Michael S. Budwick

Partner and Co-Chair, Financial Fraud Group

Commercial Litigation, Bankruptcy and Restructuring, Financial Frauds, Receivership and Assignments Creditors’ Rights

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About Michael S. Budwick

Michael S. Budwick is regularly involved in the most contentious and complex litigation and insolvency matters, having successfully litigated or resolved a broad array of commercial disputes including claims for lender liability, breach of fiduciary duty, negligence, fraud, aiding and abetting, professional malpractice, equitable subordination, breach of contract, usury and fraudulent transfer.

Michael has broad experience in all aspects of bankruptcy and related business litigation disputes. His significant Chapter 11 reorganization experience includes representation of debtors, official committees, creditors and trustees in cases involving a wide range of industries. He has extensive experience in financial fraud cases and has represented trustees, receivers, creditors and victims in some of the largest, most high-profile financial fraud cases in Florida as well as nationally. As one example, Michael recovered $49,000,000 from General Electric Capital Corporation, one of the largest tort recoveries ever against a financial institution in connection with its joinder in a Ponzi scheme. And in the Petters Company, Inc. $2 billion Ponzi scheme, Michael serves as litigation oversight counsel coordinating strategy and managing several law firms that are collectively pursuing hundreds of millions of dollars in litigation claims.

Michael is listed in Band 1 – the highest placement – in the Bankruptcy & Restructuring category of the 2017 Chambers USA Guide, a prestigious ranking of the top attorneys in the country. He has been recognized since 2005 in Chambers as a top bankruptcy and restructuring lawyer and rated highly for his expertise in financial fraud. The 2017 guide mentions that he “excels in bankruptcy and related commercial litigation” and is “noted for his expertise in Chapter 11 reorganization matters, with experience representing debtors, trustees and commercial committees.” It also reports that he is considered “an amazing lawyer.” Through Chambers, clients have described him as “an incredibly competent and tenacious litigator.”

He has served on the National Council, the Miami Executive Council and the Miami Beach Board of the American Israel Public Affairs Committee. Michael, his wife and their three children reside in Miami Beach and are active members of several area synagogues.

Education

  • University of Florida College of Law, J.D. with honors, 1991
  • University of Florida College of Business Administration, B.S. with honors, 1988
  • Beta Gamma Sigma National Honor Society


Memberships 

  • Board Member, Rabbi Alexander S. Gross (RASG) Hebrew Academy
  • Past first Vice-President, Treasurer and Director of the Bankruptcy Bar Association for the Southern District of Florida
  • Past Member of the Florida Bar Grievance Committee


Awards/Rankings

  • Ranked, Chambers USA Guide, Band 1, Bankruptcy & Restructuring
  • Recognized, South Florida Legal Guide 2018, Top Lawyers
  • The Daily Business Review: Most Effective Lawyer 2016 Finalist, Bankruptcy Category
  • AV Preeminent Judicial and Peer Rating by Martindale-Hubbell
  • Recognized as an elite attorney by Florida Trend Magazine
  • Recognized by Florida Super Lawyers
  • The Best Lawyers in America, listed in the practice areas of Bankruptcy and Creditor-Debtor Rights/Insolvency and Reorganization Law (2010-18)

Practice Areas

Representative Matters

Bankruptcy and Restructuring, Financial Frauds, Commercial Litigation, Creditors' Rights

Represent bankruptcy trustee for two South Florida-based hedge funds that lost $651 million in a multi-billion Ponzi scheme perpetrated by Thomas J. Petters in Minneapolis, the third-largest financial fraud in American history. Successfully prosecuted over 100 actions and claims against banks, law firms, accounting firms and others, recovering in the aggregate well over $200,000,000, including $49,000,000 from General Electric Capital Corporation and $16,000,000 from BMO Harris Bank, N.A. Represent client as a member of the Petters Company, Inc., Liquidating Trust Committee. Served as special counsel to the PCI Liquidating Trust to manage and resolve hundreds of millions of dollars in litigation claims.

Bankruptcy

Confirmed Chapter 11 Plan for upscale South Beach restaurant.

Bankruptcy

Representation of affiliate of BBX Capital in connection with protecting its interests as a secured creditor Chapter 11 bankruptcy of Robovault high tech storage facility in Fort Lauderdale.

Bankruptcy and Restructuring

Pan American Hospital - represented the successful purchaser of a landmark operating hospital for over $34 million through a Chapter 11 Section 363 sale.

Bankruptcy and Restructuring

Represented the Official Committee of Unsecured Creditors in the Falcon Air bankruptcy.

Bankruptcy and Restructuring

Represented Creditors Committee in Cabi Downtown, LLC (Everglades by the Bay) twin 49 story downtown Miami condominium towers with over $200 million in debt.

Bankruptcy and Restructuring

Representation of the official committee of unsecured creditors in a Chapter 11 case of sugar processing and retail business

Bankruptcy and Restructuring, Commercial Litigation

Supra Telecommunications & Systems, Inc. - represented the largest CLEC in the Southeastern United States in its Chapter 11 Reorganization, litigating numerous contentious matters with Bellsouth and successfully reducing Bellsouth's claim from approximately $170 million to approximately $37.5 million and ultimately confirmed a plan.

Bankruptcy and Restructuring, Commercial Litigation

New World Network International Ltd. - representation of a group of minority shareholders in a telecommunications Chapter 15 bankruptcy pending in the Southern District of New York and litigated whether a foreign proceeding in Bermuda should be recognized as a main proceeding as well as other venue issues.

Bankruptcy and Restructuring, Commercial Litigation, Creditors' Rights

Condominium Developer Workouts - during the downturn of the real estate and condominium market, represented numerous developers in workouts with senior secured and mezzanine lenders, including, Corus Bank, Fremont, Key Bank and Ocean Bank.

Bankruptcy and Restructuring, Commercial Litigation, Creditors' Rights

New Florida Properties, Inc. (Blue and Green Diamond) - representation of the equity holder and its affiliates in connection with the 630 unit landmark Blue and Green Diamond condominium projects on Miami Beach. Prosecuted tort claims against the senior secured participating lenders, including, Union Planters and Ocean Bank. MRB raised claims against the lenders for equitable subordination and lender liability resulting in the bank group waiving over $6 million in debt and agreeing to permit the equity holder to retain control over the disposition of the units.

Bankruptcy and Restructuring, Commercial Litigation, Financial Frauds

Representation of the Chapter 7 Trustee and Michael Budwick served as the receiver appointed by the United States District Court in a $19 million Ponzi scheme case perpetrated by Thomas Abrams. Brought a variety of litigation claims and reached a multi-million dollar settlement of an aiding and abetting claim against Fidelity Federal Bank & Trust, N.A.

Bankruptcy and Restructuring, Financial Frauds, Commercial Litigation

Represented group of major clawback defendants in Lancer Partners financial fraud case.

Bankruptcy and Restructuring, Financial Frauds, Commercial Litigation, Creditors' Rights

Represented largest creditor in Evergreen Securities bankruptcy in Orlando, Florida, involving $214 million ponzi scheme.

Bankruptcy and Restructuring, Financial Frauds, Commercial Litigation, Creditors' Rights

Represented largest victim in Ponzi scheme perpetrated by Scott Rothstein and Rothstein Rosenfeldt & Adler, P.A. law firm in Fort Lauderdale.

Bankruptcy and Restructuring, Financial Frauds, Commercial Litigation, Creditors' Rights

Puig, Inc. - representation of the Official Joint Committee of Unsecured Creditors and then the Plan Administrator in connection with 26 debtor affiliates in the business of condominium conversions. The asserted unsecured claims exceeded $100 million. Prosecuted claims against third parties include actions for avoidance of transfers, professional malpractice, usury, fraud and breach of fiduciary duty.

Commercial Litigation

Representation of shareholders of close corporation in eight figure settlement of lender liability claims against consortium of financial institutions.

Commercial Litigation

Representation of minority shareholders in derivative action related to corporation holding real estate investments with tens of millions of dollars in equity.

Commercial Litigation, Creditors' Rights

Represented owner of Grand Bay Hotel in Coconut Grove in successful workout with lender.

Commercial Litigation

Representation of the principal of a large South Florida based company accused of breach of fiduciary duty and negligence by the company's creditors.

Commercial Litigation

Represented multiple individual and corporate plaintiffs, including Berjaya Group (Cayman) Limited and Prime Gaming Philippines, Inc. in litigation against Duffy's Holdings, Inc. involving allegations of breaches of a stock purchase agreement regarding the multi-national restaurant chain of Roadhouse Grill, Inc.

Financial Frauds, Bankruptcy

Representation of the chapter 7 bankruptcy trustee of an entity through which its principal operated a $40+ million ponzi scheme. The principal has been sentenced to more than 15 years in prison.

Financial Frauds, Bankruptcy and Restructuring

Court appointed Mark S. Meland as Receiver for Innovida Companies run by Claudio Osorio. After discovering an approximately $50 million fraud, ceased operations and filed Chapter 11 for numerous entities. Mark S. Meland was appointed the Chapter 11 Trustee and liquidated tangible assets. Firm serves as litigation counsel to the Chapter 7 trustee in numerous avoidance and tort actions seeking to collect funds for defrauded investors.

Receiverships and Assignments

A Florida State Court appointed Mark Meland as Receiver over entities controlled by Claudio Osorio, including Innovida Holdings, Inc. The firm represented Mr. Meland in his efforts as Receiver.

Commercial Litigation

Represented a leading real estate brokerage firm in its claims for malpractice, fraud, and breach of fiduciary duty against separate accounting firms and individual accountants. The matter resolved presuit for a confidential amount paid to our client.

Meland Russin & Budwick Partner, Co-Chair of Financial Fraud Group, L...

2019 Chambers USA Guide Ranks Meland Russin & Budwick And It's Attorn...

Miami Lawyers Clinch $49 Million Settlement With GE Capital Over Pett...

General Electric in $49 Million Settlement Over Petters Fraud...

GE Capital Pays $49 Million Over Petters Ponzi Scheme...

2018 Chambers USA Guide Ranks Meland Russin & Budwick And Its Attorne...

Four Meland Russin & Budwick Attorneys, and Bankruptcy and Restructur...

More Than 400 South Florida Legal, Business And Community Leaders To ...

Federal Court To Decide Whether GE Capital Was Complicit In Ponzi Sch...

Judge Won’t Toss Suit Against GE Capital Over $3.6B Scheme...

Lawsuit Against GE Finance Unit Over Petters’ Fraud Heads to Trial...

Petters Ponzi Trustee Sets $160 Million Liquidation...

BMO Harris To Pay $16M To End Petters Ponzi Row...

Law grad duo fights financial fraud on ‘American Greed’...

GE Capital and Petters-related fund in legal battle...

Fulbright Can’t Shake Malpractice Suit Over Petters Scheme...

Another fraud, another missing diamond ring...

Major law firm loses bid to dismiss $718M Ponzi lawsuit for Palm Beac...

Palm Beach Finance can pursue $1B Ponzi claim vs. GE Capital...

Petters, Capmark, AMR, Lehman, Valence, Norse: Bankruptcy...

Court OKs Tom Petters victim’s $1B lawsuit against GE Capital...

Judge Allows Petters Feeder Fund Lawsuit to Move Forward...

Lawsuit Claims GE Capital Could Have Stopped Petters’ Multi-Billion P...

Beach Lawyers Celebrate Milestone...

Meland Russin & Budwick throws party for 20th anniversary...

Kaufman Rossin settles Petters lawsuit...

Developer Meruelo sues Ocean Bank over no construction loan...

DEAL OF THE WEEK: Riviera Preparatory buys site for school...

Ocean Bank to pay $4.9M in Puig settlement...

Judge grants confidentiality to Ocean Bank in Puig litigation...

Ocean Bank: Judge rules creditor lawsuit can go forward...

Ocean Bank: ‘Creditors haven’t justified the complaint’, lawyer says...

Puig creditors point finger at Ocean Bank...

Legal spats nip at Puig Inc....

West Palm Beach bank makes payout to swindled investors...

Supra’s reorganization plan passes...

Fidelity to pay $2.25 million in Pheonix deal...

Buyout firms win auction for Supra...

Supra Telecom names possible buyer for $26M...

Bids due for Supra...

Supra wins OK to hire investment banker to seek buyer...

Supra, in bankruptcy, allowed to launch search for buyer...

Supra Telecom bankruptcy case anything but friendly...

Judge rejects Supra sale, says bankrupt firm should be shopped around...

Michael Budwick merges with firm to form Meland Russin & Budwick...