In these cases, Christina M. Reger represented Hudson United Bank (which during the pendency of these proceedings was acquired by TD Banknorth and then became TD Bank).
Ms. Reger was engaged in collection proceedings for several years, but in the end, the client received a substantial recovery. The Bank extended a $2.3 million commercial loan to defendant. The loan was guaranteed by defendant’s principals and secured by defendant’s business assets as well as a mortgage on the principals’ home. Defendant defaulted on the loan, but before judgment could be entered for the Bank, defendant filed for bankruptcy. Moreover, both federal and state taxing authorities claimed that the Bank’s lien on defendant’s business assets was junior to their liens.
Ms. Reger, on behalf of the Bank, was successful in convincing the Bankruptcy Court that the Bank’s lien was a senior lien and in obtaining relief from automatic stay which enabled it to sell defendant’s business assets at auction. Ms. Reger then negotiated a new agreement with JVC’s principals for the repayment of the balance of the Bank’s loan.