Intellectual Property Value Creation and Monetization in Bankruptcy

La Jolla, CA (PRWEB) February 19, 2009

In a bankruptcy environment, intellectual property is often the last asset group to gain attention. Once the hard assets (i.e., A/R, inventory, equipment, real estate, etc.) are addressed, the focus then shifts to what’s left-intellectual property and intangible assets. The intangibles represent the biggest opportunity to generate substantial incremental value for the estate through the “value creation and monetization” (VCM) process.

Inventory and Triage: The initial step in the VCM process identifies the full extent of the intellectual property and intangible assets owned and/or operated by the debtor. This group of assets includes the obvious assets, such as trademarks, patents, copyrights and domain names. However, there are additional assets that are typically overlooked, ranging from software and databases, to licenses and creative materials. Intangible assets generally fall into three distinct areas: marketing- based assets, IT-based assets and technology-based assets:

Marketing Bundle:

Primary trademark

Corporate name and logo

Marketing umbrella

Sub-brand names

Core brand

Worldwide trademark registration


Secondary trademarks

Packaging design and copyrights

Trade dress


IT Bundle:

Enterprise solutions

Custom applications

Data warehouses

Master licenses

Source code


Data mining

Domain names/URLs

e-Commerce sites

Third party software tools

Credit/payment systems

Technical Bundle:

Key patents

Trade secrets


Packaging technology and sources

Shapes and sizes

Design technology

Proprietary test results

Plant and production design

Product specifications

Operating platforms

Once the assets are identified, it is important to triage the portfolio into the most logical bundles or groups. The bundling process develops a roadmap for categorizing the portfolio in a logical fashion for valuation purposes. From here, ownership of the assets is verified to confirm the debtor’s rights. Encumbrances on the assets can severely impact asset value and hamper the ability to exploit the assets in the marketplace. In sum, the inventory and triage process serves as the foundation of the VCM process.

Valuation and Value Creation: Once the assets are identified, properly categorized and ownership rights are determined, the value creation process commences. With intellectual property, multiple contexts of value can exist. Initially, the “as is/where is” value sets the floor value for the assets. However, and more importantly, the value creation proposition is what differentiates intellectual property from the debtors’ tangible asset counterparts. In other words, intellectual property presents the ability to leverage the assets into new opportunities. Whether via strategic licensing, joint venture, sale or other monetization scenario, intellectual property contains hidden value that, when properly exploited, can generate substantial returns for the debtor.

Monetization Process: Now that the assets are properly assessed, the “go to market” strategy must be developed. From a top-level perspective, intellectual property is by definition unique and few comparables exist in the marketplace. These assets require a strategic plan to effectively communicate the inherent value opportunities. Also, targeted buyers typically need more information about the assets and the opportunities than is offered through the static auction platform. Moreover, static auctions market the auction, and not the specific assets. To maximize value through the direct marketing campaign, the assets must be creatively packaged and communicated to an expanded universe of potential buyers. Direct marketers must possess a vast network of resources to reach a broader audience. While direct competitors may be the obvious targets, the expanded universe of potential buyers should include financial and strategic buyers. Additionally, buyers can be targeted through specific intellectual property and other industry resources such as:

International Trademark Association (INTA)

Licensing Executives Society (LES and LESI)

Licensing Industry Merchandisers’ Association (LIMA)

American Bankruptcy Institute (ABI)

Turnaround Management Association (TMA)

Association of Insolvency and Restructuring Advisors (AIRA)

Commercial Finance Association (CFA)

The marketing of intellectual property is about telling a story, and this can only be accomplished through one-on-one interaction. Significant discussion is required during the due diligence phase. Buyers will need detailed information and will have a multitude of questions. This is the most important element of the selling process- identifying a need and creating a value proposition for the buyer.

Value Extraction Strategies: Extracting value from intellectual property and intangible assets can take a number of different forms-and requires marketing to a number of different types of potential buyers-these end-users typically include strategic buyers, financial investors, intellectual property owners and agglomerators, as well as competitors and professional IP management companies. This network includes people culled from our proprietary data base of 13,000+ transactions, as well as other proprietary and public sources. Successful strategies that we have pursued in specific cases include the following:

Sale of technology at a low price in order to recoup R&D tax credits at the federal level
Outright sale
Creation of an IP holding company
Partial sale of some assets with the balance being held by a successor IP management company
Dutch auction of assets to a variety of purchasers
Development of a licensing and brand extension strategy packaged with the assets for sale to an IP specialist
Sale of the assets to an offshore holding company, for internal use or license into overseas markets
Sale and leaseback of the IP assets
Securitization of the assets to generate working capital for a successful reorganization.

Each case is different and each value extraction strategy is unique-because all intellectual property by its very definition is unique, and the markets for specific intangible assets and IP changes on a relatively rapid basis. One final thought before looking at specific case studies: extracting maximum value from intellectual property is a five step process.

1. Identify all of the intangible assets and IP;

2. Understand all of the alternatives for value extraction;

3. Accurately value each asset or bundle of assets to establish priorities;

4. Design an overall strategy for the monetization process; and,

5. Manage the process early and intensively, using IP professionals.


Atlanta Bankruptcy Attorneys at B. Phillips & Associates Win 2011 WebAward

Altanta, GA (PRWEB) October 28, 2011

The Atlanta, Georgia law office of B. Phillips & Associates has won the 2011 WebAward from the Web Marketing Association for Outstanding Achievement in Web Development.

Since 1997, the Web Marketing Associations annual WebAward Competition has been setting the standard of excellence for website development. Independent expert judges from around the world review sites in 96 industries. They recognize the best with a WebAward, which helps interactive professionals promote themselves, their companies, and their best work to the outside world. The WebAward competition is the premier recognition program for web developers and marketers worldwide.

According to attorney Bob J. Phillips, “My new site has been designed entirely with my clients and potential clients in mind. I am proud of the website and I certainly hope visitors to the site will use it as a resource to answer their initial questions, and then let us guide them through the bankruptcy process personally.”

The new website explains bankruptcy advice offered by the firm in detail. It also shares biographical information about Bob J. Phillips background, experience, and education. Website visitors learn how B. Phillips & Associates can assist them with their financial issues. Mr. Phillips has developed a solid reputation for maintaining high ethical standards while helping people find solutions to their debt, foreclosure and taxation problems.

About B. Phillips & Associates

Atlanta bankruptcy attorney Bob J. Phillips focuses exclusively on helping people with financial hardships. He has helped many clients resolve their financial issues and get a fresh start. He strives to provide his clients with caring and responsive legal representation. The firm offers legal counsel primarily in the following practice areas:

Shiboleth LLP Advises Gaia Genuine Estate in Acquisition of nine,five hundred Unit Multifamily Portfolio by way of Chapter eleven Bankruptcy Auction

New York, NY (PRWEB) May 24, 2012

Shiboleth LLP, a boutique international legislation organization with best-ranked transactional and litigation practices, today announced that it successfully represented its client Gaia Actual Estate in link with a $ 22.5 million investment decision of new fairness to obtain and recapitalize PJ Finance Company, which filed for Chapter 11 bankruptcy security in March 2011 and reemerged as a going issue on May eleven, 2012. Gaia Genuine Estate partnered with Starwood Funds, a major worldwide non-public investment decision organization, to full the acquisition.


PJ Finance Companys property incorporate a multifamily portfolio consisting of in excess of nine,500 multifamily units situated in significant metropolitan locations during the substantial-expansion Sunbelt location. The portfolio was originally acquired in 2001 and recapitalized with much more than $ 540 million of securitized financial debt funding in 2006, at a valuation of $ 580 million. In March 2011, PJ Finance Firm filed for Chapter 11 individual bankruptcy safety. As component of the recapitalization settlement, the credit card debt has been restructured and the mortgage matures in 2020. While in Chapter 11, $ fourteen million was re-invested into the portfolio, and existing occupancy has substantially enhanced to much more than 90% as virtually one,000 units were brought again on-line.


Amnon Shiboleth, Senior Associate of Shiboleth commented We are delighted to have been capable to help Gaia Actual Estate execute an essential strategic acquisition. We have lately expanded our corporate apply by means of our recruitment of leading experts, who served an instrumental part in this transaction. Our essential role in this transaction is an additional case in point of our corporate and genuine estate teams capabilities and our benefit proposition to our consumers.


Danny Fishman and Amir Yerushalmi, Taking care of Companions at Gaia Real Estate, extra “We want to thank Shibboleth for the operate they have carried out even though representing Gaia Genuine Estate in this deal and especially to Moty Ben Yona, who did an superb work, was highly responsive and added significant worth to the offer.


About Shiboleth LLP


Shiboleth LLP is a boutique worldwide law organization, established in 1976 and centered in Manhattan with affiliated companies in Tel Aviv, Israel and Shanghai, China. The firm’s wide selection of transactional and litigation apply locations consist of corporate and commercial regulation, with specialised teams concentrating on M&ampA, securities, corporate finance and undertaking cash transactions, as nicely as regulatory, actual estate, taxation, intellectual home and higher-tech. Additional information about Shiboleth LLP can be found at


About Gaia Real Estate


Gaia True Estate, founded in 2009, is a Genuine Estate expense, residence administration and brokerage Business with headquarters in New York Metropolis and further offices in New Jersey, Texas and Israel. Gaia pursues a variety of actual estate investments with a emphasis on residential and business qualities. The group presently has 70 staff. Added data about Gaia Real Estate can be identified at


Associated Securitization Press Releases

Renowned Buyer Lawyer Max Gardner Expands Education for Bankruptcy / Foreclosure Defense Legal professionals

Charlotte, NC (PRWEB) September twelve, 2012

For 7 a long time, Max Gardners Individual bankruptcy Boot Camp has served as a training ground for customer bankruptcy lawyers who wanted to take their techniques to the subsequent degree by improving shopper services and drastically rising revenues. His Personal bankruptcy Litigation Model and cutting-edge perform in combatting predatory lending and dishonest personal debt selection techniques have acquired protection from national news retailers this sort of as The Washington Publish, ABCs Nightline News and Bloomberg. Now, Gardner is responding to repeated requests for substantial-good quality schooling in relevant regions of regulation, like standard individual bankruptcy coaching, a extensive foreclosures defense seminar, a Chapter eleven Boot Camp and a new litigation techniques monitor.


NEW forthcoming functions contain:


Proof and Deposition Seminar, September 22-23, 2012 in Charlotte, North Carolina: Max, Judge F. Donald Bridges and some of Maxs most productive Boot Camp graduates will discuss and product approaches for acquiring proof admitted (or retaining it out), having and using depositions and questioning the essential witnesses youll encounter once more and again in client follow, these kinds of as robo-signers, master doc custodians and lenders laptop professionals.


Chapter 11 Boot Camp, Oct four-7, 2012 just outdoors Chicago, Illinois: Veteran individual bankruptcy lawyers Dan Push and Brett Weiss, authors of Chapter eleven for Individual Debtors: A Collier Monograph, provide a extensive education in Chapter eleven for folks. The seminar, workshop and supplies offered are designed to completely get ready client individual bankruptcy attorneys to deal with specific Chapter eleven cases, even if it is their 1st publicity.


Foreclosure Protection Boot Camp, October 12-14, 2012 in Charlotte, North Carolina: For the very first time, Max and his panel of specialists and business insiders combine all of the crucial elements of foreclosures defense into 1 three-day seminar. Topics incorporate securitization, home loan servicing, Fannie and Freddie uniform house loan files, negotiability of residential mortgage notes, software of UCC Content articles three and nine and litigation strategies.


Presently, the Basic Bankruptcy Education is accessible only by means of streaming online video membership. The line-by-line stroll-via of the Voluntary Petition, Schedules, Statement of Monetary Affairs and Means Take a look at is offered by Dan Press and Brett Weiss. The thirteen+ hour bundle consists of not only instruction on completing the bankruptcy forms, but also discussion of the pitfalls for equally legal professional and shopper, advice on the place to find and how to confirm necessary data, ideas on the opportunities for advocacy in the preparing approach and staying away from widespread mistakes. Solitary-matter videos may also be obtained separately.


At the exact same time, free of charge methods are currently being extra to the Boot Camp web site, including an comprehensive standing bibliography prepared and frequently up to date by Robin Miller. In the coming months, the Boot Camp will continue to grow its choices, introducing on-line foreclosures protection and litigation techniques alternatives as nicely as further dwell events.


To remain up to day on the most recent chances and cost-free assets, signal up for Max Gardners Individual bankruptcy Boot Camp Publication.