Katherine Scherling

Representative Experience

• Counsel to an ad hoc group of bondholders of a petroleum company and subsequent lead counsel to the reorganized company. With primary responsibility for all objections to claims of more than $5 million, obtained a ruling—affirmed twice on appeal—that a claim for “deemed dividends” was subject to mandatory subordination under Section 510(b) of the Bankruptcy Code and entitled to no distribution. *
• Represented debtors in obtaining a precedential ruling authorizing client to reject its FERC-regulated natural gas pipeline transportation agreement. *
• Counsel to debtors’ largest unsecured creditor in the bankruptcy proceedings of a global communications company, guiding foreign client through the Chapter 11 process that resulted in assumption of underlying contracts pursuant to confirmed plan of reorganization. *
• Represented bondholder groups in litigation and mediation in connection with the PROMESA Title III proceedings of the Commonwealth of Puerto Rico and COFINA. *
• Counsel to ad hoc group of unsecured bondholders in the bankruptcy of an E&P corporation. Successfully objected to the proposed DIP financing. Represented creditor representative in the post-confirmation litigation seeking to avoid prepetition secured creditors’ liens on estate assets. *
• Represented administrative agent for an unsecured credit facility that was the target of a UCC motion for derivative standing to avoid LBO debt as a fraudulent transfer. *
• Drafted reorganization law for an independent Commonwealth country. *
• Represented privately held industrial group and its founder in a lawsuit brought by litigation trustee seeking to avoid LBO-related payments as fraudulent transfers and to avoid repayment of a $300 million draw under revolving credit facility as a preference. *