Dewey Manages Two Extra Weeks for Bankruptcy Funding
Download PDF
1 Star2 Stars3 Stars4 Stars5 Stars (No Ratings Yet)

On Tuesday, Bankruptcy Judge Martin Glenn approved a court filing of Dewey requesting an extension of its funding deadline, which was scheduled to lapse on Tuesday. The extra two weeks Dewey received would help the now defunct law firm some more time to come to a settlement with its former partners and avoid protracted legal battles. Judge Glenn extended the funding deadline of Dewey to Aug.15 as the request also had support from Dewey’s lenders who are allowing the firm to use money pledged to them as collateral.

Dewey is trying to claw back proceeds of “unfinished business” as well as payments made to its former partners in an effort to pay back creditors of the firm. Currently, Dewey has offered a revised version of its original offer for settlement made to former partners. The initial offer for settlement had a target amount of $104 million. Under the new offer, payments made by former partners would range between $5000 and $3.5 million with a maximum targeted recovery amount of $90.4 million.

If the settlement talks fail this time, it is highly unlikely that Dewey’s lenders would continue to fund the Chapter 11 bankruptcy, and it is possible that the case would be converted to liquidation under Chapter 7. Under Chapter 7, a court-appointed trustee would take control of the assets of the firm and would initiate and pursue claw-back claims.


Under the initial settlement offer made by Dewey to its former partners, the deadline had been sent for July 24. However, considering issues raised by former partners, the firm altered the offer of settlement and asked its lenders and the court for an extension.



Corporate and Federal Taxation Attorney

USA-NC-Winston Salem

Spilman Thomas & Battle, PLLC is currently seeking an experienced corporate and federal taxation att...

Apply now

Associate Principal Data Analyst, Data Privacy


The Data Privacy & Protection Office (the Privacy Office) is responsible for ensuring that FINRA mee...

Apply now

Principal Counsel, Ethics


The Ethics / Code of Conduct Office (the Ethics Office) is responsible for ensuring that FINRA execu...

Apply now

Associate General Counsel, Labor & Employment


The Associate General Counsel, Labor and Employment provides legal counseling to the company on empl...

Apply now




Search Now

Family Law and Estate Planning Attorney


Nashua office of our client seeks family law and estate planning attorney with 3-10 years of experie...

Apply Now

Civil Defense Attorney


Waukesha office of our client seeks civil defense attorney preferably with 7 years of litigation exp...

Apply Now

Senior Litigation Associate Attorney


Atlanta office of our client seeks senior litigation associate attorney with 8+ years of experience ...

Apply Now

Most Popular


To Top