LBO Transactions in Bankruptcy: Fraudulent Transfer Issues for Lenders, Equity Purchasers, Shareholders
Impact of Merit Management and Other Recent Case Law
Recording of a 90-minute CLE webinar with Q&A
This CLE course will update practitioners on the latest challenges to leveraged buyout (LBO) transactions in bankruptcy. The panel will explain the implications of particular deal structures, review underlying legal theories of creditor challenges, and outline best practices for mitigating risk or maximizing recovery.
- Avoidance actions: standards in the LBO context
- Reasonably equivalent value
- Insolvency or unreasonably small capital
- Collapsing loan transactions
- Section 546(e) safe harbor
- Recent LBO/fraudulent transfer litigation
- Merit Management v. FTI
The panel will review these and other crucial issues:
- What factors are critical in a court’s analysis of whether an LBO is avoidable as a fraudulent conveyance?
- Are any LBO structures less vulnerable to attack?
- What are the safe harbors for LBO participants?
- What steps can sellers and PE firms take to mitigate avoidance risks?
Henry P. Baer, Jr.
Finn Dixon & Herling
His practice focuses on complex financial transactions involving distressed assets. He has significant experience... | Read More
His practice focuses on complex financial transactions involving distressed assets. He has significant experience representing buyers and sellers of assets in distressed situations, first lien, second lien, mezzanine and DIP lenders, equity participants, retained professionals, and Boards of Directors of insolvent companies and of companies in the “zone of insolvency.”Close
Lisa S. Bonsall
McCarter & English
She practices in diverse areas of litigation, focusing on commercial litigation and bankruptcy. She represents secured... | Read More
She practices in diverse areas of litigation, focusing on commercial litigation and bankruptcy. She represents secured and unsecured creditors, bank group agents, servicers, contract parties, lessors, vendors, and other interested parties in all aspects of debtor-creditor relations and bankruptcy, including out-of-court workouts, loan restructuring, asset recovery and bankruptcy-related litigation.Close