Mr. Klestadt has been practicing in the fields of bankruptcy, workouts, corporate reorganizations and commercial law for almost 40 years and has been involved in many prominent national and local cases representing institutions, businesses and individual clients from a wide range of industries.
Mr. Klestadt has represented parties on all possible sides of bankruptcy cases, including debtors, secured creditors, unsecured trade creditors, creditors’ committees, lessors and lenders, real estate developers, management companies, mortgagees, landlords, condominium and co-operative apartment corporations and more. He brings a unique, practical business perspective to resolving complex situations, maximizing asset valuations and minimizing losses.
Prior to founding his own firm in February 1995, Mr. Klestadt practiced with the bankruptcy group of LeBoeuf, Lamb, Greene & MacRae, L.L.P., a national law firm. He is a member of the panel of mediators certified by the United States Bankruptcy Court for the Southern District of New York. Martindale-Hubbell Law Directory has awarded Mr. Klestadt its highest rating, signifying that his legal abilities and professional ethics meet the highest standard as measured by members of the Bar.
Education:
University of Chicago Law School
Columbia University
Bar and Court Admissions:
State of New York
State of New Jersey
U.S. District Courts for Southern and Eastern Districts of New York and for the District of New Jersey
U.S. Court of Appeals for the Second Circuit
Professional Affiliations/Memberships:
American Bankruptcy Institute
American Bar Association
Significant Representations:
- Weiss Multi-Strategy Advisors LLC and affiliates as Debtors’ counsel in their Chapter 11 case in the United States Bankruptcy Court for the Southern District of New York.
- Plan Administrator for EXPRESS under its confirmed Chapter 11 plan in the United States Bankruptcy Court for the District of Delaware after representing Manchu Times Fashion Ltd. as Chair of the Official Committee of Unsecured Creditors.
- RFR/K Prospect Owner LLC as landlord creditor in the Chapter 11 case of 2U, Inc. in the United States Bankruptcy Court for the Southern District of New York.
- NJ Mobile Healthcare LLC and affiliates as Debtors’ counsel in the Chapter 11 case in the United States Bankruptcy Court for the District of New Jersey.
- Bepensa Capital, Inc. in its acquisition of the membership interests of Credito Real USA Finance, LLC in the Chapter 15 case of Creditor Real, S.A.B. de C.V., SOFOM, E.N.R. in the United States Bankruptcy Court for the District of Delaware.
- Plan Administrator of Evergreen Gardens I, LLC under its confirmed Chapter 11 plan in the United States Bankruptcy Court for the Southern District of New York
- HBL SNF, LLC, a skilled nursing home facility located in White Plains, New York, in its small business Chapter 11 (Subchapter V) bankruptcy case in the United States Bankruptcy Court for the Southern District of New York.
- The Residential Board of Managers of the Millennium Point Condominium in the Chapter 11 case of Urban Commons 2 West LLC (the former Wagner Hotel and Ritz-Carlton Hotel) in the United States Bankruptcy Court for the Southern District of New York.
- YH Lex Estates LLC as judgment creditor pursuing fraudulent transfer claims in the Chapter 7 cases of EAM Meadow Lane LLC and EZL Meadow Lane LLC in the United States Bankruptcy Court for the District of Delaware and related Chapter 7 cases of Nir Meir and Ranee Bartolacci in the United States Bankruptcy Court for the District of Florida.
- 1325 Atlantic Realty LLC in its Chapter 11 case in the United States Bankruptcy Court for the Eastern District of New York to address filed mechanics liens and other debts incurred by its tenant.
- Congregation Radin Development, Inc. as purchaser of the assets of Mosdos Chofetz Chaim, Inc. in its Chapter 11 case in the United States Bankruptcy Court for the Southern District of New York
- Capstone Capital Group LLC in the Chapter 7 case of Level 8 Apparel, LLC in the United States Bankruptcy Court for the Southern District of New York
- China Fishery Group Limited (Cayman) and affiliates in their Chapter 11 cases in the Southern District of New York
- Insider principals and related real estate entities of Century 21 Department Stores LLC and L&L Wings Inc. in their Chapter 11 cases in the United States Bankruptcy Court for the Southern District of New York..
- Conflicts counsel for the Official Committee of Unsecured Creditors of LATAM Airlines Group, S.A. in the United States Bankruptcy Court for the Southern District of New York.
- Counsel to the Chapter 11 Trustee of Premiere Jewellery, Inc. et al. in the United States Bankruptcy Court for the Southern District of New York.
- Counsel to various trade creditors in the Chapter 11 cases of J Crew, Neiman Marcus, and Dean Foods.
- Printing House Condominium in the Chapter 7 case of Barnet Liberman in the United States Bankruptcy Court for the Eastern District of New York.
- Counsel to the secured lender of CLST Enterprises, Inc. and 51 East 73rd Street LLC in their Chapter 11 cases in the United States Bankruptcy Court for the Southern District of New York.
- Four Seasons Restaurant in the wind down of its operations.
- Debtor in the Chapter 11 cases of Flatironhotel Operations, LLC and 1141 Realty Owner, LLC in the United States Bankruptcy Court for the Southern District of New York
- Counsel to the Chapter 11 Trustee of EMC Hotels and Resorts, LLC.
- Prepetition secured lender, postpetition DIP lender, and acquisition party in the Seasons Kosher Chapter 11 cases in the United States Bankruptcy Court for the Eastern District of New York.
- Purchaser of several supermarket store locations in the 2015 Chapter 11 cases of The Great Atlantic & Pacific Tea Company, Inc. et al., and co-counsel to McKesson Corporation in defense of a preference action.
- Debtor in the Chapter 11 case of The New York Internet Co., Inc.
- Debtor in the Chapter 11 case of A.L. Eastmond & Sons, Inc.
- Former partners of law firms Dewey & LeBoeuf LLP, Heller Ehrman LLP and Thelen LLP in their bankruptcy cases, and the Dickstein Shapiro LLP law firm in the wind-down of its operations.
- Counsel for the Official Committee of Unsecured Creditors in the Chapter 11 case of Rienzi & Sons, Inc. in the United States Bankruptcy Court for the Eastern District of New York.
- AOF Imaging Technology (US) Ltd., the largest trade creditor in the Chapter 11 case of Eastman Kodak Company.
- Conflicts counsel for the Official Committee of Unsecured Creditors in the 2010 Chapter 11 case of The Great Atlantic & Pacific Tea Company, Inc. et al.
- Several investor “clawback” defendants (individual and fund) in the SIPA case of Bernard L. Madoff Investment Securities LLC.
- Mr. Klestadt was elected Trustee by creditors of Alliance Bancorp and Alliance Mortgage Investments, Inc., two subprime mortgage lenders, in their Chapter 7 cases in the United States Bankruptcy Court for the District of Delaware.
- Postconfirmation trustee of the Legacy Creditors Trust (five nursing homes in the Buffalo, New York area).
- Official Committee of Unsecured Creditors of Club Ventures Investments LLC d/b/a David Barton Gyms.
- Official Committee of Unsecured Creditors of Brunschwig & Fils, Inc.
- Chair of the Official Committee of Unsecured Creditors of Extended Stay, Inc., a multibillion dollar hotel chain.
- Official Committee of Unsecured Creditors of Dreier LLP, a 250 attorney law firm in its Chapter 11 case resulting from the alleged criminal activities of its sole equity holder, Marc Drier.
- Coudert Brothers LLP, a former major international law firm, in its Chapter 11 case in the Southern District of New York.
- The largest unsecured creditor and Co-Chair of the Creditors’ Committee in the Hartmarx Corporation Chapter 11 case pending in the United States Bankruptcy Court for the Northern District of Illinois.
- Conflicts Counsel in the Bayou Group Chapter 11 cases.
- Air America Radio (Piquant LLC), in its Chapter 11 case in the Southern District of New York.
- Sypris Technologies, Inc., as the largest trade creditor and member of the Creditors’ Committee in the Dana Corporation Chapter 11 case, and Textron Fastening Systems, Inc. in the Delphi Corporation case, both in the auto parts industry.
- Tender Loving Care Health Care Services, Inc., a $250 million home health care company, in its Chapter 11 case. Creditors recovered 100% of their claims plus interest.
- Several creditors in the Chapter 11 cases of Lehman Brothers Holdings, Inc., Enron Corporation, WorldCom, Inc., PSInet, Inc., and Adelphia Communications Corporation.
- Mr. Klestadt has served as mediator in several matters, including adversary proceedings in the Lehman Brothers, 360networks, and Quebecor cases.
Programs and Lectures/Awards/Publications:
- Author (with Wayne D. Holly) of numerous articles published in the “Outside Counsel” column of the New York Law Journal.
- Author of “Professional Sports Teams in the Financial Penalty Box: How Bankruptcy Law Could Affect the Business of Playing Ball,” Norton Bankruptcy Law Adviser, April 1995; “An Introduction to Chapter 11 Bankruptcy,” Shopping Center Legal Update, Summer 1991; and “Importers, Brokers and Chapter 11,” American Shipper, May 1990.
- Recognized by New York Super Lawyers from 2007 through 2024.
- Recognized by the Lawdragon 500 Leading Global Bankruptcy & Restructuring Lawyers for 2022, 2023 and 2024.
- Recognized by Chambers and Partners New York Spotlight Guide for Bankruptcy and Restructuring in 2024 and 2025.