Bell Nunnally partner Jeffrey S. Lowenstein was named a “Litigator of the Week” in the AmLaw Litigation Daily for his work in securing a near total dismissal of a creditors lawsuit against Dallas-area financier and sports owner Tom Dundon. Creditors of the now-defunct Alliance of American Football (AAF) had sought $184 million from Dundon, his private investment firm Dundon Capital Management (DCP) and a former executive of DCP. In a 199-page verdict U.S. Bankruptcy Judge Craig A. Gargotta of the U.S. Bankruptcy Court for the Western District of Texas found Dundon fined him only $1 and dismissing all other charges. The suit dated back to 2019 and turned into five-week trial spanning 78 days of proceedings.

The litigation focused on claims arising from the AAF’s abrupt shutdown and eventual bankruptcy. The court concluded that the league’s failure was driven by significant liabilities that existed before DCP became involved and found that Dundon and Zutter acted properly and in good faith while trying to stabilize the organization. The decision affirms that neither executive caused the league’s collapse; rather, it found both made substantial efforts to keep it operating under exceptionally difficult conditions.

In addition to being featured on Litigation Daily, the outcome was covered by numerous media outlets, including The Texas Lawbook, Texas Lawyer, Bloomberg Law and the Dallas Business Journal.

On Texas Lawyer, Lowenstein is quoted as saying, “‘Tom put in place a highly qualified team that had seen a lot of success in business to try to turn the league around and help it survive because he was very excited about it,” Lowenstein said. “And it failed, but not for any reason that had anything to do with Tom or his team.’”

Lowenstein was joined by David G. Webster, Gwen I. Walraven, Laura K. Lavernia, Beverly A. Whitley and Troy “T.J.” Hales, along with K&L Gates’ Brent Hockaday.