Harder/Sunwest Management Inc. – Bankruptcy and SEC Litigation2021-10-01T17:06:26+00:00
Case Study

Harder/Sunwest Management Inc. – Bankruptcy and SEC Litigation

Represented several secured lenders owed hundreds of millions of dollars in complex civil litigation spanning several bankruptcy cases and an SEC enforcement action. The litigation involved secured loans to entities affiliated with Sunwest Management, Inc. and its principals who were accused of executing a “Ponzi-like scheme” to obtain funds from tenant-in-common investors. This high-stakes litigation involved complex corporate and financing structures, legal issues of first impression, and large dollar amounts. As part of this litigation, Ball Janik LLP’s team took the lead in successfully opposing a motion for preliminary injunction in the Bankruptcy Court aimed at stopping foreclosure efforts by secured lenders owed over $1 billion. Ball Janik took the lead in opposing a plan of distribution proposed by the SEC, the tenant-in-common investors, and others in the SEC enforcement action. This representation also involved a number of appeals before the Ninth Circuit Court of Appeals coordinated by Ball Janik’s team.

In this complex representation, Ball Janik took the lead in coordinating the litigation efforts of several national and regional firms representing various banks and financial institutions. Ball Janik was also lead trial counsel in both the Bankruptcy Court and in the Federal Court in several key contested matters.