Northshore Mainland Services - Baha Mar

Representation of Northshore Mainland Services, a U.S. subsidiary of the $3.5 billion Baha Mar resort and casino project in the Bahamas, along with several other affiliate companies, as co-counsel in its chapter 11 case in the District of Delaware. Based in Delaware, the company filed its chapter 11 bankruptcy case in June 2015 after substantial and repeated delays in the construction of the resort. Baha Mar’s creditors and the Bahamian government requested that the chapter 11 case of Northshore Mainland Services be dismissed and advocated for a solution under Bahamian law. In September 2015, the Delaware bankruptcy court judge dismissed the majority of the chapter 11 cases for Baha Mar, while ruling in favor of Northshore Mainland Services by declining to dismiss its case. While Baha Mar’s creditors argued that the chapter 11 filings were a bad-faith litigation tactic to avoid insolvency proceedings in the Bahamas, the court found that Baha Mar’s decision to seek chapter 11 protection in order to reorganize its financial affairs and complete the project, rather than liquidating, was in the interest of all stakeholders.