Richmond, Virginia. LandAmerica Bankruptcy Update. LandAmerica Financial Group, Inc. and LandAmerica 1031 Exchange Service, Inc. filed a joint application to retain Quinn Emanuel (“Quinn”) as special litigation counsel to pursue potential causes of action related to the sale, promotion, and distribution of auction rate securities (ARS) to LandAmerica.
The application proposes that Quinn be paid its hourly fees up to a cap of $2 million and then be paid an additional amount over the $2 million in fees based upon the amount Quinn recovers for LandAmerica.
Any recovery from those who sold ARS to LandAmerica would aid in the recovery of LandAmerica’s 1031 exchange customers caught up in the LandAmerica bankruptcy. This application represents LandAmerica’s first step towards pursuing its potential causes of action against the sellers and issuers of ARS.