Neff Creditors Want OK To Sue Over Crushing Debt

Law360, New York (August 19, 2010, 1:13 PM EDT) -- Unsecured creditors of Neff Rental Inc. have asked for permission to sue its lenders, shareholders, and officers and directors over a series of leveraged buyouts the creditors say pushed the construction rental company into bankruptcy.

In a motion filed Wednesday in the U.S. Bankruptcy Court for the Southern District of New York, Neff's official committee of unsecured creditors say that when a group of private equity firms led by Lightyear Capital LLC purchased Neff in a leveraged deal valued at $935.9 million, the company's debt ballooned...
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