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Updated: Apr 27, 2022
TRADE HARVEST, REPRESENTED BY SARACHEK LAW FIRM, AWARDED $469,000 BY CALIFORNIA COURT AFTER DEFAULT BY DIGITAL BRANDS GROUP (“DBGI”)
Trade Harvest Industrial, Ltd. (“Trade Harvest”), an international manufacturer of garments, was awarded $469,000 on February 25, 2022 by the Superior Court of California, L.A. Division, Southeast District (Case No. 20NWCV00518) after Digital Brands Group (“DBGI”), a publicly traded company, and two of its affiliates defaulted on its obligations. DBGI and its divisions, Bailey 44 & Demin L.A., were subject to a judicially mediated settlement agreement. Trade Harvest now has a Writ of Attachment and a lien in place
Trade Harvest’s CEO, Climas Lo, wrote DBGI’s Board of Directors a letter on Monday, April 18, 2022 asking the Board to “meet your obligations to us as your creditor” before proceeding with further acquisitions. DBGI on Monday filed an S-1 statement with the Securities & Exchange Commission seeking to raise more money.
Trade Harvest is represented by the Sarachek Law Firm, a leading creditors’ rights firm specializing in the collection of trade receivables which services over 800 domestic and international clients, from the United States to China, India, Mexico, South Korea, Vietnam, Egypt and many other countries.
Updated: Apr 21, 2022
GWG Holdings filed for Chapter 11 bankruptcy on April 20, 2022 in the Southern District of Texas.
GWG Holdings Inc. (GWGH) is a public company that financed its portfolio of life insurance assets through the sale of bonds, preferred equity and common stock.
GWG sold approximately $1.5 billion in L Bonds to 33,000 investors. An L bond attempts to provide a high yield for a lender in exchange for bearing the risk that an insurance policy premium or benefits may not be paid. An L bond is an unrated life insurance bond that is used to finance the purchase and premium payments of life insurance settlement contracts purchased in the secondary market.
L bonds are illiquid investments, and the holders cannot sell them on the secondary market. Holders must wait until the bonds mature to redeem the principal amount and they cannot redeem the bond before the maturity date or the death or disability of the original policyholder.
On April 4, the Wall Street Journal reported that GWG is getting ready to file for chapter 11 bankruptcy.
Previously, GWG sent investors a letter that it was suspending interest payments and exploring restructuring alternatives.
L bond investors need representation. They need someone to communicate with, who understands bankruptcy and life settlements. We are that firm. We are prepared to work out a resolution with GWG on behalf of the L bond noteholders.
What separates us from other attorneys is; we have a unique understanding of alternative investments. We are able to provide our clients with solutions that others are not.
We have spoken to a number of agents, who while they are not responsible for GWG’s situation, have expressed a willingness to work with us as well.
We are also asked about our experience. Here's some quick facts about me:
Joseph Sarachek is an internationally renowned bankruptcy lawyer and restructuring advisor in practice since 1987 (33 years). I have been involved in hundreds of cases, large and small, primarily on behalf of creditors and investors, including In re: Bernard L. Madoff where my clients received all their money back. I have served in every role in the restructuring area: debtor's counsel, board member, Trustee, Creditors' Committee counsel, and investor. I currently teach a course in bankruptcy investing at NYU Stern for MBA students. My website is www.saracheklawfirm.com. I am experienced and know how to get you back your money quickly.
Recent cases are: Emergent Capital Inc., a life settlements company which filed bankruptcy in 2020 and reinstated its obligations to all of its stakeholders; Future Income Payments where we represent 400 investors with $60MM in aggregate investments. In that case, we have reached agreements with numerous agents and obtained funds for our clients; Woodbridge Group of Companies where we represent 270 investors with $40 MM in aggregate debt and have gotten money back for our clients; 1 Global Capital where we represent 40 investors with $20 million owed and have reached agreements with the largest agents and gotten money back for our clients; Sears Holdings Corp. where we represent over 30 vendors with $ 25 million owed and obtained recovery for our clients ; and Toys 'R Us where we represent vendors as well and obtained recovery for them as well.
If you would like us to represent you, please email me (joe@saracheklawfirm.com) or call me at (646) 403-9775.
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