News & Analysis as of

Lenders Borrowers Insolvency

White and Williams LLP

Of Whiskey and Martha’s Vineyard Realty:  Federal Receivership Ordered for Fast Growing Uncle Nearest Brand

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Companies facing financial difficulties often utilize Chapter 11 to help effectuate a restructuring or sale as part of a case filed in the United States Bankruptcy Court. In other instances, a company’s lender – impatient...more

Harris Beach Murtha PLLC

Lender Considerations in Deed-in-Lieu Transactions

When a commercial mortgage lender sets out to enforce a mortgage loan following a borrower default, a key goal is to identify the most expeditious manner in which the lender can obtain control and possession of the underlying...more

Poyner Spruill LLP

A Lender’s Introduction to Fraudulent Conveyances: What They Are and How to Prevent

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Lenders extend loans with the belief that if a borrower fails to make debt service payments, the lender can sell the underlying collateral and recoup the outstanding balance of the loan.  However, bankruptcy courts have the...more

A&O Shearman

Navigating private credit in Türkiye

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Türkiye is fast emerging as an increasingly attractive destination for private credit providers looking to deploy capital and diversify their portfolios. Despite this growing interest, relative to its size as the seventh...more

A&O Shearman

Time is an illusion. Lunchtime doubly so*

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The court reassures lenders on the effect of a termination notice, the meaning of a continuing Event of Default and the effectiveness of reservation of rights letters: Re Pocket Renting. Appointment of administrator...more

J.S. Held

Lending Climate in America – 1st Quarter 2024 Survey

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With inflation continuing to impact the US economy, lenders are focused on the economic impact of the presidential election in November. Lenders’ expectations for the US economy’s performance in the longer term – beyond the...more

Troutman Pepper Locke

The Double Dip: Guacamole Faux Pas ‎or Liability Management ‎Technique?

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Jerry Seinfeld and Larry David taught us that you can’t double dip a chip—“it’s like putting your whole mouth right in the dip.” However, the credit markets have recently been focused on a different type of double dip, one...more

Seward & Kissel LLP

Net Asset Value Credit Facilities: Key Issues And The Current Market

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Net asset value based credit facilities (“NAV Facilities”) are credit facilities pursuant to which the availability thereunder is based on the net asset value of the investments of the borrower, typically a private fund. The...more

Buchalter

Distressed Startups: A Bankruptcy Lawyer’s Perspective

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Turmoil in the tech ecosystem and escalating sentiment that a recession in the U.S. might occur in the near-term, indicate that startups, their lenders, and investors may soon confront extreme financial challenges – and will...more

Fenwick & West LLP

Silicon Valley Bank Closure: Updated Considerations Following the Creation of Silicon Valley Bridge Bank, N.A.

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Considerations relating to Silicon Valley Bank (SVB)’s closure have continued to evolve as a result of the recent announcement by the Federal Deposit Insurance Corporation (FDIC) that it has transferred all deposits—both...more

Seward & Kissel LLP

Bank Contagion Spreads, Celsius Still Sending the Wulf? Voyager Nearing End of Journey, and Info (Salary) Wars

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Crypto-friendly lender Silvergate collapses | CNBC - Silvergate, a Crypto focused lender, announced it will wind down its operations and voluntarily liquidate the bank. This announcement comes a week after Silvergate...more

Hogan Lovells

The Arrium Proceedings – when is a company insolvent and when is a representation not a representation?

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The Supreme Court of New South Wales has recently handed down its decision in proceedings (“Arrium Proceedings”) brought by a number of lenders against former officers and employees of Arrium Limited and its subsidiaries...more

White & Case LLP

Market reset could trigger restructurings in 2021

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HEADLINES - In March 2020, credit insurer Euler Hermes forecast a 43% increase in insolvencies in the UK in 2021, as well as a 26% uptick in France and 12% in Germany. - By December 2020, ratings agency S&P was...more

Faegre Drinker Biddle & Reath LLP

The Return of Crown Preference — Implications for Borrowers and Lenders

The first day of December witnessed an early visit from the ghost of Christmas past for the rules relating to the order of priority on insolvency. For insolvencies commenced on or after 1 December 2020, Her Majesty’s Revenue...more

K&L Gates LLP

COVID 19: UK Insolvency Reform – Crown Preference Returns From 1 December 2020

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EXECUTIVE SUMMARY - On a UK company’s insolvency, the UK tax authority (HMRC) will become a preferential creditor in respect of certain unpaid taxes (Crown Preference) with effect from 1 December 2020. Despite lobbying...more

Lowenstein Sandler LLP

How To Respond When Your Banker Requests A Visit

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Borrowers should not be surprised when their lender requests a “checkup,” financial review, or audit. Lenders are nervous. Despite long-term institutional relationships with customers, many banks are seeking to reduce...more

Akin Gump Strauss Hauer & Feld LLP

[Podcast] UK Financial Restructuring During COVID-19

The economic landscape has changed immeasurably as a result of the COVID-19 pandemic. Access to cheap credit has disappeared, and many companies have raced to draw down on existing facilities in an effort to access as much...more

White & Case LLP

COVID-19-Czech Government Financial Assistance Measures

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The Czech Government has enacted a number of measures in order to provide businesses affected by the novel coronavirus (“COVID-19”) pandemic with a package of emergency economic relief and financial assistance. The measures...more

A&O Shearman

COVID-19: Update for Borrowers and Lenders in Germany

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In light of the growing pandemic of COVID-19 the German government has decided on a number of unprecedented restrictions for all areas of private and business life which were unimaginable just a few weeks ago. As a result,...more

A&O Shearman

Report on Loan Enforcement Laws Across the EU Published

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The European Commission has published a study analyzing the individual and collective loan enforcement laws in the 28 EU member states. The report, authored by Dr Steffek, University of Cambridge, sets out in anonymized...more

Moritt Hock & Hamroff LLP

A Guaranty for Every Need: An Overview of the Variety of Loan Guaranties-and How to Select the Right One

Underwriting a commercial credit facility is a process of weighing various risk mitigators until the lender is satisfied that the potential for loss is within its tolerance. By evaluating collateral value, credit history,...more

Vedder Price

Global Transportation Finance Newsletter - April 2018

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Aircraft Lender Not Responsible for Customer’s Structuring Strategy - Most business aircraft purchasers, especially high net worth individuals, rely on advice from their various resources when acquiring such expensive...more

Baker Donelson

"I Knew You Were Trouble": Recent Trends in Lender Liability Litigation

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Lender liability claims generally arise in one of following contexts: (i) claims seeking recovery of damage or "leverage" to accept discounted payoffs; (ii) counterclaims to foreclosure/receivership/guarantor actions; or...more

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