News & Analysis as of

Personal Liability Guarantors

Orrick, Herrington & Sutcliffe LLP

NYC Council Approves Legislation to Aid Small Retail Businesses Affected by COVID 19 Pandemic

Certain guarantors of restaurant, retail, and other commercial leases in New York City may soon be off the hook for tenant defaults occurring during the COVID-19 pandemic, thanks to a bill recently passed by the New York City...more

Moritt Hock & Hamroff LLP

A Guaranty for Every Need: An Overview of the Variety of Loan Guaranties-and How to Select the Right One

Underwriting a commercial credit facility is a process of weighing various risk mitigators until the lender is satisfied that the potential for loss is within its tolerance. By evaluating collateral value, credit history,...more

WilmerHale

Real Estate Finance: Massachusetts

WilmerHale on

A Q&A guide to real estate finance law for borrowers and lenders in Massachusetts. This Q&A addresses state laws relating to security instruments, usury laws, limitations on personal liability, recording requirements and...more

JD Supra Perspectives

Startup Real Estate Tip: The 'Good Guy' Guaranty - Slow Down a Second

JD Supra Perspectives on

If you are contemplating agreeing to execute a good guy guaranty, you must both be in control and be totally immune from being fired. Otherwise...more

Miles & Stockbridge P.C.

New Guidance on Bad Boy Guarantees

The IRS Office of Chief Counsel recently released a memorandum (#AM2016-001) addressing the proper tax treatment of nonrecourse carve-outs (or bad boy guarantees) in the partnership context. According to the memorandum, such...more

Baker Donelson

New York’s Lichtenstein Decision Highlights Conflicts of a Carve-Out Guarantor

Baker Donelson on

The recent New York case of Lichtenstein v. Willkie Farr addresses a borrower's conflict caused, in part, by a loan covenant. The covenant invoked personal liability of the members in the event the entity files a voluntary...more

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