The Client
Professional Bull Riders (PBR) is a leading sports organization dedicated to promoting and growing the sport of professional bull riding. As a major creditor in the MSM bankruptcy, PBR sought to protect its contractual rights and financial interests.
The Challenge
MSM filed for Chapter 11 bankruptcy in what PBR and other creditors argued was a strategic move to shift assets to Dr. Phil’s new company while leaving creditors unpaid. The case involved complex bankruptcy law, allegations of evidence destruction and high-profile parties, all under intense media scrutiny.
The Approach
Benesch built a compelling case that MSM’s bankruptcy filing was in bad faith. The team presented evidence of intentional misconduct, including the destruction of key documents and the orchestration of a new, nearly identical media company. The trial required meticulous preparation, strategic bankruptcy guidance and seamless collaboration among Benesch’s litigation and bankruptcy teams.
The Solution
During a multi-day bench trial, Benesch’s team delivered clear, persuasive arguments and highlighted the improper actions taken by MSM and Dr. Phil. The court issued a comprehensive three-hour oral ruling, finding in favor of PBR and other creditors on all issues. The judge ordered the conversion of the case to Chapter 7, appointing an independent trustee to safeguard MSM’s assets for all creditors.
The Outcome
PBR prevailed completely. The court’s decision not only protected PBR’s interests but also set a strong precedent against using bankruptcy as a tool to sidestep contractual obligations. The ruling was widely covered by major media outlets, underscoring its significance in the business and legal communities.
This victory secured PBR’s financial interests and reinforced its ability to enforce contracts. The outcome also supports PBR’s ongoing mission to grow and protect the sport of professional bull riding.