Woodbridge Liquidation Trust Distributions: $37.04 per Interest

What the trust is, and who holds what

The trust did not sell anything to investors. It was formed by the bankruptcy plan of the Woodbridge Group of Companies, whose chapter 11 cases began on December 4, 2017 for 279 debtors (27 more were filed later). Its 10-K describes a group that, before the filing, raised more than $1.22 billion from over 10,000 investors nationwide through five-year “units” in seven Woodbridge funds and through “notes”, and calls the structure a large-scale “Ponzi” scheme. The plan was confirmed in October 2018 and became effective on February 15, 2019. After the filings, the SEC brought proceedings against the debtors and others in federal court in Florida, and the debtors consented to a judgment that the court entered on May 21, 2018.

Holders of allowed claims received interests in the trust, which is a Delaware statutory trust run by a Liquidation Trustee under a five-member Supervisory Board:

“Net” means the principal outstanding minus any prepetition payments other than return of principal, such as interest already received. Holders who contributed their own claims against third parties to the trust on their plan ballot had their net claim multiplied by 105% before the conversion. Class A interests have been registered under the Securities Exchange Act since December 24, 2019 and trade over the counter under the symbol WBQNL; the 10-K calls them thinly traded. Class B interests cannot be transferred except by will or operation of law.

Every distribution, with its date

All eleven distributions went to Class A holders. The figures below are the trust's own table, dollars per Class A interest and dollars in millions declared. The restricted cash account holds amounts the trust set aside for holders whose claims were still being resolved or whose checks were not yet cashed.

Three things sit under that table in the filing. First, reversals of $6.96 million net: $6.74 million for disallowed claims or cancelled interests and $1.50 million forfeited because checks were not cashed within 180 days, partly offset by $1.28 million of checks returned. Second, the trust paid a further $3.95 million out of the reserve account by June 30, 2026 as claims were resolved, and showed $0.69 million of distributions payable that day ($0.64 million on September 25, 2026). Third, the trust says total distributed cash plus distributions payable was about $426.20 million at June 30, 2026.

A separate payment is not in the table: about $4.15 million of net proceeds of assets forfeited to the Department of Justice was paid on December 17, 2024 to “Qualifying Victims”, defined as former holders of allowed Class 3 and Class 5 claims as of the effective date (not Class 4). The trust's December 3, 2024 8-K furnished a press release on that distribution.

Cents on the dollar: the arithmetic

The trust does not print a percentage recovery. It says the percentage will depend on the cash ultimately available and on the allowed claims. Because a Class A interest equals $75.00 of claim, the arithmetic is simple:

• $37.04 declared per interest divided by $75.00 is 49.4 cents per dollar of net claim (our arithmetic), before the reversals described above and before any effect of the 105% multiplier.
• A noteholder with a $100,000 net note claim would hold about 1,333 Class A interests ($100,000 divided by $75), and the eleven declared distributions would add up to about $49,400 (our arithmetic). Each holder's actual figure depends on the “net” calculation and on whether checks were cashed.
• The plan's first priority is $75.00 per Class A interest, so about $37.96 per interest of that first tier remains unpaid (our arithmetic: $75.00 minus $37.04). The trust's net assets of $35.86 million are about $3.11 per interest on 11,516,157 interests (our arithmetic). Those figures are not a forecast; they show the gap between what the plan promises first and what the trust holds.

The waterfall in the plan runs: Class A up to $75.00 per interest; then Class B up to $75.00 per interest; then all interests pro rata until they have received 10% annual interest, compounded, on the outstanding claims from December 4, 2017; then holders of subordinated claims. Class B holders are therefore behind Class A, and the filing's table lists distributions to Class A only.

Where the money went and what is left

Net assets were $37.334 million on June 30, 2025, so they fell by about $1.48 million in the year (the 10-K shows a $1.83 million drop in the carrying value of assets and liabilities, partly offset by $0.35 million of reversed distributions). The trust expects about $1.84 million of the $2.80 million of accrued interest it carries to arrive in the year ending June 30, 2027. The trust has sold all of its real estate except that one home, so future sale proceeds “will be negligible”, in its words.

The cash is being held mainly against the cost of a single problem. In June 2023 the buyer of a single-family home that a trust subsidiary had sold for about $60 million asserted a construction defect claim, alleging soils-related damage to retaining walls, the pool and flooring, among other things, and water leaks. The first repair phase began in the quarter ended March 31, 2026 and is expected to finish in the fourth quarter of calendar 2026, though the filing warns of “numerous delays”. Later phases are still being scoped. The subsidiary expects to resolve the claim by February 15, 2028 but says it may take longer, and the 10-K says the liability may exceed the amount accrued.

The lawsuits: what was won, what is still being collected

The 10-K says the trust “has liquidated substantially all of its real estate assets and resolved all of its Causes of Action”. The remaining income streams are three settlement receivables, collection of judgments and Fair Fund money from the SEC. The trust's Liquidation Trustee is entitled to incentive compensation of 5% of gross settlements, and the trust records that amount as a liability; none was paid in the year ended June 30, 2026.

The wind-down calendar

The IRS ruling mentioned in the 10-K says any extension to February 15, 2030 would not cost the trust its status as a liquidating trust for tax purposes. The 10-K also warns that interest holders may owe tax on trust income whether or not cash is distributed.

Our read

The record answers the question searchers actually ask: how much has been paid, and when. About 49 cents per dollar of net claim was declared across eleven payments between March 2019 and May 2023, the last one now more than three years old. The cash that is left is, in the trust's own accounting, mostly earmarked for repairing one house and defending a claim that may cost more than has been set aside. That is why the trust says it cannot estimate the timing or amount of any further distribution, and why net assets per interest ($3.11 on our arithmetic) should not be read as money coming. The 10-K says the construction liability “may be in excess of” the amount accrued, and it does not say what happens to holders if the cost is higher. Nothing in this page tells you what to do with an interest.

What a reader can do with this

• Find your own interests. Your statement should show Class A interests (and Class B, if you were a unit holder). Multiply by the dollars per interest in the table to see what was declared to you, then check it against checks you cashed. The 10-K says checks not cashed within 180 calendar days can lead to forfeiture of reserved and future distributions, and that the trust sent final-notice letters on February 1, 2022 and November 24, 2025.
• Check the $10 rule. No distribution is required unless a holder would receive at least $10.00 in that distribution, so very small positions may not be paid in a future round.
• Keep your tax records. The 10-K says an interest holder's tax liability could exceed the distributions received, because trust income may be taxable to holders whether or not cash is distributed. A tax professional can tell you how the loss and the distributions fit your return.
• Compare with other wind-downs. GWG Holdings' L Bond holders were paid about 3.7 cents per interest by a trust formed in 2023, and GPB Capital's wind-down is a second case of a sponsor whose investors wait on a court-supervised process. Our guide to private money lenders uses the Woodbridge case as an example of what hard money investing can look like when it fails.

FAQ

This is analysis of public documents, not investment, legal or tax advice. Sources, read on November 10, 2026: Woodbridge Liquidation Trust filings on SEC EDGAR (CIK 1785494): Form 10-K for the year ended June 30, 2026 (accession 0001140361-26-037688, filed September 25, 2026), Form 10-K for the year ended June 30, 2025 (0001140361-25-036144), Form 10-Q for the quarter ended March 31, 2026 (0001140361-26-021291), and Form 8-Ks of July 10, 2024 (0001140361-24-032822), December 3, 2024 (0001140361-24-048267), October 24, 2025 (0001140361-25-039299) and July 30, 2026 (0001140361-26-030226).