Dale E. Barney has extensive experience in all aspects of debtor/creditor relations; bankruptcy and insolvency litigation; and commercial and chancery litigation. With substantial trial and appellate experience, Mr. Barney leads the dedicated litigation team within the Financial Restructuring & Creditors’ Rights Department and also offers cost effective alternatives to litigation, through arbitrations, mediations, and alternative dispute resolution proceedings. He advises clients on all aspects of debtor/creditor disputes, workouts, and structured resolutions. Mr. Barney represents many of the firm's secured and unsecured creditors and handles a wide variety of general commercial, corporate, and securities litigation.
Mr. Barney’s representative clients include The Bank of New York Mellon; Research Cottrell Cooling, Inc. and Hamon Corp; The Unsecured Creditors Committee in the chapter 11 case of R&S Parts and Service, Inc.; Tiffany and Company; Cooper Tire and Rubber Company; the Veolia North America companies; Armstrong Flooring, Inc., Armstrong World Industries, Inc.; Verizon Business Global LLC; HealthNet of the Northeast, Inc.; Valor Equity Partners, L.P.; Skanska USA Building Inc.; ING Real Estate Finance (USA), LLC; Midlantic Bank; First Fidelity Bank; First Union National Bank; and a variety of private investors and lenders. Mr. Barney has also had major involvement in a number of the firm’s substantial trustee/debtor/creditors' committee cases, such as Molycorp, Inc.; DBSI, Inc.; Manhattan Bagel Company, Inc.; Mutual Benefit Overseas, Inc.; Emerson Electric Company; Herman's Sporting Goods, Inc.; and Twin County Grocers, Inc.
Mr. Barney practices in the Superior Court of New Jersey, the United States District and Bankruptcy Courts for the District of New Jersey, the United States Court of Appeals for the Third Circuit, the United States District and Bankruptcy Courts for the Southern and Eastern Districts of New York, as well as the United States Bankruptcy Courts in other states.
Breach of Fiduciary Duty Claims Against Corporate Directors and Officers
Mr. Barney has represented creditor and other interests in many significant chapter 11 cases over the past decades, including Westinghouse Electric Company, LLC; Molycorp, Inc; Alpha Natural Resources, Inc.; Energy Future Holdings Corp.; Hovensa, LLC; New Page Corporation; Eastman Kodak Company; Lyondell Chemical Company; Tronox LLC; Autobacs Strauss, Inc.; BearingPoint, Inc.; Northwest Airlines, Inc.;CPI, Inc.; Farmland Industries, Inc.; and Genuity, Inc.
Complex Fraudulent Transfer and Preference Claims
Mr. Barney represents corporate directors and officers who are sued, typically following the bankruptcy of the corporation, for breach of duty, negligence, and related claims brought by lenders, trustees, and committees seeking to recover losses arising from the insolvency proceeding.
Ponzi Scheme Litigation
Mr. Barney has represented both plaintiffs and defendants in all manners of complex fraudulent transfer and preference claims. He successfully defended a major telecom client in a $50 million preference claim, and, on multiple occasions, has managed portfolios of hundreds of avoidance claims for trustees and debtors, most recently on behalf of the DBSI, Inc. trusts.
Contested Chapter 11 Plan Confirmations
A growing focus in insolvency litigation over the past decade has been the proof of Ponzi schemes as the basis for proving debtors’ actual fraud, thereby expediting the proofs in fraudulent transfer and securities fraud claims. Mr. Barney and the Financial Restructuring & Creditors’ Rights Litigation Team have been the vanguard of the firm’s efforts in this area.
Mr. Barney is experienced in proving the requisites for confirmation of plans of reorganization in chapter 11 cases, including all aspects of expedited discovery and expert proofs.