September 8, 2021, Central District of California – Richard A. Marshack, Chapter 7 Trustee for the bankruptcy estate of Debtor Eagan Avenatti, LLP (“EA” ) asserts claims for the return of property or the recovery of the value of assets allegedly transferred in a “fraudulent manner” to Keurig Dr. Pepper, Inc. f/k/a Green Mountain Coffee Roasters, Inc. (“Defendant”) by EA at the direction of its managing partner.

The Trustee alleges that EA’ s managing partner, Avenatti “directed and caused” EA to make a transfer of its property, including money, to or for the benefit of Defendant during the period preceding the Debtor’s bankruptcy. The Trustee alleges that EA “did not receive reasonably equivalent value” in exchange for the said transfers.

As claimed in the complaint, Avenatti specifically caused EA to make the alleged transfers to or for the benefit of Defendant to fund Avenatti’s operation of Global Baristas and not to sustain or promote the business of EA. The Trustee alleges that Avenatti knew that EA was subject to substantial creditor claims and the transfers will reduce the amount of funds available to pay these creditors, still he “consciously or recklessly” chose to ignore facts known to him, thus strongly suggesting that EA was in default on multiple obligations.

Accordingly, the Trustee argues that the alleged transfers to Defendant are voidable under Sections 544 of the Bankruptcy Code and California Civil Code §§ 3439.04(a)(1) and 3439.07. The case is In re Eagan Avenatti, LLP, Case Number – 8:19-bk-13560-SC in United States Bankruptcy Court for Central District of California.