Business

In response to the business ramifications of COVID-19, including a wave of restructuring activity, increased litigation related to corporate debt, contract defaults and bankruptcies, Bob Gold & Associates, a 23-year old boutique PR & Marketing services agency, announced the establishment of its new Bankruptcy and Litigation Communications Practice, featuring a highly experienced team that has helped clients manage disruption, controversy and damaged reputations.

The new practice is led by Bob Gold and longtime litigation communications expert, Paul Jacobson of Denver-based SilversJacobson, both known for their proven track records in crisis management and public relations strategies. Gold and Jacobson met while working together to handle corporate communications, manage local and national news and business media, and calm the nationwide workforce and customers of a scandal-ridden company navigating a massively complex, multi-billion-dollar Chapter 11 reorganization. Since then they have gone on to advise or lead communications in several Chapter 11 bankruptcies.

“Today many companies are facing in-court or out-of-court restructuring to preserve their value. Board members and company management have responsibilities to preserve and maximize the enterprise value for the benefit of creditors, which is achieved, in part, by coordinated and comprehensive communications with stakeholders and influencers,” said Bob Gold, founder of Bob Gold & Associates. “This is not the time to hire a team who is going to learn on the job.”

Often in Chapter 11 cases, the judge requires a communications plan as part of the reorganization. The reorganization of business activities is a singular moment where a company has several options, all of which require careful communications to creditors, and close and trusting partnerships with attorneys, CFOs and company leadership to all stakeholders.

“Gaining the trust of attorneys is paramount in creating effective and compelling litigation communications,” said Paul Jacobson, bankruptcy expert. “Whether communicating to creditors and the court, or to customers in hopes of retaining their business, we support the bankruptcy litigation, while putting a human face on a complex and impersonal procedure.”

There are key messages to explain to constituencies from what Chapter 11 is, why the company has moved itself into that state, and how Chapter 11 status will affect each person’s relationship to the company. These statements should address the concerns company employees, vendors, creditors, suppliers, customers, shareholders, the sales force, and others. Key influencers like industry observers and the media, including the specialized bankruptcy media, must also be addressed. The court will need to see not only a reorganization plan, but also many management functions, including communications and public relations, must be court-approved.