Reid Collins & Tsai LLP

Managing Partner: Lisa S. Tsai

Senior Partners: William T. Reid IV, Eric D. Madden, Rachel S. Fleishman, Marc Dworsky, Craig A. Boneau, Joshua J. Bruckerhoff, Nathaniel J. Palmer, Gregory S. Schwegmann, Keith Y. Cohan

Number of partners: 28

Number of lawyers: 38

Languages: English, German, Mandarin, Spanish

Firm Overview:

Reid Collins & Tsai LLP (“Reid Collins”) is a leading US trial boutique handling complex commercial litigation, particularly claims arising out of financial fraud. Key clients include hedge funds, corporations, offshore liquidators, and bankruptcy trustees. Based in Austin, Texas, with offices strategically located in Dallas, New York, Washington, D.C., and Wilmington (Delaware), Reid Collins is unique in several respects, including: (1) its extensive experience with high-profile cases involving large-scale financial fraud or insolvency; (2) its expertise in successfully pursuing claims against officers, directors, accountants, lawyers, and investment banks relating to the underlying fraud or misconduct; and (3) its willingness to pursue those claims on an alternative fee basis. Over the past few years alone, the firm has obtained over $2 billion in total judgments and settlements for its clients. Among other industry honors, Reid Collins has been recognized as a ‘Recommended Firm’ by Chambers USA, a ‘Top 10 Plaintiffs Firm’ in the US by Benchmark Litigation, and the top ‘Business Torts’ law firm in the US by the National Law Journal.

Main Areas Of Practice:

-Complex Commercial Litigation

-Bankruptcy-Related Litigation

Representative Matters

Complex Commercial Litigation:

• Won a nine-figure judgment for Highland Capital against Credit Suisse following jury and bench trials and multiple wins on appeal of fraud and breach of contract claims related to syndicated loan for developers of Lake Las Vegas resort. Pending appeal.
• Procured a $300 million settlement on behalf of minority shareholders of Renren, Inc. from China-based insiders who attempted to pilfer the company’s billion-dollar investment portfolio. In addition to this financial recovery, the case set key precedent protecting investors from cross-border fraud and financial misconduct.
• Obtained recoveries of nearly $100 million in resolving claims under the Fraud Against Taxpayers Acts of multiple US states against several large Wall Street banks related to fraudulent misrepresentations from financial crisis era sale of RMBS (residential mortgage-backed securities).
• Represented Seahawk Drilling Company with respect to claims against BP plc related to the Deepwater Horizon incident; claims selected for trial as a test case in the MDL proceedings and were later resolved in a confidential settlement.
• Defeated motion to dismiss and resolved class action alleging that Advocare International, LP operated as an illegal pyramid scheme in violation of state and federal law, including the Racketeer Influenced and Corrupt Organizations (RICO) Act.
• Recovered hundreds of millions of dollars for clients prosecuting legal malpractice and related claims against more than 20 of the top (AmLaw 100) US firms in actions arising from a wide variety of professional misconduct.

Contact: William T. Reid IV

Tel: +1 512 647 6105

Email: [email protected]

Bankruptcy-Related Litigation:

• Won landmark decision before the U.S. Supreme Court, restricting the scope of the section 546(e) ‘safe harbor’ defence to fraudulent transfer claims, and thereby overturning long-standing and expansive interpretations of that defence by five circuit courts.
• Won $175 million judgment from Directors of Insys Therapeutics in civil litigation arising from the company’s bankruptcy. Insys, a former public company that marketed and sold a highly addictive fentanyl spray, became the target of multiple criminal and civil proceedings before collapsing into bankruptcy due the alleged misconduct and unlawful marketing schemes of management, which contributed to the nation’s opioid crisis and the demise of the company.
• Obtained a $23.6 million settlement on behalf of the Official Committee of Unsecured Creditors of Central Grocers, Inc., with respect to fraudulent transfer claims against a group of six banks, including PNC Bank, Bank of America, and US Bank.
• Represented litigation trustee prosecuting a legal malpractice action related to failed pursuit of a $300 million preference claim in Lyondell’s bankruptcy proceeding, resulting in confidential settlement between the parties.
• Represented litigation trustee of GT Advanced Technologies Inc., a former publicly traded company, against GTAT’s former officers related to a failed $1 billion contract with Apple to manufacture sapphire display screens for the iPhone; claims resolved via confidential settlement.
• Representing Official Committee of Unsecured Creditors of Fresh & Easy, LLC, with respect to claims against the former insiders — including billionaire Ronald Burkle — for breach of fiduciary duty and fraudulent transfer of certain assets; achieved $21.5 million settlement as well as release of $104 million in claims against the estate, doubling projected distributions to creditors.
• Representing Cayman Islands liquidators for offshore investment funds against former auditor, obtained important appellate victory in the New York court narrowing the scope of the in pari delicto defence, which has long prevented meritorious lawsuits against third parties who facilitate financial fraud. Settled confidentially on eve of trial.
• Representing National Association of Bankruptcy Trustees, as amicus curiae, in Fifth Circuit appeal arising from the $7 billion Ponzi scheme of Allen Stanford/Stanford International Bank; obtained important ruling restricting scope of good-faith defence to fraudulent transfer claims.

Contact: Eric D. Madden

Tel: +1 214 420 8901

Email: [email protected]