News & Analysis as of

Loans Commercial Litigation

Farrell Fritz, P.C.

When Additional Obligations Don’t Derail CPLR 3213: Commercial Division Clarifies the Test

Farrell Fritz, P.C. on

Commercial loan documents are notoriously complex, packed with financial reporting requirements, compliance covenants, and collateral maintenance obligations.  For practitioners seeking the expedited relief of CPLR 3213’s...more

King & Spalding

S.D.N.Y. Reiterates that the Implied Covenant of Good Faith and Fair Dealing May Not Create Obligations Inconsistent with Parties’...

King & Spalding on

On March 25, 2025, the U.S. District Court for the Southern District of New York denied a motion to dismiss a lender’s claims for declaratory judgment and other relief under an intercreditor agreement (“ICA”), rejecting the...more

King & Spalding

Southern District of New York Allows Fraudulent Transfer Claims Accusing JPMorgan and Others of Scheme, Dismisses Claims for...

King & Spalding on

On March 27, 2025, the U.S. District Court for the Southern District of New York largely denied a motion to dismiss fraudulent transfer and tortious interference claims arising out of a dispute over the financing and...more

King & Spalding

S.D.N.Y. Rejects Borrower’s Equitable Defenses to UCC Foreclosure Sale

King & Spalding on

On March 3, 2025, the U.S. District Court for the Southern District of New York granted a lender’s motion for declaratory judgment to order a borrower to recognize the effect of a non‑judicial UCC foreclosure sale. The court...more

Pillsbury Winthrop Shaw Pittman LLP

High Court of England and Wales Decision Clarifies “Lender Discretion”

Borrowers and lenders negotiating commercial loan agreements should use precise contractual language to avoid having terms implied into their agreements. In MacDonald Hotels Limited & Anr v Bank of Scotland Plc [2025] EWHC 32...more

Falcon Rappaport & Berkman LLP

Equitable Fairness: Court Denies Lender’s Routine Motion for Summary Judgment In Commercial Foreclosure Action Finding Issues of...

In a recent decision, the Supreme Court in Queens County denied lender’s motion for summary judgment and appointment of a referee to compute in a foreclosure action, finding triable issues of fact, underscoring the importance...more

Cadwalader, Wickersham & Taft LLP

A Halloween Scare: Ambiguity in Loan Terms

A recent decision in the Commercial Division of the Supreme Court, New York County, emphasizes the importance of clear and unambiguous contract drafting in all lending situations, including real estate. Acting Supreme Court...more

A&O Shearman

An important treatment of modified standard form agreements

A&O Shearman on

The Court of Appeal has reversed the High Court’s decision that a modified standard form sub-participation agreement was a hybrid arrangement rather than a conventional sub-participation. The judgment is a useful illustration...more

A&O Shearman

An interest-ing question: when is a default interest rate a penalty?

A&O Shearman on

The Court of Appeal has affirmed a three-step test for penalty clauses: (1) is it a secondary obligation; (2) does the clause protect a legitimate interest; and (3) is it extortionate by reference to the legitimate interest?...more

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