We have comprehensive experience in dealing with telecommunication-related Bankruptcy matters. Among these are Chapter 11 reorganization, work-outs, and regulatory compliance for control transfers, secured financing, and other restructuring of telecommunications carrier. Most recently, we served as Georgia regulatory counsel for bankruptcy plan approval of a major telecommunications carrier (see Link). We have also advised clients on the implications (including executory contracts and unsecured financing) of dealings with distressed carriers. (See, e.g., our generic presentations on the Windstream-Aurelius dispute and subsequent Windstream bankruptcy, Part I and Part II).
Our telecom bankruptcy experience dates back to the then largest telecom bankruptcy in U.S. history – WorldCom. Notably, we represented a major telecommunications company that purchased all of the debtor’s building access/shared tenant operations out of bankruptcy including, among other matters, negotiation and arbitration of telecommunications claims, purchases and circuit assignments. For an interesting retrospective discussion of the WorldCom downfall, see Link.
We also have experience representing enterprise, carrier and financial clients, with representative experience including:
- Crafting deal protections against counter-party bankruptcy risk through:
- Drafting pre-bankruptcy (“early warning”) contract clauses.
- Preference avoidance and fraudulent conveyance analysis.
- Use of letters of credit, security agreements and collateral guaranties.
- Creating bankruptcy remote special purpose entities.
- Sample transactions have included:
- Participating in “Section 360” stalking horse bid for the assets of a large bankrupt CLEC
- Structuring a broadband wireless joint venture using a special purpose entity, spectrum leases, and other investment protections.
- Representation of a major wireless carrier as creditor’s counsel in the Continental Promotions Group, Inc. Chapter 11 filing.
- Representation of clients in purchase of regulated telecom assets out of bankruptcy.
- Extensive participation in (among others) the MobileMedia, WorldCom, Nextel International (NII), and GTT bankruptcy cases.
- Advising clients regarding the sale and acquisition of distressed assets, including claims purchases.
- Representation of creditors with respect to executory contracts and creditor rights, resolution of claims, preference actions and other commercial disputes.
- Structuring pre-bankruptcy protections and other creditor rights in telecom debtor bankruptcies.
- Helping clients navigate the complexities of overlapping compliance with U.S. Bankruptcy Code obligations and telecommunications regulatory requirements.
For some of our publications on bankruptcy, please see:
- “Telecom Travesty: What a bankruptcy can mean for customers”, ABA Business Law Section, Vol. 12, Number 1 https://www.americanbar.org/content/dam/aba/publications/blt/2002/09/full-issue-200209.pdf“New Privacy Laws Unintended Impact on Bankruptcy Sales” https://www.law360.com/articles/1064294/new-privacy-laws-unintended-impact-on-bankruptcy-sales
“Resolving International Data Center Disputes: Diplomacy by Other Means” TDM 4 (2012), www.transnational-dispute-management.com URL: www.transnational-dispute-management.com/article.asp?key=1868