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Special Assets: The Frozen Fish Dealer Threatened to Pull the Plug, So We Sold the Loan

One of our asset-based lender clients made a loan to high-flying frozen fish purveyor located in Nevada. His clientele consisted of restaurants that catered to tourists, and his stock in trade was the frozen fish that one finds cooked up on the buffet table in many Nevada resorts. The customer was not content with the nice business he had. Like so many others, he wanted more, so he began adding a little more ice to his fish deliveries. His customers noticed and did not like it. Let’s just say they handled their complaints outside of court.

He was unable to make his payments, and the lender suggested that he sell the business, pay back the lender and go into another line of work in another city. Faced with pressure from his customers and his lender, he snapped. Suspecting that the customer was sneaking out frozen fish to avoid the receiver the lender was putting into place, we had him tailed by a professional private investigator. The customer suspected he was being watched, figured out who was watching him and gave chase at high speed through town in the middle of the night. All the while, he was on the phone to the lender, threatening to “pull the plug” and turn off the freezers, thus ruining the lender’s collateral that remained. Meanwhile, the private investigator thwarted the chase by leading the customer to the local police station where the men in blue were waiting with open arms.

Unfortunately, the customer had done major damage to the collateral, but the lender was able to sell the loan to someone who wanted the plan and the customer list.

This is Dick Rogan, bank lawyer and author of, signing off for now. Join us again soon to check out what’s new in the World of Workouts.

Year after year, day after day, workout professionals in the know rely on JMBM’s Special Assets Team™ to handle problem commercial and real estate loans. Whatever problem loans you have, chances are, we’ve seen it. Give us a call.


Our Perspective. JMBM represents commercial banks, special servicers, private lenders, asset-based lenders, hard money lenders and factors. We help lender clients throughout the United States craft business and legal solutions to their commercial and real estate troubled loans. For more information, please contact Dick Rogan at, or (415) 398-8080.

Richard A. Rogan is Chair of the JMBM Special Assets Team™. He also serves as the co-managing partner of JMBM’s San Francisco office and co-chair of its Bankruptcy Practice Group.

JMBM’s Special Assets Team™ has represented hundreds of lenders in California and throughout the United States. We regularly appear in bankruptcy courts, district courts and superior courts. We are proud to serve as trusted counsel and advisors who look for a business solution and try to help lenders find the best possible resolution for each troubled loan. Whether a loan is being newly documented, restructured or litigated, JMBM’s Special Assets Team™ has the skill, know-how and experience to solve your problem in a practical no-nonsense way.

NOTE TO CONSUMERS: As a matter of Firm policy, JMBM does not represent individual consumers who have disputes with their lenders. Many lenders have specialized consumer workout professionals who have the time to help consumer borrowers. There are many fine attorneys who specialize in representing consumers. Individuals with consumer lending problems should contact a lawyer or law firm who specializes in consumer insolvency and bankruptcy in their local area. When in doubt, we suggest you contact your local bar association’s Lawyer Referral Service. [For example, see Bar Association of SF or LA County Bar Association Lawyer Referral Services]

JMBM does not provide legal advice to consumers, and cannot respond to consumer inquiries.