News & Analysis as of

Secured Debt

Stark & Stark

Tenant Abandonment of Property at Leased Premises in New Jersey

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What Rights and Remedies Does a Landlord Have Against the Tenant or Secured Creditors? Although not ideal, most every landlord has experienced a commercial tenants to sometimes ceasing business operations and handing over...more

Cadwalader, Wickersham & Taft LLP

Stablecoins Have a UCC Problem

Highlights: Stablecoins are likely to be characterized as general intangibles under the UCC of non-Article 12 states....more

Goodwin

Credit Bidding: Converting Secured Loans to Winning Bids

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When a company enters bankruptcy, its assets are often sold to the highest or best bid. Secured lenders — those who have perfected liens on the company's assets — have a unique advantage under Section 363(k) of the Bankruptcy...more

Holland & Knight LLP

Significant Changes to SNF Disclosure Requirements Prompt Need for Regulatory Review

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To enhance quality of operations and increase transparency in ownership within skilled nursing facilities (SNFs), the Centers for Medicare & Medicaid Services (CMS) issued its Final Rule for ownership disclosures for Medicare...more

Womble Bond Dickinson

The Risks of Debt Purchase Transactions

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The commercial real estate (CRE) industry is facing a looming wall of $2 trillion in debt maturities, with an estimated $929 billion coming due this year. These staggering numbers are particularly troubling since refinancing...more

Kerr Russell

TGI … Bankruptcy? Another restaurant chain contemplates Chapter 11

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Chapter 11 bankruptcy continues to be a featured menu item for struggling restaurant chains. According to Bloomberg, TGI Fridays is the latest restaurant chain to contemplate a Chapter 11 bankruptcy filing. TGI Fridays is...more

Seward & Kissel LLP

Maximizing Value, Release Valve, and L.A. Law

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True Value files bankruptcy with a bid to sell to a hardware rival | CNN - On Monday, 75-year-old hardware store brand True Value filed for bankruptcy and plans to sell its entire operations to rival company Do it Best,...more

Ervin Cohen & Jessup LLP

Can You Collaterally Attack a Receiver’s Appointment?

Q: I am a receiver for a partnership. I was appointed pursuant to a stipulation between the current partners and a secured creditor. After an extensive investigation, I have sued the former managing partner and her mother to...more

Womble Bond Dickinson

Essential Strategies for Managing Maturing CRE Loans in Today's Market

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The commercial real estate industry is facing an impending tsunami of $2 trillion in debt maturities, with an estimated $929 billion coming due this year. If you will be caught in this net because the loan secured by your CRE...more

Holland & Knight LLP

Making Lemonade from Lemons: A Mortgage Lender's Guide to Successful Loan Workouts, Part 2

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If you are a mortgage lender who followed the recommendations in the first article in this series, then you should have a solid grasp of your mortgage portfolio. You have identified the relevant players and their respective...more

Lerman Senter PLLC

FCC Issues $1.8 Million Penalty Against Nexstar and Mission; Orders Station Divestiture

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The FCC has fined Nexstar Media Group, Inc. and Mission Broadcasting, Inc. $1.8 million after finding Nexstar exercised de facto control over Mission’s Station WPIX (TV) in New York without FCC consent. The FCC also found...more

Latham & Watkins LLP

Lexology In-Depth - Acquisition And Leveraged Finance

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It was a muted start to the year for the acquisition and leveraged finance market due to a challenging macroeconomic climate. Interest rate hikes at one of the fastest paces on record, surging inflation (particularly in...more

Womble Bond Dickinson

Debt Purchase Transactions: Beware of the Risks

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This article originally published in the November 2024 issue of ALI CLE’s The Practical Real Estate Lawyer. CRE Secured Debt Purchase Transactions present unique risks that should be understood and carefully managed.  ...more

Seward & Kissel LLP

Supreme Question, Truck Pickup, and Core Workout

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US Supreme Court torn over Purdue bankruptcy suit| Reuters - On Monday, U.S. Supreme Court justices grappled with whether to affirm OxyContin producer Purdue Pharma’s bankruptcy plan. S&K Take: Really couldn’t lead...more

Tonkon Torp LLP

Uncertainty in Oregon for Crypto Assets Under Commercial Law

Tonkon Torp LLP on

While some states have moved to adopt model Uniform Commercial Code (UCC) provisions to provide a clear legal framework for commercial and secured transactions involving crypto assets, Oregon has yet to take action. This is a...more

ArentFox Schiff

Avoiding Collateral Damage: Lessons of Lehman [Part II]

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In light of the banking failures of Silicon Valley Bank, Signature Bank and First Republic (as well as Credit Suisse), this summer, the Federal Reserve and the FDIC proposed guidance and rules for larger banks to (i) develop...more

Kramer Levin Naftalis & Frankel LLP

New York Bankruptcy Court Raises the Cost of Keeping Funded Debt: Debtor Needs to Pay Default Interest Rate in Reinstatement of...

What Happened? One fundamental question in any restructuring relates to the treatment of funded debt obligations, like mortgages. When the cost of prepetition debt is higher than the prevailing market rates, a debtor may...more

Latham & Watkins LLP

2nd Circuit Ruling Is Good For Syndicated Lending Stability

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On Aug. 24, the U.S. Court of Appeals for the Second Circuit issued its highly anticipated decision in the case of Kirschner v. J.P. Morgan Chase Bank NA. The three-judge panel unanimously upheld the district court's...more

Goodwin

Till We Meet Again: Eighth Circuit Weighs in on Appropriate Interest Rate in a Cramdown

Goodwin on

Much has been written about how to calculate the appropriate interest rate for the deferred cash payments a debtor may propose to pay to a rejecting secured creditor under a “cramdown” Chapter 11 plan to meet the “fair and...more

BCLP

Crisis Averted: Second Circuit Rejects Effort to Recast Secured Loans as Securities

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On August 24, 2023, the Second Circuit prevented turmoil in the commercial lending market, ruling in Kirschner v. JP Morgan Chase Bank, N.A. (JPM), et al. that syndicated secured term loan notes were not securities for...more

Troutman Pepper Locke

Who Is the Claims Agent and What Type of Information Can I Obtain on Their Website? - Creditor’s Rights Toolkit

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Troutman Pepper's Creditor’s Rights Toolkit is a series that provides practical insights to help creditors confront the challenges of commercial bankruptcy. A claims agent is a third party retained by the debtor to take on...more

Troutman Pepper Locke

Washington Becomes Latest State to Decide Bankruptcy Impact on Debt Collection Statute of Limitations

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In April, we discussed how Colorado’s state supreme court issued its highly anticipated decision confirming a borrower’s bankruptcy discharge does not accelerate secured installment debt or trigger the final statute of...more

Rivkin Radler LLP

Debt or Equity? The Never-Ending Question For Closely Held Businesses

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What Was Intended? Transactions between commonly controlled, closely held businesses are often conducted in an informal manner. This is unfortunate because, in the absence of documentation, it is sometimes difficult to...more

Latham & Watkins LLP

Hong Kong Airlines - A Restructuring Unparalleled

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A novel debt restructuring plan will allow the carrier to recover following pandemic turbulence. In December 2022, Hong Kong Airlines’ Hong Kong scheme and English restructuring plan were sanctioned by the respective...more

Latham & Watkins LLP

Release Me From My Bands Or Else My Project Fails Third Party Releases in Schemes

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Third-Party Releases are common in English law schemes of arrangement and restructuring plans, and US courts have so far indulged that approach in granting recognition. If Prospero’s plea to the audience at the...more

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