Clay J. Pierce

Financial Litigation/Class Actions

For nearly three decades, Clay has represented lenders, investors, issuers and financial services clients in a broad range of contract, business tort and regulatory disputes. His clients include some of the country’s largest commercial and consumer finance companies, corporate trustees and asset management firms, along with individual equity and debt investors. Clay frequently represents clients in bankruptcy adversary proceedings (in trial and on appeal), and regularly defends lenders in consumer finance disputes, including numerous individual and class actions suits relating to student loans and credit card debt.

Recent Finance-Related Matters

• Prosecuting “trust instruction” proceedings by one of the country’s largest corporate trustees concerning the treatment of up to $420 million in payments on mortgage loans modified following the 2008 financial crisis. Obtained reversal on appeal of adverse summary judgment decision, including ruling that trustee had acted in bad faith based on its alleged failure to follow a decision in prior action.
• Defended international investment funds against claims by the Republic of Kazakhstan arising from allegedly “fraudulent” $500 million arbitration award based on Kazakhstan’s wrongful expropriation of privately-held oil assets. All claims against clients dismissed prior to discovery. Decision subsequently affirmed on appeal.
• Defended leading student lender against multiple individual and nationwide class action suits alleging improper debt collection activities post-bankruptcy. All cases settled for no or de minimis liability following client’s filing of motion for summary judgment.
• Defended $50 million fraud suit by two offshore CDO funds (each formerly controlled by Patriarch Partners and Lynn Tilton) against the CEO and Chairman of a failed Chinese media conglomerate (Xinhua Sports & Entertainment Ltd.). Obtained orders dismissing negligent misrepresentation claim on the pleadings, striking all references in complaint to parallel criminal proceeding against client, and striking plaintiffs’ jury demand. Orders affirmed after interlocutory appeal. Remaining fraud claim voluntarily dismissed following plaintiffs filing for bankruptcy.
• Prosecuted suit by unsecured bondholders against Caesars Entertainment Corporation based on violations of the Trust Indenture Act. Obtained settlement for clients worth over six times the amount at which their bonds were trading at the commencement of litigation.

Energy Litigation

Clay also regularly represents parties in disputes concerning energy projects, including numerous arbitrations between equity investors, project developers, lenders and utilities. Prior matters have involved claims relating to power purchase transactions, hedge and other derivatives trades, project financing, and project construction.

Recent Energy-Related Matters

• Prosecuting claims by international energy trading company against Enviva, Inc. for breaches of multiple long-term biomass supply agreements. Negotiated favorable settlements for certain agreements. Prosecuting bankruptcy claims valued at over $700 million based on remaining contracts.
• Defending indemnification claims by co-owner of gas energy project based on alleged market losses resulting from unscheduled project outages.
• Prosecuted suit by Indiana wind project against the country’s largest utility based on breach of 20-year power purchase agreement. Negotiated advantageous settlement after Seventh Circuit granted summary judgment for client on all liability issues.
• Defended arbitration claims against equity investors in renewable energy project based on dispute over the calculation of internal rate of return thresholds. Obtained final award for clients after multiple rounds of briefing and discovery.

Personal Interests

Clay is an avid long-distance runner.