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Debt Recharacterization

Dechert LLP

The Bankruptcy Court for the Southern District of New York Recharacterizes Debt as Equity

Dechert LLP on

In a recent decision, the Bankruptcy Court for the Southern District of New York held that a purported debt held by an entity with a near-majority membership interest in the Debtor was actually equity disguised as a loan. ...more

Mintz

The Ninth Circuit Recharacterizes Recharacterization Jurisprudence

Mintz on

The Ninth Circuit in In re Fitness Holdings Int’l, 2013 U.S. App. LEXIS 8729 (9th Cir. April 30, 2013) recently reversed precedent and established that bankruptcy courts in the Ninth Circuit have the power to determine...more

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