease, restuarant, and commercial buildings.
• Represented Chapter 7 trustee in eminent domain case and matrimonial case. Loan Work-Outs

Work-outs often present an opportunity to minimize legal costs while maximizing recoveries through the restructuring of debt outside of court supervision. The Bankruptcy and Creditor's Rights Group has substantial experience in representing real estate and commercial lenders in working out troubled loans, including:

• Negotiating loan modification and extension agreements, forbearance agreements and deed in lieu of foreclosure agreements.
• Assisting commercial lenders preparing properties for sale (post-foreclosure).
• Advising commercial lenders on environmental matters, including applicability of New Jersey Freshwater Wetlands Protection act, the Industrial Site Recovery Act and other environmental statutes.

Replevin, Receiverships and Foreclosures

Stark & Stark represents secured lenders, lessors and other financial institutions in the recovery of real and personal property in state court venues. The Group works closely with property managers and auctioneers to provide prompt and significant recoveries when liquidating collateral. The Group has liquidated all types of property including boats, heavy equipment, vehicles, farm animals and commercial real estate.