In just eighteen days, PLG’s Pamela Egan turned an administratively insolvent Chapter 7 estate into one with $400,000 in working capital — and a clear path to recover additional assets.
In In re Straightline Construction & Development, LLC, Case No. 25-42296-MJH (Bankr. W.D. Wash.), PLG represented Chapter 7 Trustee Mark D. Waldron. The case involved 34 parcels of Seattle-area real property — some co-owned with an entity in state-court receivership, others fraudulently transferred to that and another entity in the same receivership. Construction Loan Services II, LLC (“CLS”) held a first-position lien exceeding $5.3 million against 22 of these properties, which were worth only about $4.2 million. The estate appeared to have no equity.
With a buyer’s hard April 30, 2026 closing deadline looming, Pamela negotiated two stipulations — one with CLS and one with the state-court Receiver — to clear the way for a $4.2 million sale of the 22 encumbered parcels. PLG also secured a $400,000 payment from CLS to the estate, funding continued efforts to market the remaining properties and pursue fraudulent transfer recoveries.
The pace was striking: first contact on April 10, both stipulations finalized by April 18, the sale motion and order shortening time filed and entered April 21, and full court approval — with a waiver of the fourteen-day stay under Bankruptcy Rule 6004(h) — at a hearing on April 28.
The Court approved the stipulations as fair and equitable and found that the sale represented the highest and best recovery reasonably achievable.
