Michael Goguen Montana, Under Armour Cheerleading Uniforms Catalog, Articles W

Despite that agreement in principle, it was alleged in relevant part that: Unable to agree on the release and indemnification issue, SportCos out-of-court restructuring failed, and SportCo defaulted on its funded debt shortly thereafter. The principal and lead portfolio manager at Wellspring Capital is Avrohom Neumann. The courts analysis of the duty of loyalty claim can be fairly characterized as limited, consisting of four short paragraphs that largely restate or simply quote the complaint. Wellspring Capital Management LLC Chief Executive Officer Bill Dawson has taken a leave of absence, days after a former employee alleged in a lawsuit that he threatened her for accusing his son of sexual assault. Wellspring Capital Management is a middle-market private equity financing firm. Angel, Fund of Funds, Venture Capital), General contact email for the organization. They are not actionable. Id. See Scheidelman v. Henderson (In re Henderson), 423 B.R. In considering whether to grant a motion to dismiss under Rule 12(b)(6), the court may take judicial notice of matters of public record and may consider documents attached to the complaint and the motion to dismiss, "so long as they are integral to the complaint and authentic." Otherwise you cannot get paid." For the reasons set forth above, the first, second, and third causes of action set forth in the plaintiff's amended complaint fail to state claims for which relief can be granted. The firm prefers to invest in the business services, industrial, packaging, healthcare services, restaurants . The United States Court of Appeals for the Third Circuit wasted no time getting the new year off to a roaring start through its ruling in In re LTL Mgmt., LLC, Case No. The defendant represented to the plaintiff, and to an appraiser who performed an appraisal of the garage, that the parking garage had 500 parking spaces. Wellspring CEO Bill Dawson is taking a leave of absence, the firm said Tuesday Last week a shocking lawsuit was filed against his son Christopher It claims he drugged and violently raped and. See Francis v. Giacomelli, 588 F.3d 186, 192 (4th Cir. Time to Read: 6 minutes In the legal profession, information is the key to success. Our returning and new limited partners share our belief in the unique value proposition that Wellspring brings to the investment process, with our focus on strategic partnership and tailored approach to each investment. Founded in 1995, Wellspring invests anywhere . The origins of Wellspring Philanthropic Fund are shrouded. These emails may be a lot of things, but negligent misrepresentations they are not. Wellspring Capital Management, founded in 1995, is a middle-market private equity firm that has approximately $2 billion of private equity capital under management. The firm's objective is to . Fund VI brings the firm's assets under management to more than $4.4 billion. Sav. Wellspring Capital Management Group LLC ("Wellspring"), a New York-based private equity firm, announced that on May 29, 2020, it closed the acquisition of Steele Solutions, Inc. ("SSI" or the "Company"), a value-add supplier into the industrial automation sector. Wellspring Capital, through defendants Mr. Carles and Mr. Johnson, allegedly represented to Prospect that: (1) Ellett could purchase assets of AcuSport for $14.8 million; (2) the purchase would result in the Debtors' capturing 20% to 30% of AcuSport sales; (3) the Debtors could acquire $14 million of AcuSport inventory at a substantial discount; and (4) Ellett would immediately realize a $7 million profit on the sale of the inventory acquired in the purchase. Id. All rights reserved. Litigation. Particularly where negotiations may involve releases, indemnification, or similar provisions, be advised that the ever-present tendency for counterparties to exercise 20/20 hindsight is fully in effect. 89], Charles E. Walker, Jr. [Docket No. 2020) (quoting Ashcroft v. Iqbal, 556 U.S. 662, 678 (2009)). Wellspring has the flexibility to complete transactions ranging from $100 million to as much as $1.5 billion in total value in a wide range of industries. In support of this argument, the plaintiff cites a case from the United States District court for the District of Idaho, which was affirmed by the Ninth Circuit, as well as a case from the United States Bankruptcy Court for the Southern District of Texas, in which the court stated that 544(b) claims are unique "because they exist only to the extent of applicable state law," but then found, "Even so, such claims are not pendant state claims in federal bankruptcy cases, but are federal causes of action rooted in federal bankruptcy law and policy." 1988) (adopting rule from Klaxon Co. v. Stentor Electric Manufacturing Co., 313 U.S. 487 (1941) stating that a federal court sitting in diversity should apply the choice of law rules of the state in which it sits). EFFECTIVE DATE; SEC: Terminated: 3/2/2007: In 2010, Bain Capital acquired the company for US$1.8 billion. In early 2018, Wellspring Capital notified SportCo's secured lenders that SportCo would default on a $4.7 million interest payment due in the second quarter of 2018. Under certain conditions, section 548 allows the avoidance of a transfer made within two years of the date of the filing of the bankruptcy petition. The Court further notes that here, section 548 is not available to the plaintiff due to the timing of the transfers and the bankruptcy filings. For the reasons set forth below, under the law of either state, the plaintiff's first and second causes of action must be dismissed. Middle Market Private Equity. In June 2019, SportCo and its subsidiaries (the "Debtors") filed chapter 11 bankruptcy cases in the United States Bankruptcy Court for the District of Delaware. The defendants filed separate motions. Since its founding in 1995, Wellspring has raised over $4.0 billion of initial capital commitments through . Wellspring Capital Management is an American private equity firm focused on leveraged buyout investments in middle-market companies across a range of industries. These facts, as recited in the complaint, are taken as true for purposes of the motions to dismiss. 0 541, 546 (Bankr. We are motivated and incentivised to succeed. The United States District Court for the District of South Carolina found in a fraudulent conveyance case, relying on Terry v. Walker, that South Carolina conflict of law rules should apply to determine the applicable substantive law. At all times relevant to these claims, Wellspring Capital controlled (a) Wellspring Capital Partners Tex. App'x 143 (4th Cir. UNITED STATES BANKRUPTCY COURT DISTRICT OF SOUTH CAROLINA. Contribute to chinapedia/wikipedia.en development by creating an account on GitHub. The Wellspring Defendants asserted all of these arguments and also asserted failure to state a claim under section 550 against certain defendants. Try our Advanced Search for more refined results. 93], and Bradley Johnson [Docket No. The middle-market private equity firm invests in companies with strong business . Since its founding in 1995, Wellspring has raised over $4.5 billion of initial capital commitments through six private equity funds. [Amended Complaint, 49]. The firm's objective is to bring partnership, experience and value creation to each investment. Casetext, Inc. and Casetext are not a law firm and do not provide legal advice. Id. Whether youre building capital for your family, retirement or other life goals, we can help you with our high conviction and disciplined investment style. Wellspring has earned the reputation as a trusted, reliable partner and is often the preferred partner of a portfolio companys senior management team. The defendants' remaining arguments need not be addressed. 2005)). We believe that this breadth and depth of experience enables the team to efficiently evaluate and complete acquisition opportunities across a broad range of industries. . Wellspring has one of the best track records in middle-market private equity; its people, capital and reputation bring certainty to transactions. The firm functions as a strategic rather than tactical partner, providing management teams with top-line support, M&A experience and financial expertise, and access to resources. You have to know whats happening with clients, competitors, practice areas, and industries. Further, if the statement is solely a speculative prediction about some potential business venture or course of action being contemplated, it is not actionable. Designed By BM Designs. The Court now issues this order, granting the motions to dismiss for the reasons set forth below. Twitter Revenue, Earnings Fell About 40% in December, WSJ Says, John Malone andCharter Directors Agree to $87.5 Million Settlement, China E-Commerce Giant JD Set for $1.4 Billion Discount Spree, Between Rounds of Golf, Trumps Searching for the Perfect DeSantis Diss, Your Saturday UK Briefing: Sunak Chalks Up a Win as the Budget Looms, Harrods Shrugs Off Recession Fears as Rich Get Richer, FT Says, Wealthy NYC Family Feuds Over $258 Million Madison Avenue Sale, Tom Sizemore, 'Saving Private Ryan' Actor, Dies at 61, The Exhibit Reality TV Show PittingArtist Against ArtistIs No Masterpiece. For example, the October 27, 2017 email stated, "The only way to optimize is to merge with Acusport." The December 26, 2017 email stated, "So you will waive [your interest payments]. The amended complaint also details numerous emails sent by Mr. Carles and Mr. Johnson to a representative of Prospect, urging Prospect to defer its right to payment in the event of a default. The Company specializes in private companies buyouts, acquisitions of divisions and subsidiaries of public companies, and going . At the conclusion of the hearing, the Court took the motions under advisement. 1997) (citing Bannister v. Hertz Corp., 316 S.C. 513 (Ct. App. The plaintiff's first and second causes of action both assert claims for fraudulent conveyances pursuant to 544(b) and S.C. Code 27-23-10. Designed By, https://www.wellspringcapital.co.uk/disclaimer. The 2011 Wellspring Capital Partners V LP was fully invested at $1.2 billion and has generated positive returns for its investors to-date. David R. Duncan US Bankruptcy Judge District of South Carolina. Wellspring Capital Management is a leading private equity firm headquartered in New York. [Amended Complaint, 31]. Wellspring Capital Management is a leading private equity firm headquartered in New York. Similarly, Merritt Dredging suggests that federal law would apply to a section 548 cause of action, but that state law should apply to fraudulent conveyance claims based on state law. GitHub export from English Wikipedia. Investments Number of Investments 2 Wellspring Capital Management has made 2 investments. S.D. Federal Rule of Bankruptcy Procedure 7012(b). Accordingly, SportCo began negotiations with certain of its lenders around a potential restructuring transaction. Asia Pacific; EMEA; Latin America; UK Solicitors; UK Bar; United States Flipbooks. The court considered whether the plaintiff had proved the tort of innocent misrepresentation. Hiding negative complaints is only a Band-Aid. Wellspring Capital Management is a middle-market private equity firm that has approximately $2 billion of private equity. To summarize New York law, then, it appears that opinions can be actionable, but are not always actionable. Accordingly, Wellspring did not find that the defendants in fact breached their duties, but rather held that the plaintiff, a litigation trust, had asserted a viable claim that could proceed to a trier of fact. . The Wellspring ruling was not appealed, nor has any trial occurred on this matter. Id. 598, 614 (Bankr. The choice of law provision in the Loan Agreements states: In October 2017, Wellspring Capital was contemplating a purchase of AcuSport, a competitor, by Ellett, for $14.8 million. Click here to login, 2023, Portfolio Media, Inc. | About | Contact Us | Legal Jobs | Advertise with Law360 | Careers at Law360 | Terms | Privacy Policy | Cookie Settings | Help | Site Map, Enter your details below and select your area(s) of interest to stay ahead of the curve and receive Law360's daily newsletters, Email (NOTE: Free email domains not supported). Wellspring Capital Management is an American private equity firm focused on leveraged buyout investments in middle-market companies across a range of industries. Founded in 1995, Wellspring Capital Management is a private equity firm headquartered in New York, New York. A social media content creator signed an agreement with Birchbox in May of 2022 and hadn't been paid the $2,500 due as of Jan. 24, despite several emails to the company. The Partners of Wellspring constitute a long-tenured team, having worked together an average of 15 years over three funds. In Sheldon, the defendant, a New York citizen, assigned some personal property to Mr. Dickinson. This preference is a result of the Firms differentiated and conservative approach to leverage, in addition to a transparent oversight model, which is driven by our small group of senior professionals and absence of bureaucracy. Menu Home; Rankings. Federal Rule of Bankruptcy Procedure 7012(b) provides that Federal Rule of Civil Procedure 12(b) applies in adversary proceedings. You can help Wikipedia by expanding it. Martin Davis, 72; Created Modern Paramount, "Financial Firm Wellspring Capital to Take Penthouse at 605 Third Avenue", "Wellspring Capital Management taps $1.45bn Fund VI for Cadence Petroleum Group buyout", "SupplyOne Acquires Fellow Packaging Distributor Romanow Container", "Healthcare & Life Sciences Private Equity Deal Tracker: Wellspring Acquires Pentec Health", https://en.wikipedia.org/w/index.php?title=Wellspring_Capital_Management&oldid=1118006247, This page was last edited on 24 October 2022, at 18:15. The amended complaint asserts three causes of action: (1) avoidance and recovery of fraudulent transfers by Ellett against the Transferee Defendants pursuant to 11 U.S.C. Since its founding in 1995, Wellspring has raised over $4.5 billion of initial capital commitments through six private equity funds. 1996)). Id. An action with multiple causes of action was commenced by Prospect Capital Corporation in South Carolina state court and was removed to this court on September 6, 2019. Use tab to navigate through the menu items. REGISTRATION STATUS. Wellspring Capital Management, founded in 1995, is a leading middle-market private equity firm that manages more than $3 billion of private equity capital. The plaintiff, Ronald J. Friedman, the trustee for the SportCo Creditors' Liquidation Trust, filed an omnibus response to the motions to dismiss [Docket No. Id. [Amended Complaint, 37, 40]. Musk Made a Mess at Twitter.