Wilmington, DE (PRWEB) March 16, 2007
Joseph A. Malfitano recently successfully mediated the contentious dispute between Montgomery Ward, LLC and OTC International, Ltd., which has been ongoing for over four years.
The dispute arose after Montgomery Ward commenced an adversary proceeding in the United States Bankruptcy Court for the District of Delaware on September 25, 2002 against OTC in an effort to avoid and recover approximately two million dollars in certain alleged preferential transfers (Adv. Case No. 02-9282 (RTL)). After four days of trial, two in August 2005 and two in July 2006, the Bankruptcy Court ultimately ruled in favor of OTC and found that there was no cause of action based on the ordinary course of business defense under section 547(c)(B) and (C) of the Bankruptcy Code. Montgomery Ward appealed the various decisions to the United States District Court for the District of Delaware (Case No. 06-639).
As a member of the Bankruptcy Appellate Mediation Panel for the United States District Court for the District of Delaware, Malfitano was appointed and charged with trying to bring peace to the situation. After an extended mediation session, the parties were able to bridge the gap to resolve their disputes to avoid further litigation in the District Court.
"Successful mediations are ones in which, the parties engage in reasoned discussions of the issues that separate them, of options for settlement, and of the risks, opportunities and costs that each party faces if a settlement is not reached," said Joe Malfitano. "This was a successful mediation"
About Young Conaway Stargatt & Taylor, LLP
Young Conaway Stargatt & Taylor, LLP, one of Delaware's largest law firms, counsels and represents national, international and local clients, handling sophisticated advisory and litigation matters involving bankruptcy, corporate law and intellectual property. Malfitano is an attorney in the Bankruptcy and Corporate Restructuring section at Young Conaway and a member of the Appellate Mediation Panel for the United States District Court for the District of Delaware and the mediation panel for the United States Bankruptcy Court for the District of Delaware. Malfitano conducts mediations in Young Conaway's Wilmington, DE office or in the firm's dedicated workspace in Midtown, Manhattan.