Pashman Stein Walder Hayden P.C. Bankruptcy Team Obtains Confirmation of Two Fully Consensual Plans of Reorganization Under Subchapter V of Chapter 11 of the Bankruptcy Code
Pashman Stein Walder Hayden P.C. is pleased to announce that Joe Barsalona and Richard Solow obtained confirmation of two fully consensual plans of reorganization under subchapter V of chapter 11 of the bankruptcy code in two separate venues in two consecutive days.
Hawaii-based ATH Sports Nutrition LLC (“ATH”), is a direct-to-consumer manufacturer of exercise supplements made entirely from clean ingredients. Pashman Stein filed ATH’s case on May 15, 2023, in the United States Bankruptcy Court for the District of Hawaii. After 100% of all voting creditors accepted the terms of the plan, the Pashman Stein team defeated objections made by the other parties-in-interest and obtained confirmation on September 18, 2023.
The Semrad Law Firm (dba DebtStoppers) (“DebtStoppers”) is the largest consumer bankruptcy law firm in the country. Pashman Stein filed DebtStoppers’s voluntary petition under subchapter V of chapter 11 on April 24, 2023, in the United States Bankruptcy Court for the District of Delaware. Here, the Pashman Stein team successfully negotiated with the debtor’s secured and unsecured creditors, and ultimately reached a consensual plan with all voting classes. On September 19, 2023, the court confirmed the debtor’s plan.
Both plans were confirmed under section 1191(a) of the Bankruptcy Code, a section allowing the respective debtor to obtain a discharge of its debts upon the effective date of its plan which comes within a matter of weeks after confirmation. Had the plans not been accepted by creditors, each debtor would not be able to obtain a discharge of its debts until the final plan payment is made, which in each case would have been 3-5 years.
The firm is proud of the results it has achieved for clients. Of course, each legal matter is unique on many levels, and past successes are not a guarantee of results in any other pending or future matters.