Dear Clients, Colleagues, and Friends:
As the first quarter of 2023 ends, we want to share our insights on the state of the economy based on data and information from court filings and legal business.
The number of corporate and personal bankruptcies in a year-over-year comparison has increased markedly. The total number of bankruptcies filed in March 2023 totaled 42,368 new bankruptcies, which is 17 percent higher than in March 2022. For the first time in two years, the monthly level of total bankruptcy filings has surpassed the 40,000 level. The increase in corporate bankruptcies has concomitantly increased bankruptcy and creditor work for the firm.
The firm represents creditor constituents in several high-profile corporate bankruptcies, such as Celsius Network, Coin Cloud, First Guaranty Mortgage Corporation, and Coinbase. The downturn in the economy has also resulted in corporate mass layoffs of 10% or greater of the workforces at Meta, Lucid Group, Zoom, Salesforce, and Stitch Fix. Our firm has experienced a recent increased demand from corporate executives for employment counseling in the negotiation of severance agreements and exit packages.
Given the economic challenges over the last quarter, we are especially pleased to share with you some highlights for Levin-Epstein & Associates, P.C. in the first quarter of 2023. The firm’s judgment enforcement practice monetized a judgment that the firm had obtained in federal court, which demonstrates our firm’s capacity to handle a federal court case from inception through monetization. Our commercial contingency practice successfully resolved several plaintiffs’-side Fair Labor Standards Act cases and commercial contingency cases.
To the extent that you or any of your colleagues have cases where a contingency arrangement makes financial sense, please contact us to assess the potential for a mutually productive collaborative relationship regarding referral arrangements with participation fees for commercial contingency cases and plaintiffs’-side employment cases.
We want to thank you for contributing to our continued success. You know us, you know our experience, and you know the quality of our work. We would be most grateful to be retained in these areas, among others:
- Litigation before trial or appellate courts or administrative bodies, especially matters involving real estate, partnership disputes, and creditors' rights;
- Litigation avoidance - the crucial effort to negotiate agreements to resolve disputes before they cross the threshold of the courthouse;
- Domestic and international arbitration and mediations;
- Bankruptcy litigation and creditors' rights work, including avoidance actions, preference actions, discharge and dischargeability actions;
- Employment litigation in all aspects of employment law, including issues involving restrictive covenants and trade secrets, wage-and-hour issues, Fair Labor Standards Act issues, and breach of contract issues;
- Business divorce litigation, including contested stock valuations, derivative actions and other disputes between owners of closely held business corporations;
- Counseling and strategic planning that defy easy categorization, requiring a deep understanding of the pertinent legal issues and also of the business (and sometimes personal) considerations that must be taken into account to reach a favorable outcome; and
- Representing investors, restaurateurs, restaurant management companies, and chefs in New York City's hospitality sector.
With heartfelt good wishes for a healthy, happy and productive year, we remain,
Sincerely yours,
