D&O Indemnity Claims in Bankruptcy: Navigating Third-Party Suits and D&O Insurance Coverage
Recording of a 90-minute CLE webinar with Q&A
This CLE webinar will provide the insight and analysis of the types of claims for which directors and officers are entitled to indemnity protection and how their indemnity claims are treated in and affected by a company’s bankruptcy. The panel will also discuss the effect of bankruptcy on D&O insurance coverage, and the issues considered in determining who is entitled to proceeds from the D&O insurance policy in a Chapter 11 proceeding.
- Nature of indemnity claim
- Source—state law, contract, formation documents
- Scope—exception for criminal conduct, gross negligence with willful misconduct
- Types of claims—shareholder action, discrimination, trade secret misappropriation
- Who is liable and for what
- Directors and officers
- Insurance policy
- Treatment of claim in bankruptcy
- Subordination (Bankruptcy Code Sections 502 or 510)
- Allowed unsecured claims
The panel will review these and other key issues:
- When is a director or officer entitled to indemnification for third-party claims?
- How are those indemnity obligations impacted by the bankruptcy of the company?
- What coverages should be included in the D&O insurance policy, and are any endorsements necessary to ensure that directors and officers continue to be covered after a bankruptcy?
- How are insurance coverage and distribution of proceeds impacted by a Chapter 11 proceeding?
Joseph R. Dunn
Mintz Levin Cohn Ferris Glovsky and Popeo
Mr. Dunn's practice is focused primarily in the areas of corporate reorganization and bankruptcy law, although... | Read More
Mr. Dunn's practice is focused primarily in the areas of corporate reorganization and bankruptcy law, although he has significant litigation and transactional experience outside of insolvency. He is experienced in the representation of chapter 11 debtors, secured and unsecured creditors, bondholders and indenture trustees, chapter 7 and chapter 11 trustees, and purchasers of distressed assets. He has also represented franchisors, equity holders, defendants in bankruptcy and other federal litigation, and individuals and companies in out-of-court restructurings.Close
Victor A. Vilaplana
Foley & Lardner
Mr. Vilaplana focuses his practice on the handling of insolvency matters, particularly complicated business... | Read More
Mr. Vilaplana focuses his practice on the handling of insolvency matters, particularly complicated business bankruptcies and international transactions. His experience includes representing multiple industries with Chapter 11 cases. He is a member of the firm’s Bankruptcy & Business Reorganizations, International, and Latin America Practices and Automotive Industry Team.Close