News & Analysis as of

Collateral Borrowers Financial Services Industry

Sheppard Mullin Richter & Hampton LLP

Art as Collateral: The Legal Landscape of Art-Backed Lending

Fine art was once regarded primarily as a cultural or emotional asset—meant to be displayed, appreciated, and eventually passed down through generations. But as the art market became increasingly sophisticated and intertwined...more

Cadwalader, Wickersham & Taft LLP

Quarter End Fireworks, June 2025 - Letter of Credit Refresher

Many subscription credit facilities will provide for the issuance of letters of credit in addition to the funding of loans. A letter of credit is an irrevocable undertaking for the payment of money issued by a bank at the...more

Bennett Jones LLP

The Alberta Government Proposes to Change the Cost of Registering a Mortgage

Bennett Jones LLP on

There is a potentially expensive fee change on the horizon here in Alberta that may catch lenders and borrowers with large and/or multi-jurisdictional credit facilities unaware.This change will affect mortgages (collateral or...more

DLA Piper

Ensuring Positive Outcomes With Negative Pledges in Venture Lending

DLA Piper on

A “negative pledge” on intellectual property is a common feature of venture lending transactions, but its implications can often be misunderstood. Some lenders may be surprised to discover that it does not always provide the...more

Cadwalader, Wickersham & Taft LLP

B(ack to School) September 2024 - Unlocking Liquidity With a Tranche B Facility

Liquidity solutions are a topic du jour in fund finance. With bank balance sheets somewhat restricted by macroeconomic concerns and risk-weighted asset regulations, fund finance borrowers and lenders have sought creative ways...more

Mayer Brown

NAV Credit Facilities: The Spectrum of Collateral Structures

Mayer Brown on

Executive Summary - Net Asset Value (“NAV”) credit facilities are a tool that borrowers may use to access financing based on the value of their underlying investment portfolio. The users of these facilities are generally...more

Proskauer Rose LLP

Understanding the Increasing Use of Holdco NAV Loan Structures

Proskauer Rose LLP on

While the market for NAV financings—loans to funds supported by the net asset value of their portfolios—grew in 2023 and continues to rapidly evolve, a consensus has developed around what is sometimes referred to as a “Holdco...more

Cadwalader, Wickersham & Taft LLP

Controlling Cash March 2024 - Cash Control Event: Lender and Borrower Considerations

Our readers have been blessed with wonderful Fund Finance Friday articles dealing with the maintenance of collateral accounts in 'When Deposits Don’t Travel with Loans', control over collateral accounts in 'Control or Control...more

Mayer Brown

Subscription Finance: Commingling Collateral Accounts

Mayer Brown on

For loans primarily secured by a cash flow stream, subscription facility lenders heavily depend on collateral accounts as a key element of the security package. In this Legal Update, we delve into why subscription facilities...more

Sullivan & Worcester

Collateral Managers – Do you need them?

Sullivan & Worcester on

In our webinar of 23 March 2023, Sam Fowler-Holmes and I looked at some common structures in trade finance. When discussing structuring warehouse financing, we mentioned that one key mitigator of risk in such structures...more

Miller Nash LLP

Why Does My Lender Want My Attorney to Send It an Opinion Letter?

Miller Nash LLP on

Although they have been around for many years, it is becoming more common for a commercial loan lender to require that the borrower’s counsel provide it with an opinion letter. At first blush, this may seem like an oddity:...more

Kilpatrick

This Servicing Counselor identifies issues a servicer considers when a borrower requests a release of part of the collateral that...

Kilpatrick on

Example 1. Borrower’s loan documents provide that borrower may obtain the release of noteholder’s lien on a portion of the collateral (Parcel C) if: (1) borrower pays a $1.5 million release price to pay down part of the...more

Orrick, Herrington & Sutcliffe LLP

Distress in Commercial Real Estate - Considerations for the CRE Warehouse Market

There has been increasing use in Europe by non-bank lenders of warehouse finance in the commercial real estate (CRE) lending market. These private financing structures are used by non-bank CRE lenders such as real estate debt...more

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