A consequence of the COVID-19 pandemic is that many companies are unable to operate their businesses partially or completely. As a result, they have been compelled to seek relief from their landlords, vendors and...more
Understanding the role of the chief restructuring officer has never been more important. Here’s what a CRO can and cannot do.
In recent years, chief restructuring officers (CROs) have increasingly been assigned to assist...more
Many borrowers already have drawn down much or all of their available credit line in order to have the liquidity to ride out the COVID19 pandemic. Other borrowers are contemplating doing the same.
It may be too late....more
With a host of commercial real estate owners likely to declare chapter 11 bankruptcy as a result of the coronavirus pandemic, organizations that lend to these companies should keep one thing in mind: bankruptcy court judges...more
The Covid-19 pandemic has shut down most of the economy and retailers are among the businesses that could be closed for months. Even when they reopen, they will have suffered devastating losses of revenue.
For most of...more
In this Client Alert series, Lowenstein’s Bankruptcy, Financial Reorganization & Creditors’ Rights Department will introduce the various restructuring tools available to help businesses avoid financial catastrophe in the...more
No one wants to consider bankruptcy. But as the downturn persists, CFOs will benefit from understanding their lenders' tactical goals.
If you haven't thought about how to position your company for bankruptcy protection,...more
At the moment, the bankruptcy court may be an unfriendly place for impatient lenders.
As the United States and much of the world reel from the coronavirus pandemic, many businesses’ revenues have been shut off (or close to...more
4/7/2020
/ Borrowers ,
Chapter 11 ,
Commercial Bankruptcy ,
Coronavirus/COVID-19 ,
Creditors ,
Debtors ,
Financial Distress ,
Landlords ,
Lenders ,
Tenants ,
Unsecured Debt
A bankruptcy trust for creditors (including former workers and trade vendors) who lost significant sums of money in the Toys “R” Us Inc. (TRU) bankruptcy sued former Chief Executive Officer David Brandon, several other...more
Some problems in the Chapter 11 bankruptcy process — namely, how unsecured creditors committees and their professional advisers are being selected — have emerged in recent years. Moreover, they are only getting worse.
The...more
Successful Chapter 11s for retailers have become few and far between. Sears, Toys "R" Us, Barneys New York, Forever 21, Coldwater Creek, Fred's, Fairway and A&P are just a few examples of recent retail...more
3/5/2020
/ Administrative Bankruptcy Claims ,
Bankruptcy Reform ,
Commercial Bankruptcy ,
Corporate Restructuring ,
Creditors ,
Distributors ,
Financing ,
Liquidation ,
Retailers ,
Risk Assessment ,
Risk Mitigation ,
Sears ,
Toys R Us ,
Vendors
A company commences a Chapter 11 bankruptcy case, obtains “debtor in possession” financing and then asks its vendors for more unsecured credit because (according to the debtor) the debtor just got lots of new financing and...more
3/4/2020
/ Administrative Bankruptcy Claims ,
Chapter 11 ,
Commercial Bankruptcy ,
Credit ,
Creditors ,
Debtors ,
Debtors-in-Possession ,
Financing ,
Lenders ,
Proof of Claims ,
Reorganizations ,
Reservation of Rights ,
Secured Debt