ACIC Private Notes Summer 2021 Edition: 2021 Spring Virtual Investment Forum Recap By: Aaron Borden (Prudential Financial) What a difference a year makes. This year’s ACIC Spring Investment Forum marked roughly the one year anniversary of the Covid-19 pandemic. A year ago, most of us were confronting a number of firsts — transitioning to a […]
2020
New England Region: Germinara v. People’s Comprehensive Mortgage, LLC
Massachusetts Appeals court affirms decision that while loan made by Lender was usurious, the correct remedy was reformation and not rescission. Lender’s recording of deeds in lieu of foreclose and taking foreclosed property were also not unfair or deceptive trade practice as the Borrower was a sophisticated businessperson, represented by counsel and the taking of […]
Project Finance Trends, Challenges, and Opportunities in 2021
By: Paul Belval and Alexander Judd from Day Pitney LLP 2020 Recap As we look ahead to 2021 and the trends, challenges and opportunities for project finance, we can’t help but pause to take a look back at 2020 and the development of renewable resources. Notwithstanding the COVID-19 pandemic, renewable energy continues to be a […]
United Kingdom Updates: Tax 2020 Developments Affecting Financial Restructurings
Tax 2020: Developments Affecting Financial Restructurings By: Tom Bannister, Akin Gump Strauss Hauer & Feld LLP Executive Summary During the course of 2020, the U.K. government has pushed ahead with introducing new measures that are likely to be of material relevance to financial restructurings and corporate reorganizations. There have also been other international developments […]
United Kingdom Update: Corporate Insolvency and Governance Act
By: Tom Bannister, Akin Gump Strauss Hauer & Feld LLP The Corporate Insolvency and Governance Act (the “Act”) received Royal Assent on 25 June 2020 and is now in force. The Act represents the most extensive changes in the insolvency landscape since the Enterprise Act came into force in 2003. The provisions of the Act […]
Canadian Update: The Supreme Court of Canada Affirms the Common Law Anti-Deprivation Rule
By Danielle Maksimow and Hansik Ha, Norton Rose Fulbright Canada LLP Introduction On October 2, 2020, the Supreme Court of Canada (the “SCC”) confirmed the existence of the common law anti-deprivation rule in Canada with its majority decision in Chandos Construction Ltd. v Deloitte Restructuring Inc., 2020 SCC 25. The anti-deprivation rule operates to invalidate […]
President’s Message – January 2021
Happy New Year!!! One of my favorite quotes is by the 80’s philosopher Ferris Bueller. “Life moves pretty fast. If you don’t stop and look around once in a while, you could miss it.” 2020 provided us with a lot of things – COVID, work from home, remote learning, isolation, masks, zoom meetings, virtual happy […]
ACIC Private Notes – December 2020
2020 ACIC New Officers and Trustees
Article prepared by Bryan Cho (MetLife) —- Congratulations to each of the following new officers and trustees who were elected at the ACIC’s Virtual Fall 2020 Annual Meeting and Education Conference: Officers (For the 2020-2021 Period): President: Tina Smith (Thrivent Financial) Vice President 1: Christopher S. Dallas (Pacific Life Insurance Company) Vice President 2: Renée […]
Financial Liquidity and Business Restructuring in the wake of COVID-19
The protracted impact of COVID-19 on financial liquidity is due to reach an inflection point for European businesses. As lines of credit reach their limits and businesses begin to assess the long-term damage from a global lockdown, restructuring will be a priority discussion. As restructuring commences, it will be crucial to understand the effect on […]
ACIC Private Notes – November 2020
Key Inter-creditor Concepts in Renewable Energy Transactions
Key Inter-creditor Concepts in Renewable Energy Transactions (By David Markey and Jeff Atkin from Foley & Lardner LLP) Overview The capital used to construct, operate and maintain renewable energy projects in the United States is by now fairly well established. Of course, there are variations depending on the deal, but typically three sources of capital […]
2020 Fall Virtual Annual Meeting and Educational Conference Summary
Summary –ACIC 2020 Virtual Fall Annual Meeting and Education Conference By: Aaron Borden (Prudential Financial) This past year has been both unprecedented and challenging, to say the least. In a single year, we have experienced a pandemic, struggled through an extraordinary strain on the economy, and confronted aspects of racial injustice. Most of us […]
ACIC Private Notes – October 2020
Rocky Mountain/Western Update – In re Medina
Ronald E. Stadtmueller, Chapter 7 Trustee v. Sarkisian (In re Medina) B.R. (2020), 2020 WL 4742491 (B.A.P. 9th Cir. Aug. 14, 2020) Article courtesy of David Simonds and Edward McNeilly (both of Hogan Lovells) In In re Medina, the Bankruptcy Appellate Panel for the Ninth Circuit (the “BAP”) held that “actual damages” were not required […]
Rocky Mountain/Western Update – Gunderson v. Weidner Holdings, LLC
Gunderson v. Weidner Holdings, LLC, 463 P.3d 315 (Colo. App. 2019) Article courtesy of David Simonds and Edward McNeilly (both of Hogan Lovells) In Gunderson v. Weidner Holdings, LLC, the Colorado Court of Appeals, the intermediate appellate court of the state of Colorado, held that the Uniform Commercial Code’s statute of limitations, not the general […]
Rocky Mountain/Western Update – Blixseth v. Credit Suisse
Blixseth v. Credit Suisse, 961 F.3d 1074 (9th Cir. 2020) Article courtesy of David Simonds and Edward McNeilly (both of Hogan Lovells) In Blixseth v. Credit Suisse, the Ninth Circuit Court of Appeals, for the first time, affirmed the validity of a narrowly tailored exculpation clause that released a lender from certain potential claims against […]
Southwest Update – Legacy Bank v. Fab Tech Drilling Equipment, Inc.
Priority Lienholder does not Waive Senior Security Interest by Failing to Exercise Remedies Prior to Junior Judgment Creditor Exercising Foreclosure Rights Article courtesy of Andrew Thomison (of Baker Botts) In Legacy Bank v. Fab Tech Drilling Equipment, Inc., 566 S.W.3d 922 (Tex. App. 2018), the Texas Court of Appeals (the “Court“), in an issue of […]
Southwest Update – In re: Hidalgo County Emergency Service Foundation v. Carranza
Bankruptcy Court Not Permitted to Issue Injunction Against SBA Administrator Article courtesy of Andrew Thomison (of Baker Botts) In In re: Hidalgo County Emergency Service Foundation v. Carranza, 962 F.3d 838 (5th Cir. 2020), the 5th Circuit Court of Appeals (the “Court“) was called upon to determine whether the bankruptcy court exceeded its authority when […]
ACIC Private Notes – September 2020
New England Region: Huntington Technology Finance., Inc. v. Neff
By: Kevin Braun and Greg Norton, Morgan Lewis Guarantors’ waiver of defenses to enforcement under guaranty of a lease was upheld, as Guarantor failed to show that the lease was a security interest (as to which Article 9 of the UCC would apply, and under which defenses such as the requirement of good faith and […]
New England: Finance Authority of Maine v. Grimnes
By: Kevin Braun and Greg Norton, Morgan Lewis The commercially reasonableness requirement of §9-1607(3)(a) of the Maine U.C.C. (§9-607(c)(1) of the U.C.C.) did not apply to Secured Lender’s decision not to pursue collateral and instead sue on the personal guaranty of a guarantor. Finance Authority of Maine v. Grimnes, 2020 WL 2764564 (Supreme Judicial Court […]
New England Region: Goddard v. Loosigian
By: Kevin Braun and Greg Norton, Morgan Lewis Massachusetts Appeals Court affirms decision that principal debtor had no right of contribution against guarantor, holding that parties were not co-guarantors on promissory notes, but relationship was one of principal debtor and guarantor. Goddard v. Loosigian, 97 Mass. App. Ct. 1125, (2020). Thomas Goddard (the “Debtor”) and […]
Southern Region: ING Bank, N.V. v. M/V Charana Naree
By: Jeff Dutson, King & Spalding, LLP U.S. maritime law permits assertion of liens over shipping vessels themselves, even when chartered, for necessaries such as shipping fuel, absent actual notice of no-lien provisions of charter to supplier of necessaries; and reference to terms and conditions of sale, printed on the order form, sufficient to allow […]
Southern Region: The Rainmaker Group Ventures, LLC v. Bellack
By: Jeff Dutson, King & Spalding, LLP Claim of implied covenant of good faith and fair dealing to former shareholder based on ambiguity in LLC Agreement did not apply where the subject at issue was expressly addressed in the agreement. The Rainmaker Group Ventures, LLC v. Bellack, 841 S.E.2d 738 (Ct. App. Ga. 2020). The […]
Southern Region: Wilson v. Gandis
By: Jeff Dutson, King & Spalding LLP A thorough review of company emails reveal a plot by the majority members to squeeze out the minority member. Wilson v. Gandis, 844 S.E. 2d 631 (S.C. Sup. Ct. 2020). David Wilson, a minority member in a 3-member LLC (Carolina Custom Converting, LLC, aka “CCC”) brought an action […]
Southern Region: Wells Fargo Bank, N.A. v. Highland Constr. Mgmt. Servs.
By: Jeff Dutson, King & Spalding LLP Pledge of security interest in a Virginia LLC does not include debtor’s indirect membership interests in such LLC absent explicit language in security agreement. Wells Fargo Bank, N.A. v. Highland Constr. Mgmt. Servs., L.P., 807 F. App’x 246, 248 (4th Cir. 2020) The issue before the Fourth Circuit […]
Southern Region: Synovus Bank v. Kelley
By: Jeff Dutson, King & Spalding LLP Georgia Supreme Court rules that a judgment creditor’s lien on real property is created the day the judgment is recorded, not the day the judgment is issued. Synovus Bank v. Kelley, No. 7:18-cv-00202 (Ga. Sup. Ct. Aug. 24, 2020). On December 7, 2016, Synovus Bank won a judgment […]
Committee Reports: September 2020
By: Mikhel Schecter of Paul, Weiss, Rifkind, Wharton & Garrison, LLP Development Committee The Development Committee is tasked with engaging the membership, assessing and addressing membership needs and interests, and planning some of the interactive events at the April Conferences and October Meetings. In connection with the upcoming October Annual Meeting, the Development Committee will […]
Revisiting Force Majeure Provisions in light of the Coronavirus Outbreak
By: Chiraag Kumar, Senior Counsel at MetLife Investment Management The coronavirus outbreak has impacted the world in myriad ways. The most distressing, of course, is the health effects felt by the millions of people who have been inflicted. The adverse impacts on business have been far less concerning, but substantial. One example: project finance investors […]
ACIC Private Notes – August 2020
Midwest Update: Stoebner v. Opportunity Finance, LLC, et al.
Article courtesy of Michael D. Robson (Greenberg Traurig) Stoebner v. Opportunity Finance, LLC, et al., 2018 WL 6055636, 66 BCD 127 (8th Cir. 2018). In a proceeding under Chapter 7 of the United States Bankruptcy Code (the “Code”), the United States Court of Appeals, Eighth Circuit, affirmed the grant of the Defendants’ motion to dismiss […]
Midwest Update: Tissue Technology, LLC v. Tak Investments, LLC
Article courtesy of Michael D. Robson (Greenberg Traurig) Tissue Technology, LLC v. Tak Investments, LLC, No. 18‑1835 WL 5318271 (7th Cir. 2018) In an investment dispute arising under an agreement to build $315 million worth of tissue mills, the United States Court of Appeals, Seventh Circuit (the “Court”), upheld a lower court decision that withheld […]
Midwest Update: U.S. v. Banyan, et al.
Article courtesy of Michael D. Robson (Greenberg Traurig) U.S. v. Banyan, et al., Nos. 17‑6410 & 17‑6493, 2019 WL 3540794 (6th Cir. 08/05/19). In a case before the 6th U.S. Circuit Court of Appeals (the “Court”), a split panel reversed the conviction of two parties for bank fraud arguing that the United States federal government […]
Midwest Update: In re Happy Jack’s Petroleum, Inc.
Article courtesy of Michael D. Robson (Greenberg Traurig) In re Happy Jack’s Petroleum, Inc., 2019 wl 2281610, 67 BCD 77 (Bankr. D. Neb. 2019). In a case of first impression before the U.S. Bankruptcy Court, District of Nebraska (the “Court”) analyzed whether the conversion of a bankruptcy case from a Chapter 11 bankruptcy (a “reorganization bankruptcy”) to […]
Mid-Atlantic Update: Trzaska v. L’Oreal USA, Inc. & L’Oréal, S.A.
Article courtesy of Margaret G. Parker-Yavuz (Akin Gump) Trzaska v. L’Oreal USA, Inc. & L’Oréal, S.A., 2020 WL 1082616 (D.N.J. March 5, 2020) The U.S. District Court for New Jersey affirmed a magistrate judge’s letter order denying an application to compel production of emails, finding that the emails were protected by attorney-client privilege. The emails […]
Mid-Atlantic Update: Kirschner v. J.P. Morgan Chase Bank, N.A.
Article courtesy of Margaret G. Parker-Yavuz (Akin Gump) Kirschner v. J.P. Morgan Chase Bank, N.A., et al., 2020 WL 2614765 (S.D.N.Y. May 22, 2020) Overview: Applying the so-called “family resemblance” test from Reves v. Ernst & Young, the U.S. District Court for the Southern District of New York found that notes issued to institutional investors […]
Mid-Atlantic Update: Ritzen Group, Inc. v. Jackson Masonry, LLC
Article courtesy of Margaret G. Parker-Yavuz (Akin Gump) Ritzen Group, Inc. v. Jackson Masonry, LLC, 140 S. Ct. 582, 205 L. Ed. 2d 419 (2020) Overview: The Supreme Court affirmed Sixth Circuit and lower court decisions holding that a bankruptcy court’s order denying relief from the automatic stay constitutes a final, immediately appealable order and […]
ACIC Private Notes – July 2020
Canadian Update: Government Liquidity Program Options for Canadian Debtors
By: Danielle Maksimow and Hansik Ha, Norton Rose Fulbright Canada LLP Many Canadian businesses who are debtors of institutional investors are facing economic pressures and liquidity concerns during the COVID-19 pandemic. In response, the Government of Canada is providing various liquidity support to qualifying Canadian businesses to alleviate this concern. Businesses can qualify for various […]
Spotlight on New Fellows – July 2020
By: Bryan Cho, MetLife Arinze N. Onugha is a senior associate in the New York office of Sullivan & Worcester. He represents institutional investors, including regulated funds of funds, family offices and pension plans, making alternative investments in domestic and offshore special situations, growth, buy-out, venture capital, real estate and other private investment funds and […]
President’s Message July 2020
President’s Message By: Anthony D. Yager, Chapman and Cutler LLP What an unusual year 2020 has been so far! Like me, I assume many of you have been relegated to working from home during quarantine on a makeshift desk, hoping to resume our normal lives soon. Fortunately, the weather has finally been nice enough here […]
ACIC Private Notes – June 2020
Current COVID-19 Topics in the Power Industry
Current COVID-19 Topics in the Power Industry By: Alex Smorczewski, Amy Maloney and Casey August Morgan, Lewis & Bockius LLP During this unprecedented time of global pandemic, the power industry has found itself under extraordinary pressures and been forced to confront many issues of first impression. Following is a brief treatment of several topics that […]
ACIC Private Notes – May 2020
ACIC TPMC Committee Model Form Updates
A lot of what the TPMC has been discussing over the last few weeks was addressed in the ACIC CLE presentation on April 16, 2020 entitled,“The Practical Impacts of COVID-19 on Private Placement Transactions”, by Colin Pennycooke (Principal Insurance), Stacey Pike (Chapman and Cutler LLP), Christopher A. Lawrence (Akin Gump Strauss Hauer & Feld LLP), […]
ACIC Private Notes – April 2020
Southwest Update – Matter of Henry
Bankruptcy Court has Discretion to Refuse to Enforce Compelled Arbitration Provision in Proceedings Seeking Enforcement of Discharge Injunction In Matter of Henry, 944 F.3d 587 (5th Cir. 2019), the 5th Circuit Court of Appeals was called upon to determine whether the bankruptcy court erred in refusing to enforce an arbitration agreement and to compel arbitration […]
Pacific/Rocky Mountain Update – In re Southern Inyo Healthcare District
Southern Inyo Healthcare District v. Optum Bank, Inc. (In re Southern Inyo Healthcare District), 2020 WL 634295, Adv. No. 17-01077-A (Bankr. E.D. Cal. Feb. 10, 2020) Overview A debtor healthcare district objected to a proof of claim filed by a bank and sought a declaratory judgment that the bank’s security interests were invalid because the […]
Pacific/Rocky Mountain Update – In re Mayacamas Holdings LLC
Lynn Schoenmann, Chapter 7 Trustee v. Carmel Financing, LLC (In re Mayacamas Holdings LLC), 608 B.R. 522 (Bankr. N.D. Cal. 2019) Overview: Granting in part and denying in part a motion to dismiss an adversary proceeding brought by a chapter 7 trustee, the United States Bankruptcy Court for the Northern District of California held that […]
Pacific/Rocky Mountain Update – Fed. Home Loan Bank of Seattle v. Credit Suisse Sec. (USA), LLC
Fed. Home Loan Bank of Seattle v. Credit Suisse Sec. (USA), LLC, 194 Wn.2d 253, 449 P.3d 1019 (Wash. 2019) Overview In a state securities fraud case arising out of investment losses caused by losses on subprime residential mortgage-backed securities, the Washington State Supreme Court held that a plaintiff suing for misrepresentation in a private […]
Pacific/Rocky Mountain Update – In re 3MB, LLC
In re 3MB, LLC, Case No. 18-14663-B-11, 2019 WL 6701420 (Bankr. E.D. Cal. Dec. 5, 2019). Overview: The United States Bankruptcy Court for the Eastern District of California (the “Bankruptcy Court”) held that a provision in a promissory note, governed by California law, that provided for default interest at the rate of 4% per annum […]
Southwest Update – Magna Equities II, L.L.C. et al. v. Heartland Bank
Court of Appeals Affirms Summary Judgment Motion in Favor of Bank on Fraud Claim In Magna Equities II, L.L.C. et al. v. Heartland Bank, 787 Fed.Appx 223 (5th Cir. 2019), the 5th Circuit Court of Appeals affirmed the district court’s grant of summary judgment in favor of Heartland Bank (“Heartland”) on an action claiming, among […]
Postpetition Interest on Unsecured Claims: Lessons for Distressed Debt Investors In Light of the PG&E Decision
Republished with permission from Proskauer. Please click here for the original article. — Postpetition Interest on Unsecured Claims: Lessons for Distressed Debt Investors In Light of the PG&E Decision Key Takeaways: Unsecured claimholders of a solvent debtor are entitled to postpetition interest on their claims, although the solvent debtor exception has been questioned in other […]
ACIC Private Notes – March 2020
New NAIC Rules for Ground Lease Financing Transactions
The National Association of Insurance Commissioners (the “NAIC”) recently approved new rules with respect to ground lease financing transactions (each a “GLFT”). GLFTs are generally those that have the following characteristics: (i) a long term ground lease (typically 99 years); (ii) one or more subtenants in an existing or to be construction building; (iii) both […]
Southern Region: In re Palm Avenue Partners, LLC
In re Palm Avenue Partners, LLC, No. 8:12-bk-09808-MGW, 2019 WL 6971160 (Bankr. M.D. Fla. December 17, 2019). Tom Leiter solicited $2.5 million in investments to develop property through Palm Avenue Partners, a company he and his son managed. He (through Beacon Homes, which he solely owned) spent $300,000.00 to acquire the contractual rights to buy […]
Southern Region: TMX Finance, LLC v. Goldsmith
TMX Finance, LLC v. Goldsmith, 352 Ga. App. 190 (Ct. Ap. Ga. 2019). Ousted owners of ICOT Holdings, LLC and ICOT Hearing (collectively, “ICOT”) filed a direct action against Young, a guarantor and former co-member of ICOT, in addition to his web of companies, alleging breach of a limited liability company’s operating agreement, breach of […]
Southern Region: SE Prop. Holdings, LLC v. Unified Recovery Grp.
SE Prop. Holdings, LLC v. Unified Recovery Grp., LLC, 410 F. Supp. 3d 775 (E.D. La. 2019). A Louisiana parish contracted with Unified Recovery Group, LLC (“URG”) to remove debris following Hurricane Katrina (the “Katrina Contract”) and Hurricane Isaac (the “Isaac Contract”). Thereafter, URG entered into a security agreement with SE Property Holdings, LLC (“SEPH”), […]
Southern Region: Bethesda Road Partners, LLC v. Strachan
Bethesda Road Partners, LLC v. Strachan, 832 S.E.2d 503 (N.C. Ct. App. 2019). A real estate venture (the “Borrower”) executed a promissory note (the “Note”) to a bank (the “Bank”) as part of a project. The Bank required each of the members of the LLC to execute personal guaranties. The project failed, the Note matured, […]
Southern Region: In re Tara Retail Group, LLC
In re Tara Retail Group, LLC, 607 B.R. 839 (Bankr. Dist. W. Va. 2019) In September 2013, Tara Retail Group, LLC (“Debtor”) purchased a multi-tenant commercial property known as The Crossings Mall. In conjunction with the purchase of this property, the Debtor entered into a Loan Agreement with UBS Real Estate Securities, Inc. The Debtor […]
ACIC Committee Reports
Membership Committee The primary responsibility of the Membership Committee is to consider applications for ACIC membership and to recommend those applicants meeting the membership criteria of the College to the Board of Trustees for a membership vote. In discharging this responsibility, the committee considers the totality of a candidate’s responses in his/her application, with particular […]
New England Region: Auctus Fund, LLC vs Sunstock, Inc.
Auctus Fund, LLC v. Sunstock, Inc., 405 F. Supp. 3d 218 (D. Mass. 2019) Sunstock Inc., (the “Borrower”) issued convertible promissory notes to Auctus Fund, LLC (“Auctus”) and EMA Financial, LLC (“EMA”, and each a “Lender”, and collectively the “Lenders”) in 2017. Both Lenders had a provision in their respective promissory notes where in the […]
New England Region: Metcalf v. Fitzgerald
Metcalf v. Fitzgerald, 333 Conn. 1, 214 A.3d 361 (2019) Jonathan Metcalf (the “Debtor”) filed a chapter 7 bankruptcy petition for his business and later a petition individually. One of his creditors, Ion Bank (the “Creditor”), objected to the discharge of any the Debtor’s obligations in bankruptcy court and initiated an adversary proceeding against the […]
New England Region: In Bank of America, N.A. v. New England Quality Service, Inc.
Bank of America, N.A. v. New England Quality Service, Inc., 790 F. App’x 314 (2d Cir. 2019) In August of 2012, New England Quality Service, Inc. and affiliates (the “Borrowers”) entered into a loan agreement with Bank of America, N.A. (the “Lender”). Over the next few years, the Borrowers expanded their relationship with the Lender, […]
ACIC Private Notes – February 2020
Teaser for the 2020 Spring Investment Forum
On behalf of the Board of Trustees and the Education Committee, we invite you to join us April 16-17 at the Four Seasons in Chicago for the ACIC’s 2020 Spring Forum. Our musical and legal journey will take us across generations as we explore a variety of issues in the private placement world. We have […]
Midwest Update – Koss Corp. v. Park Bank
Koss Corp. v. Park Bank, No. 2016AP636, 2019 WL 350386, 385 Wis.2d 261 (Wis. 01/29/19) In an action that created a new standard of faith in Wisconsin under its Uniform Fiduciaries Act (“UFA”), the Supreme Court of Wisconsin (the “Court”) ruled in favor a bank involving the unauthorized disbursement of funds due to fraudulent actions. The […]
Midwest Update – KSA Enterprises, Inc. v. BB&T
KSA Enterprises, Inc. v. BB&T, No. 17‑6132, 2019 WL 181665, 761 Fed.Appx. 456 (6th Cir. 01/14/19) In an action regarding an appeal of a five‑count claim alleging (1) breach of contract, (2) fraudulent misrepresentation, (3) negligent misrepresentation, (4) fraudulent inducement, and (5) unjust enrichment, the 6th U.S. Circuit Court of Appeals (the “Court”) affirmed the Western District of Kentucky’s decision in favor […]
Midwest Update – Jet Midwest Intl v. Jet Midwest Group
Jet Midwest Int’l v. Jet Midwest Group, No. 18‑1311, 932 F.3d 1102 (8th Cir. 08/02/19) In a dispute involving the recovery of attorney fees between business entities from diverse jurisdictions involved in cross‑border transactions, the 8th U.S. Circuit Court (the “Court”) took up a case reminiscent of a law school civil procedure class. Jet Midwest Group […]
Midwest Update – In re I80 Equip., LLC
In re I80 Equip., LLC, 2019 WL 4296751, 67 BCD 177 (7th Cir. 2019) In a matter of first impression in the 7th U.S. Circuit Court of Appeals (the “Court”) deciding whether a Chapter 7 trustee could avoid a creditor’s lien on grounds of an insufficient financing statement, the Court reversed and remanded the bankruptcy court’s […]
Mid-Atlantic Update – Contrarian Funds, LLC v. Woodbridge Group of Companies, LLC
Contrarian Funds, LLC v. Woodbridge Group of Companies, LLC (In re Woodbridge Group of Companies, LLC), 606 B.R. 201 (D. Del. 2019) Overview: A distressed debt investor purchased promissory notes from the original noteholders in violation of anti-assignment provisions in the notes and the related loan agreements. The investor argued that section 9-408 of the […]
Mid-Atlantic Update – Oxford University Bank v. Lansuppe Feeder, LLC
Oxford University Bank v. Lansuppe Feeder, LLC, 933 F.3d 99 (2d Cir. 2019) Overview: Holders of junior notes sued for rescission of the indenture under which the notes were issued on the grounds that they were entitled to rescission under Section 47(b) of the Investment Company Act (the “Act“) because the issuer violated the Act […]
ACIC New Members Since August 2019 – Biographies
Andrew Christianson is a shareholder in Reinhart Boerner Van Deuren’s Employee Benefits, Institutional Investor Services, Corporate and Securities practices. Andy advises domestic and non-U.S. governmental pension plans, insurance companies and other institutional investors in structuring and negotiating private equity, hedge fund and alternative investments. Andy also represents public and closely held companies on a range […]
United Kingdom Update: Protecting Tax in Insolvency
Protecting Tax in Insolvency Introduction The current priority of debts in an English insolvency are determined by reference to the Insolvency Act 1986, which provides for preferential status in respect of certain debts including, for example, employee remuneration and occupational pension schemes. This status ensures that these preferred debts are paid after creditors holding fixed […]
My Chi To Appointed as Executive Deputy Superintendent of the Insurance Division at the Department of Financial Services
New York Superintendent of Financial Services Linda A. Lacewell has appointed, current ACIC fellow and former ACIC Trustee, My Chi To, as executive deputy superintendent of the Insurance Division at the Department of Financial Services (DFS), which regulates more than 1,400 insurance companies with assets of $4.7 trillion. Click Here to learn more.
United Kingdom Update: Syncreon – The English Patient
Syncreon: The English Patient On 1 October 2019, the landmark cross-border restructuring of the Syncreon group completed. Pursuant to the restructuring, the Syncreon group’s funded debt was reduced by approximately U.S. $625 million and the Syncreon group was provided with approximately U.S. $250 million of new financing. The restructuring of the Syncreon group is widely […]
Introduction to New ACIC Website
To Our ACIC Fellows and Friends: Please allow us a few moments to introduce you to our newly designed ACIC Website! The members of the website committee, along with our ACIC administrative office, have been hard at work for the past year on the new site, and we are excited for you all to see […]
Canadian Update: Wei vs. Lei BCCA 114
Wei v Li, 2019 BCCA 114 Summary In Canada, s. 347 of the Criminal Code of Canada (the Criminal Code) precludes interest rates in excess of 60% per annum. In Wei v Li., the defendants defaulted in the re-payment of their loans to the plaintiff. The plaintiff obtained a judgment from a Chinese court after […]
ACIC Private Notes – January 2020
