Corporate & Reverse Contingency Representation

When it comes to litigation, corporate legal departments typically play defense, understandably focused on defeating claims against the corporation. Legal departments are often viewed as cost burdens, not profit centers. They generally aren’t thinking about bringing claims that could make the corporation money—playing offense. At Nix Patterson, we help corporations focus on identifying and pursuing opportunities to recover money they are legally entitled to because another company breached a contract, overcharged them, engaged in anti-completive conduct or committed fraud.

For example, Nix Patterson was retained by the legal departments of more than 100 large corporations, including major airlines, online travel companies, hotel and resort chains, energy conglomerates, and national retailers, to sue credit card companies for violation of U.S. antitrust claims. Every one of our clients received a settlement payment, and at a substantial premium above what they would have received had they simply followed the herd.

The legal departments of three of the largest auto dealer groups in the country asked Nix Patterson to evaluate their claims in the largest automotive parts antitrust class action in U.S. history. We advised them that opting out of the pending class settlements, and hiring Nix Patterson to bring their claims outside of the class claims, could maximize their recovery. All three agreed, and opted out more than 300 individual dealerships nationwide.

In identifying innovative pathways to corporate recoveries, Nix Patterson works under a range of attorney fee structures, including but not limited to contingent fee agreements, hybrid fee agreements, reverse contingent fee agreements, and tiered or performance fees. We typically advance the costs associated with the necessary consultants and experts, which often includes economists, accountants, and valuation experts.

Similarly, for bankruptcy trustees we can pursue claims on behalf of the debtor that arose prior to—and in many cases, contributed to—insolvency. These claims range from breach of contract to fraud. Every dollar of recovery helps maximize the debtor’s estate, at a premium rather than pennies on the dollar. We are one of the few firms to represent bankruptcy trustees on a contingency fee basis, advancing all costs and expenses, so there is no risk to the trustee.