David E. Runck

Shareholder

(952) 224-7944

David's Assistant
Sherri Debettignies
sherri.debettignies@fmjlaw.com

David Runck is a shareholder at FMJ and Chair of the Bankruptcy & Insolvency group. He represents clients in litigation matters involving all types of distressed and defaulted commercial loans. He represents creditors in bankruptcy cases, loan default litigation, mortgage foreclosures, receiverships, debt restructurings and loan workout negotiations. He also represents clients in civil litigation in state and federal courts. David has extensive experience assisting all types of creditors (including banks, secured and unsecured lenders, creditors’ committees, indenture trustees, bondholders, real estate landlords, and equipment finance and leasing companies) to maximize their recovery in default situations.

Before joining FMJ, David was a Vice President at Wells Fargo Bank, N.A., where he served as an indenture trustee for bondholders in defaulted municipal bond transactions. Prior to Wells Fargo, he was a partner in the Financial Services department of a large Minneapolis law firm.

David was a law clerk for the Honorable Nancy C. Dreher at the U.S. Bankruptcy Court for the District of Minnesota and the U.S. Bankruptcy Appellate Panel for the Eighth Circuit. While in law school, he was an editor of the Annual Review of Banking Law.

In 2014, David completed the Minnesota State Bar Association’s Certified Civil Mediation Skills Training. He is qualified to serve as a Rule 114 neutral on the Minnesota Statewide Roster (Civil/Bankruptcy/Creditor-Debtor).

Specific examples of David’s experience include:

  • Representing many landlords of retail stores in the Chapter 11 bankruptcy case of In re Gander Mountain Company
  • Lead counsel for the Official Committee of Unsecured Creditors in the Chapter 11 bankruptcy cases of In re Petters Company, Inc. and In re Petters Group Worldwide, LLC, representing creditors owed approximately $2 billion in one of the largest Ponzi schemes in U.S. history
  • Representing the Official Committees of Unsecured Creditors in the Chapter 11 cases of In re HEI, Inc., In re SCICOM Data Services, Ltd., In re Purified Renewable Energy, LLC and In re Lyman Lumber Company
  • Representing banks to enforce their remedies in defaulted commercial loans, including actions against borrowers and guarantors, mortgage foreclosure actions, receiverships, and out of court workouts
  • Appointing and representing receivers in judicial foreclosure actions, receiver sales, and other litigation
  • Pursuing and defending against insolvency-related litigation, such as claims to recover fraudulent transfers and preferences, claims against corporate insiders, equitable subordination and recharacterization claims, and lien perfection and priority disputes
  • Special litigation counsel for the court-appointed receiver for an insolvent real estate construction lender, defending against breach contract and fraud claims arising out of a $150 million structured finance transaction involving construction loan receivables
  • Advising a large asset-based lender on Article 9 lien perfection issues involving a $200 million revolving credit line secured by receivables acquired from automobile dealerships
  • Negotiating and drafting commercial real estate purchase agreements for the sale of distressed real property
  • Representing indenture trustees and bondholders in distressed tax-exempt projects such as hospitals, assisted living facilities, charter schools, public power plants, industrial development projects, multifamily housing and real estate development projects
  • Advising indenture trustees on fiduciary duties and matters relating to corporate trust default administration
  • Successfully argued numerous appeals before the U.S. Court of Appeals for the Eighth Circuit, the U.S. Bankruptcy Appellate Panel for the Eighth Circuit, and the Minnesota Court of Appeals
  • Successfully argued In re Dial Business Forms, Inc., 273 B.R. 594 (Bankr. W.D. Mo. 2002), aff’d 283 B.R. 537 (B.A.P. 8th Cir. 2002) (named “Decision of the Week” by The National Law Journal (Oct. 2002))
  • Named a Minnesota “Super Lawyer” for the years 2011 through 2017

Education:
Boston University School of Law (JD, 1996)
Brandeis University (BA, cum laude, 1993)

Clerkship:
Hon. Nancy C. Dreher
U.S. Bankruptcy Court for the District of Minnesota
U.S. Bankruptcy Appellate Panel for the Eighth Circuit

State Bar Admissions:
Minnesota (1999)
Massachusetts (inactive) (1997)

Federal Bar Admissions:
U.S. Supreme Court (2003)
U.S. Court of Appeals, Eighth Circuit (2001)
U.S. District Court, District of Minnesota (1999)
U.S. District Court, Northern District of Illinois (2008)

Professional Memberships and Associations:
Bankruptcy Practice Committee, U.S. Bankruptcy Court for the District of Minnesota (2009-2010)
Federal Bar Association, Minnesota Chapter, Bankruptcy Law Section
Minnesota State Bar Association, Bankruptcy, Civil Litigation and Real Property Law Sections
Turnaround Management Association, Minnesota Chapter

Presentations and Publications:
Bringing and Defending Fraudulent Transfer Claims In and Out of Bankruptcy, Hennepin County Bar Association CLE presentation (Jan. 2016)

Defaults, Workouts & Bankruptcy Issues in Public Finance, National Association of Bond Lawyers 32nd Bond Attorneys’ Workshop (Sept. 2007)

Chapter 11 Secured Claim Valuation: Does My Pre-Petition Security Interest Attach to Post-Petition Collateral?, Minnesota State Bar Association (Oct. 2004)

Equipment Leasing in Minnesota, Lorman Education Services CLE presentation (Feb. 2004)

Everything You Ever Wanted to Know About Equipment Leasing But Were Afraid to Ask, CLE presentation (Oct. 2003)

In re Dial Business Forms, Inc.: Eighth Circuit BAP Holds That Priority Language in a Chapter 11 Plan “Trumps” Article 9, MSBA Bankruptcy Bulletin (Apr. 2003)

An Analysis of the Community Development Banking and Financial Institutions Act and the Problem of “Rational Redlining” Facing Low-Income Communities, 15 Annual Review of Banking Law 517 (1996)

Developments in Banking Law 1994: The Riegle-Neal Interstate Banking and Branching Efficiency Act of 1994, 14 Annual Review of Banking Law 1 (1995)

Practice Philosophy:
“I do my best to add positive value to often difficult situations. In addition to finding the best solution for our clients’ legal needs, I make sure that I listen to our clients, communicate with them frequently, and keep things moving forward.”

The Rest of the Story:
David lives in a Twin Cities suburb with his wife and their two cats. He enjoys spending time with his friends and family, going to movies and reading books.