Dogged litigation leads to successful recovery for clients despite bankruptcy

Location: Lafayette, Louisiana

Debtor: New Louisiana Holdings, LLC, et al.
Amount: Confidential settlement

Description: Wilkes & McHugh represented families whose loved ones were injured or died while in the care of the Debtors, which operated a nursing home empire spanning multiple states including Florida, Georgia, and Louisiana. After extensive negotiations and vigorous participation on the Unsecured Creditors Committee, Wilkes & McHugh successfully negotiated a compromise with the Debtors to secure a recovery for clients who otherwise may have received nothing as unsecured creditors. 

Years of tough litigation leads to multi-million bankruptcy settlement

Location: Tampa, Florida

Debtor: Fundamental Long Term Care, Inc.
Amount: $23.7 million

Description:  Judgment creditors represented by Wilkes & McHugh initiated involuntary Chapter 7 proceedings against Debtor Fundamental Long Term Care, Inc. to recover state court judgments following jury verdicts in excess of $2 billion. A decade of protracted litigation revealed a bust-out scheme involving a dozen real-parties-in-interest that devised a scheme to ditch a liability-ridden shell company by selling it to the Debtor using an elderly strawman. After a two-week trial, the parties reached a multi-million dollar compromise.

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