Woodbridge Liquidation Trust settles litigation for $25.5M; suspends distributions due to construction defect claim

Woodbridge Liquidation Trust

Settlement with Davis Graham & Stubbs LLP and S. Lee Terry Jr. for $25.5M; net to Trust ~$17M after legal fees.
Settlement requires California Superior Court good-faith order; payment due within 30 days of order.
Indirect subsidiary notified of construction defect claim on a single-family home sold; tendered to insurer.
Trust Supervisory Board suspends further distributions pending outcome of construction defect investigation.
Settlement does not release other defendants; no assurance of comparable recoveries from remaining claims.

Key facts

Extracted from this filing and checked against the source text.

Material Agreements SEC 8-K Item 1.01/1.02 confidence 0.95

Woodbridge Liquidation Trust entered into Settlement Agreement with Davis Graham & Stubbs LLP, S. Lee Terry, Jr. valued at $25,500,000 settlement; net proceeds to Trust approx. $17,000,000 (effective 2023-08-01).

Action: entry
Agreement: settlement
Counterparty: Davis Graham & Stubbs LLP, S. Lee Terry, Jr.
Value: $25,500,000 settlement; net proceeds to Trust approx. $17,000,000
Effective: 2023-08-01

Exact text from the filing

settlement are contained in a settlement agreement among Davis Graham & Stubbs LLP, Mr. Terry, and Michael Goldberg as Liquidation Trustee on behalf of the Trust.

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Woodbridge Liquidation Trust filing history →

Source: SEC EDGAR

accession 0001140361-23-038151

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