Grant & Eisenhofer achieved major rulings and confidential settlements in fiduciary duty and fraudulent transfer litigation arising from GBG USA bankruptcy
Plaintiff(s):
GBG USA Litigation Trust
Case type / claims:
Fraudulent transfer, breach of fiduciary duty, and unlawful dividend claims brought by the Litigation Trust following GBG USA’s bankruptcy; litigation examines the scope of the Bankruptcy Code’s §546(e) safe harbor provision.
Defendant(s):
Former directors, officers, and controlling indirect shareholder Fung Holdings and its affiliates
Jurisdiction:
U.S. Bankruptcy Court for the Southern District of New York
Year:
2024
Outcome:
- Confidential settlement reached with director and officer defendants.
- In December 2024, G&E defeated Fung Holdings’ motion to dismiss in an opinion that reexamined the breadth and scope of the Section 546(e) safe harbor provision in light of the Supreme Court’s 2018 decision in Merit Management, LP v. FTI Consulting, Inc.
