Clay J. Pierce

Finance Litigation

Clay has nearly three decades of experience prosecuting and defending claims relating to a wide variety of corporate finance transactions, including bank loans, bond debt, leveraged buyouts and structured finance deals. Clay represents some of the country’s largest corporate and consumer finance companies and trustees, along with many individual asset management firms, investment funds and bond holders. He frequently represents parties in bankruptcy adversary proceedings, on both trial and appeal. Clay also represents lenders facing both individual and class action claims relating to student loans and credit card debt.

Recent Finance-Related Matters

• Prosecuting “trust instruction” proceedings by one of the country’s largest RMBS trustees concerning its allocation to competing groups of certificate holders of $420 million in payments on mortgage loans modified following the 2008 financial crisis. Obtained final judgment confirming propriety of client’s accounting practices following four years of litigation and a three-and-a-half-week bench trial.
• Defending securities intermediary in multiple actions arising from its administration of client accounts allegedly in receipt of “stranger-originated” life insurance policy benefits. 
• Defended international investment funds against claims by the Republic of Kazakhstan arising from allegedly “fraudulent” $500 million arbitration award based on Kazakhstan’s wrongful expropriation of privately held oil assets. All claims against clients dismissed prior to discovery. Decision subsequently affirmed on appeal.
• Defended leading student lender against multiple individual and class action suits alleging improper debt collection activities post-bankruptcy. All cases settled for no or de minimis liability following client’s filing of motion for summary judgment.
• Defended $50 million fraud suit by two offshore CDO funds (each formerly controlled by Patriarch Partners and Lynn Tilton) against the CEO and Chairman of a failed Chinese media conglomerate (Xinhua Sports & Entertainment Ltd.). Obtained orders dismissing all but one of plaintiff’s claims on the pleadings, striking all references in complaint to parallel criminal proceeding against client, and striking plaintiffs’ jury demand. Orders affirmed after interlocutory appeal. Remaining fraud claim voluntarily dismissed following plaintiffs’ filing for bankruptcy.
• Prosecuted suit by unsecured bondholders against Caesars Entertainment Corporation based on violations of the Trust Indenture Act. Obtained settlement for clients worth over six times the amount at which their bonds were trading at the commencement of litigation.

Energy Litigation

Clay also represents parties in disputes concerning energy projects, including arbitrations between equity investors, project developers, lenders and utilities. Prior matters include claims relating to power purchase transactions, hedge and other derivatives trades, project financing and project construction.

Recent Energy-Related Matters

• Advising country’s largest independent renewable energy developer in disputes concerning $1 billion generation and transmission joint venture agreement.
• Prosecuting and defending claims for multiple clients based on alleged breaches of Virtual Power Purchase Agreements with renewable energy projects.
• Prosecuting claims by international energy trading company against Enviva, Inc. for breaches of multiple long-term biomass supply agreements. Negotiated favorable settlements for certain agreements. Prosecuting bankruptcy claims valued at over $700 million based on remaining contracts.
• Defended indemnification claims by co-owner of gas energy project based on alleged market losses resulting from unscheduled project outages.
• Prosecuted suit by Indiana wind project against the country’s largest utility based on breach of 20-year power purchase agreement. Negotiated advantageous settlement after Seventh Circuit granted summary judgment for client on all liability issues.
• Defended arbitration claims against equity investors in renewable energy project based on dispute over the calculation of internal rate of return thresholds. Obtained final award for clients after multiple rounds of briefing and discovery.