February 19, 2025 – New York, NY — KTAP is pleased that Chief Judge Martin Glenn of the United States Bankruptcy Court for the Southern District of New York denied AYH Wind Down LLC’s (AYH) motion for partial summary judgment against our client, Yoel Silberstein, allowing us to continue defending against claims that he owed AYH millions of dollars under a promissory note.
KTAP litigation and bankruptcy partners Paul Aloe and David Saponara disputed the validity of the alleged loan, explaining that the promissory note was nominally structured as a loan but actually represented funds that had already been earned and that the loan had been released as part of pre-bankruptcy settlement with All Year Holdings Limited, the debtor in the chapter 11 case.
The Bankruptcy Court found that material factual disputes remained regarding whether our client ever received the alleged $3.35 million loan, whether the amounts sought by AYH were correctly calculated, and whether our client has any liability based on the pre-bankruptcy settlement agreements.
The denial of summary judgment allows our client to argue at trial that the agreements at issue released him from all liability and that the entire case should be dismissed.
About Kudman Trachten Aloe Posner LLP
Kudman Trachten Aloe Posner LLP is a full-service commercial firm that focuses on commercial transactions, buy- and sell-side mergers and acquisitions, corporate finance, white collar criminal defense and complex commercial litigation, including bankruptcy and creditors’ rights, healthcare fraud, waste and abuse, commercial and governmental reimbursement, and day to day corporate work, including tax, intellectual property, real estate and employment law. See https://www.kudmanlaw.com for more information.
