Bankruptcy Claims Trading: Allocating Buyer and Seller Risks, Blocking and Other Strategic Maneuvers
A live 90-minute CLE video webinar with interactive Q&A
This CLE webinar will review what creditors holding claims in bankruptcy need to know when an investor offers to "buy" that claim from them. It will equip attorneys to understand and negotiate the typical claims transfer agreement, spot claims trading strategies in action, interpret how they may affect the case and the claims in question, and why someone might want to purchase a particular claim. The program will also explore the motives of claim "buyers" and the business of investing in distressed claims.
Outline
- Claims trading market, policy considerations, hedge funds
- Claims trading as a form of investing
- DIP financing
- Control
- Blocking
- Laws governing claims trading
- Judicial responses to perceived sharp practices
- Critical provisions of the claims trading agreement
- Representations and warranties
- Timing and confirmation
- Indemnity issues
- Anti-assignment clauses
- Risks for transferors
- Risks for transferees
Benefits
The panel will review these and other key issues:
- Does the disability follow the claim, and how does the Third Circuit come down on this issue?
- What are the red flags to watch for in a claims trading deal?
- What will the "seller" be required to warrant?
- What is the "no bad acts" representation?
- What additional rights are transferred in the deal?
Faculty

Sean A. O'Neal
Partner
Cleary Gottlieb Steen & Hamilton
Mr. O’Neal’s practice focuses on corporate restructuring, insolvency, bankruptcy, corporate governance and... | Read More
Mr. O’Neal’s practice focuses on corporate restructuring, insolvency, bankruptcy, corporate governance and related litigation matters.
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Jane VanLare
Partner
Cleary Gottlieb Steen & Hamilton
Ms. VanLare’s practice focuses on restructuring, insolvency, and bankruptcy litigation.
| Read MoreMs. VanLare’s practice focuses on restructuring, insolvency, and bankruptcy litigation.
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Early Discount (through 03/26/21)
Live Webinar
$247