by Alexander Horn
Nixon Peabody LLP; Boston
The recent disruptions in financial markets have caused many of our clients to assess their counterparty exposure to troubled financial institutions. This article summarizes the key principles governing swap participants' rights in bankruptcy proceedings to assist the reader in working through the current turmoil in financial markets.
The recent chapter 11 filing of Lehman Brothers Holdings Inc. (Lehman) has caused organizations around the world to assess their exposure (particularly counterparty risk) to Lehman and other potentially troubled financial institutions.
Read the full article.
by Timothy M. Lupinacci
Baker Donelson Bearman Caldwell & Berkowitz; Birmingham, Ala.
Alan L. Smith
Baker Donelson Bearman Caldwell & Berkowitz; Jackson, Miss.
A recent bankruptcy decision confirms that loan servicers for a securitized trust have standing to pursue relief from the automatic stay. In re Woodberry, 383 B.R. 373 (Bankr. D. S.C. Feb. 4, 2008). In Woodberry, the loan servicer moved for relief from stay to allow it to foreclose on real property held as collateral by the securitized trust on whose behalf the servicer was acting. Id. at 374. In opposing the motion, the debtor challenged the servicer's standing to pursue relief from the automatic stay. Id. at 376. The debtor argued that in order to have standing as of the time of filing, the servicer must be (1) the current holder of the note and (2) the current holder of the mortgage securing the note (either as the original named mortgage-holder or by recorded written assignment). Id.
Read the full article.
The Winter Leadership Conference will be held Dec. 4-6 in Tucson, AZ, at the Westin La Paloma. This year's conference will feature another great group of sessions and speakers, as well as some top-notch entertainment! The Business Reorganization Committee will hold a session on Saturday morning at 9:30 a.m., entitled "Renewed Interest in the Three R's: Reinstatment, Repayment and Refinance - The New Rithmetic; The Allowance and Payment of Interest in Chapter 11 Cases." The speakers will include Martin Bienenstock of Dewey & LeBoeuf LLP in New York, Marc Kieselstein of Kirkland & Ellis LLP in Chicago, Isaac Pachulski of Stutman, Treister & Glatt, PC in Los Angeles and John Rapisardi of Cadwalader, Wickersham & Taft LLP in New York. Hon. Arthur J. Gonzalez, U.S. Bankruptcy Court (S.D.N.Y) will moderate the panel.
Click here to register now.
