We have a final answer to the question of whether a term loan is a security. Yesterday, the Second Circuit Court of Appeals affirmed the District Court’s decision in the Kirschner Case that a term loan is not a security. We...more
We have been following the litigation over the question of whether certain syndicated loans are securities. Kirschner v. JPMorgan Chase Bank, N.A., which has been before New York federal courts for years, is now before the...more
We continue to follow the litigation over the question of whether certain syndicated loans are securities. Kirschner v. JPMorgan Chase Bank, N.A., which has been before New York federal courts for years, is now before the...more
We have been following a case that has been winding its way through New York federal courts for some time that players in the syndicated loan market have described as everything from “a potential game changer” to an...more
This was a busy week in the loan market. LIBOR transition is accelerating daily, we have a new form of credit agreement from the LSTA, and what has been deemed an “existential threat” to the syndicated loan market has reared...more
In last week’s edition of FFF, we discussed the Revlon case involving an erroneous payment by an administrative agent to the syndicate lenders, which is currently up on appeal before the Second Circuit Court of Appeals....more
7/23/2021
/ Borrowers ,
Contract Terms ,
Credit Agreements ,
Financial Services Industry ,
Financial Transactions ,
Investment Funds ,
Lenders ,
Loan Agreements ,
Loan Repayment Issues ,
Loan Syndication and Trading Association (LSTA) ,
Revlon ,
Syndicated Loans
Summary of Case -
On August 11, 2020, the administrative agent in a loan to Revlon intended to make an interest payment to the lender syndicate and instead mistakenly wired almost $900 million of its own money to the...more
7/16/2021
/ Agents ,
Borrowers ,
Consumer Financial Products ,
Creditors ,
Interest Payments ,
Loan Agreements ,
Loan Syndication and Trading Association (LSTA) ,
Loans ,
Overpayment ,
Revlon ,
Syndicated Loans ,
Wire Transfers