Leveraging Secured Lender Bankruptcy Cramdown Rules and Related Valuation Issues
Recording of a 90-minute CLE webinar with Q&A
This CLE course will discuss the rules for cramdown under Chapter 11 for debtors that are not proceeding under the Small Business Reorganization Act of 2019, the best strategies and practices for debtors and creditors when confirmation will involve cramdown, and current arguments for resolving valuation disputes, determining present value, satisfying the ”formula approach” and other approaches adopted by various courts, and setting appropriate cramdown interest rates.
- Cramdown requirements
- Section 1129 (b)(2)(A) requirements
- Case law developments
- Valuation issues
- Cramdown interest rate post-Till
- Efficient market vs. prime plus
- MPM Silicones (Momentive) and other case law developments
The panel will review these and other key issues:
- What factors will the bankruptcy court consider in determining whether a secured lender has received the value of its secured claim in a cramdown situation?
- What are the requirements when the debtor disposes of the collateral through a bankruptcy sale?
- What impact does the cramdown interest rate play in determining the feasibility of the debtor’s plan of reorganization?
David M. Anthony
Bone McAllester Norton
Mr. Anthony represents banks, businesses, and individuals in the areas of commercial litigation, creditors’... | Read More
Mr. Anthony represents banks, businesses, and individuals in the areas of commercial litigation, creditors’ rights, bankruptcy, and lien litigation. He routinely appears in state, federal, and bankruptcy courts throughout Tennessee. In addition to his litigation practice, Mr. Anthony has significant experience in the review, analysis, and preparation of commercial contracts, including leases, loan documents, and other commercial contracts.Close
Griffin S. Dunham
Mr. Dunham concentrates his practice in the areas of Chapter 11 bankruptcy reorganizations, insolvency and distressed... | Read More
Mr. Dunham concentrates his practice in the areas of Chapter 11 bankruptcy reorganizations, insolvency and distressed business restructuring matters, and commercial litigation involving business and individual clients. He assists businesses restructure debt through loan modifications and lender workouts. He has significant experience representing creditors to maximize recovery in bankruptcy proceedings.Close