• Company
  • Description
  • Recovery Amount
  • Caesars Entertainment Corporation
  • Danner v. Caesars Entertainment Corporation, et al.

 

Southern District of New York

G&E represented the lead plaintiff in a purported class action against Caesars Entertainment Corporation (“CEC”) and its subsidiary Caesars Entertainment Operating Company (“CEOC”) relating to a series of unsecured notes that were issued by CEOC and guaranteed by CEC. The complaint alleged that CEC, CEOC and certain preferred noteholders unlawfully amended the applicable indenture to eliminate CEC’s guarantee in violation of the Trust Indenture Act of 1939 and in breach of that contract. CEC’s motion to dismiss Danner’s complaint was denied in its entirety as it applied to CEC. CEOC, meanwhile, filed a voluntary petition for relief under the Bankruptcy Code, thereby staying litigation against CEOC. Nonetheless, G&E aggressively pursued the claims against CEC and opposed CEOC’s efforts in the bankruptcy court to enjoin, stay and release the claims attendant to the Danner case. G&E was also deeply involved in CEOC’s bankruptcy proceedings and related litigation in furtherance of the interests of its client and the class of noteholders. This case settled in August 2016, effective October 2017, when CEOC’s plan of reorganization became effective. The action in the Southern District of New York was dismissed following the effective date of CEOC’s plan of reorganization in October 2017.