PWK’s David Shemano Leads Club Ventures/DavidBartonGym Through Chapter 11 Plan Confirmation
PWK’s Reorganization Counsel Achieves Timely and Efficient Plan Confirmation
Approved Plan Places High-End Health Club Back on Track for Expansion
Los Angeles – September 2011– Peitzman, Weg & Kempinsky LLP partner David B. Shemano led client Club Ventures Investments LLC, owner of the upscale health clubs DavidBartonGym, to confirmation of its reorganization plan on Friday, September 23, 2011 in the U.S. Bankruptcy Court, Southern District of New York. News of the plan’s confirmation was recently reported by Bloomberg Businessweek and The Deal Pipeline.
PWK’s Shemano counseled the company through the chapter 11 process, which commenced in March 2011. Additional PWK attorneys on the restructuring team were Monsi Morales and Kathryn F. Russo. Jonathan Flaxer of Golenbock Eiseman Assor Bell & Peskoe LLP, and Duane Stullich of FocalPoint Securities LLC, served as local chapter 11 counsel and financial adviser, respectively.
“Our client’s intent at the time of filing chapter 11 was to renegotiate unprofitable leases, restructure the balance sheet, and exit chapter 11 as a healthy and profitable company going forward. We are pleased to have helped the client satisfy its goals in a timely and efficient manner,” said Shemano.
The successful completion of the reorganization process will strengthen Club Ventures’ strategic alliance with Bodies In Motion and Meridian Sports Club. Two new DavidBartonGym locations in Los Angeles and one in Las Vegas are expected to open in the coming months and will expand the health club’s current four-city national footprint.
PWK’s representation in Club Venture’s successful restructuring is among several recent high-profile chapter 11 cases in which PWK attorneys acted as debtor counsel. The firm’s current and recent chapter 11 cases include representing multiunit El Pollo Loco and Kentucky Fried Chicken franchisees, hair care product manufacturer Sexy Hair, and Halcyon Holding Group, holder of the rights to the “Terminator” movie franchise.
The case is Club Ventures Investments LLC, 11-10891, U.S. Bankruptcy Court, Southern District New York (Manhattan).