For businesses and business owners
A distressed business may need to negotiate with lenders, restructure obligations, sell assets or close operations. We evaluate the business’s position and whether a negotiated arrangement, Chapter 11 reorganization or another process fits its circumstances.
For EIDL borrowers and personal guarantors
A COVID EIDL payment problem can lead to collateral disputes, personal-guarantee exposure and federal collection. Karl Johnson helps Minnesota borrowers and guarantors evaluate threatened default, SBA or Treasury notices, repayment options and bankruptcy.
For individuals
Personal financial distress can involve household debt, business guarantees or a combination of obligations. Karl advises individuals on bankruptcy options and the issues affecting their income, property and debts.
For farms and agricultural businesses
Karl handles farm bankruptcies, Chapter 12 matters and agricultural creditor disputes. Together with Matthew Bialick’s agricultural litigation experience, the practice addresses the overlap between operating pressure, farm assets, litigation and restructuring. Our Chapter 12 farm bankruptcy guide addresses eligibility, seasonal cash flow, farm assets and the information useful for an initial discussion.
For creditors and trustees
A filing may require prompt attention to the automatic stay, collateral, notices, claims and proposed transactions. Karl represents creditors and trustees in bankruptcy proceedings and related disputes.
When a bankruptcy becomes a contested case
Bankruptcy litigation can concern the validity of a claim, an alleged preference or fraudulent transfer, whether a particular debt can be discharged, or how assets will be treated. The right response depends on the specific proceeding and its deadlines.
Why clients consult Karl Johnson
He has appeared as attorney of record in thousands of bankruptcy cases under Chapters 7, 11, 12 and 13. His experience includes representing the debtor in the first confirmed Subchapter V plan in the Eighth Circuit and prevailing on issues of first impression in Chapter 13.
Karl clerked for U.S. Bankruptcy Judge Gregory F. Kishel from 2010 to 2012. He is the author of the “Real Estate in Bankruptcy” chapter in Thomson Reuters’ Minnesota Practice Series and has updated Minnesota CLE’s Chapter 11 Timeline study guide. His biography provides selected court matters, publications, presentations and professional service.
Chapter 11 representation covered by national publications
Karl Johnson represented Cherry Butte Company, the operator of three Subway restaurants in North Dakota, in its Chapter 11 Subchapter V case in the U.S. Bankruptcy Court for the District of North Dakota. The representation received coverage in TheStreet, which identified Karl and MJB Law Firm as debtor’s counsel. Bloomberg Law also discussed Cherry Butte’s filing in its reporting on restaurant and franchisee bankruptcies.
Preparing for an initial discussion
Tell us whether you are contacting the firm as a debtor, business owner, creditor or other party. Identify any pending lawsuit, bankruptcy case, foreclosure, hearing or response date. We will need to assess conflicts before receiving detailed records or agreeing to represent you.