Bankrupt Sedgwick Seeks Liquidation Deal with Ex-Partners

Sedgwick may have an end in sight to its year-long Chapter 11 bankruptcy proceeding after the firm Nov. 7 proposed a liquidation plan that would also settle claims seeking equity repayments from nearly 50 former partners.

The former San Francisco-based law firm filed for bankruptcy in October last year after a drawn-out demise fueled by fleeing partners. Forty-seven of those partners are now being asked to pay about $1.9 million as part of a plan to liquidate the firm’s remaining assets.

The firm in June had sought to settle clawback claims with a group of 45 ex-partners for $1.7 million. ...