Structuring Forbearance Agreements and Strengthening Lender Collateral Position
Crafting Waiver of Existing Defaults, Borrower Reps and Warranties, Confirmation of Liens, Ratification of Obligations
Recording of a 90-minute CLE webinar with Q&A
This CLE webinar will equip counsel to negotiate and draft forbearance agreements that provide maximum protection of lender interests while at the same time minimizing the risk of lender liability claims. A well structured and well drafted forbearance agreement can strengthen the lender's position should the debtor-borrower file bankruptcy or seek other insolvency relief. The program will also discuss how the workout process creates opportunities to correct deficiencies in existing loan terms, shore up weak documentation, or secure additional collateral or covenants.
- Correcting loan documentation deficiencies and strengthening collateral
- Updated UCC searches
- Special collateral perfection examination
- Tax and judgment lien search
- Additional collateral
- Drafting the forbearance or waiver agreement
- Waiver of existing defaults
- Borrower representations and warranties
- Strict compliance with loan documents
- The expiration date and early termination
- Ratification of obligations
- Confirmation of liens and security interests
- Release of claims
The panel will review these and other high priority issues:
- What is the difference between forbearance and waiver--and which option is best for the lender?
- What are the critical provisions in the forbearance or waiver agreement?
- What unique risks does the borrower's bankruptcy pose, and how can counsel minimize these risks in crafting the forbearance agreement?
- What steps can the lender take during a loan workout to strengthen its position and minimize its risks in bankruptcy or foreclosure sale?
Allen J. Dickey
Faegre Drinker Biddle & Reath
Mr. Dickey is a real estate and finance attorney who advises real estate funds, opportunity funds, real estate... | Read More
Mr. Dickey is a real estate and finance attorney who advises real estate funds, opportunity funds, real estate investment trusts, investment banks and others on commercial real estate transactions. He has exceptional experience in large portfolio transactions in numerous states.Close
Frank F. Velocci
Faegre Drinker Biddle & Reath
Mr. Velocci resolves disputes for clients through litigation and arbitration in real estate, telecommunications, health... | Read More
Mr. Velocci resolves disputes for clients through litigation and arbitration in real estate, telecommunications, health care, prerogative writ, legal malpractice and business tort matters. He also represents debtors, trustees, committees and secured creditors in Chapter 11 bankruptcy proceedings. Mr. Velocci counsels community hospitals and health systems in complex M&A transactions, including providing advice under the Community Health Care Assets Protection Act (CHAPA), which governs the sale of nonprofit hospitals. He has extensive experience with New Jersey health care mergers and acquisitions and also represents nonprofit organizations and community foundations.Close