David M Hershorin
Mr. Hershorin is a founding partner of HERSHORIN & HENRY, LLP. His diverse client base includes institutional lenders, financial institutions, commercial loan servicers, hospitals, businesses, healthcare entities, physicians and physician groups, court- appointed receivers, developers, property management companies, and high net worth individuals. He represents clients in corporate, business, real estate issues, disputes, loan workouts, and litigation in state and federal courts. Many of Mr. Hershorin’s long term clients (several who have relied on him for over 15 years) have utilized, and continue to rely on, his professional services to develop the best practice strategies and his negotiating skills and litigating experience to avoid or favorably resolve disputes. Mr. Hershorin focuses his practice on responding to: “Don’t tell me how it can’t be done, tell me how it can!” Mr. Hershorin is a member of the California and American Bar Associations, the Commercial Law and Bankruptcy Sections of the Los Angeles County and Orange County Bar Associations, the California Receivers Forum (former board member), the Orange County Bankruptcy Forum, the American Health Lawyers Association, and has been a licensed California Real Estate Broker since 1988. Mr. Hershorin has also served as a guest lecturer for the University of Southern California, MBA Program. Mr. Hershorin received a Bachelor of Science degree from the University of Southern California in 1987 and a Juris Doctor degree from Whittier College School of Law School in 1990, where he served as President of the Student Bar Association, was a founding member of the Justice Anthony Kennedy Inn of Phi Delta Phi International Legal Fraternity, and a member of the American Bar Association-Law Student Division 9th Circuit Board of Governors. He received Whittier Law School’s Outstanding Leadership Award for 1989-1990. Previously, Mr. Hershorin was a partner with Arter & Hadden, LLP in Los Angeles and Of Counsel to Lewis, Brisbois, et al. in Costa Mesa.
NOTABLE CASE RESULTS.
Lead counsel for non-profit community hospital in Riverside, California:
- Negotiated and successfully litigated claims and liabilities in a Chapter 11 bankruptcy resulting in nearly $70m of savings;
- Developed and implemented strategy to save nearly $15m in insurance costs;
- Negotiated and documented over $80m in loans, including the U.S. Department of Housing and Urban Development’s first ever 223(f) loan commitment to insure a $29m mortgage for a non-profit community hospital.
Lead counsel for Several Commercial Loan Servicers/Institutional Lenders:
- Appointed Receivers in state and federal courts in California and Nevada;
- Successfully sold millions of dollars of commercial real estate through receiverships without the need to foreclose;
- Negotiated and documented loan restructuring and modifications for CMBS, portfolio, and other structured loans.
Lead counsel for Court-appointed Receivers:
- Represented Court appointed Receiver for Citicorp Plaza in downtown Los Angeles, consisting of nearly 1.5m square feet of office and retail space. Managed team of attorneys on matters involving bankruptcy, tax, and real property, in both litigation and transactional matters. Orchestrated and obtained a tax re-assessment of property resulting in $90m reduction in tax role value, and received rebate of prior property tax payment of over $1m. The property ultimately sold to TrizecHahn for $128m (now part of General Growth Properties);
- Represented Court-appointed Receiver for center containing lease (guaranteed by TJX/Zayre Corporation) with former House2Home anchor tenant, on behalf of Receiver, pursued and obtained a $4.5m settlement on the lease guaranty;
Examples of thinking “Outside the Box” to obtain favorable results:
- OCIE v. SCS, Inc., United States District Court, Southern District of Florida. Represented manufacturer of ocean cargo containers against purchaser who failed to pay OCIE. After convincing U.S. District Court that claim fell under Federal Admiralty Rules, obtained a Rule D arrest warrant for containers. Recognizing that seizing over 2,500 ocean containers throughout the world was a logistical nightmare and unfair to innocent owners of goods within containers, devised a plan to “arrest” (i.e. seize) lease proceeds of containers directly paid from SCS’ customers. The resulting effect of the lease attachment cut off virtually all cash flow to SCS and forced settlement of $3.2m.
- Jacobs v. Schlarrman, San Diego Superior Court Case. Represented the purchaser of a private aircraft. After the sale, the former owner converted the airplane claiming the broker retained too much of the commission. Seller demanded that Mr. Jacobs pay the disputed amount. Mr. Hershorin obtained a prejudgment writ of possession and with the help of the Sheriff’s department, seized the aircraft. Mr. Hershorin also located the former corporate pilot, who under oath admitted that (i) the seller failed to reveal a known crack in the wing spar (making aircraft unsafe to fly), (ii) in purchasing and financing airplane, the seller conspired to defraud (a) the government over sales tax, (b) the financing company from whom he obtained a loan, and (c) a non-profit charity from whom he purchased the aircraft. In light of the defendant’s significant net worth and a strong likelihood of punitive damages, obtained a settlement of nearly four times (4x) the purchase price.
- Karcher v Monnig, San Bernardino Superior Court. Represented lead investor and founder of Carl’s Jr. Hamburger chain in a real estate investment dispute with prior management of large scale development projects. When Mr. Hershorin discovered proof of misappropriation of funds and negligence, Mr. Hershorin successfully convinced the Court to appoint a Receiver to take control of over $100m of finished and unfinished projects including commercial centers, apartments, and residential housing tracts. While securing the various projects, he also worked with several lenders to ensure that their collateral was protected.
- CORPORATE AND TRANSACTIONAL
- HEALTHCARE LAW