News & Analysis as of

Lenders Term Sheets

Cadwalader, Wickersham & Taft LLP

The Way Forward March 2023 - Lenders Showing Muscle with ‘Flex’

In recent months, as lenders in the fund finance market have been more selective and demand for financing from fund borrowers remains high, we have seen a number of instances of lenders considering the use of and actually...more

Seward & Kissel LLP

Facility Fees and Accrual

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Lenders not only earn interest on the amounts lent, which needs to be sufficient not only to cover the lender’s cost of capital but also provide a sufficient return, but they also typically receive, depending on their role,...more

Goodwin

Negotiating Preferred Equity Recognition Rights in Hospitality Deals

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In recent years, hotel sponsors and developers have increasingly turned to alternative capital sources, like preferred equity, to finance and reposition their existing assets and fund new acquisition and development...more

Proskauer Rose LLP

Where is Main Street? The Federal Reserve Provides Guidance on the Main Street Lending Program (Updated September 2020)

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On August 24, 2020, the Federal Reserve Bank of Boston (the “Boston Fed”) published an updated set of Frequently Asked Questions for the Business Facilities (defined below) and an updated set of Frequently Asked Questions for...more

Proskauer Rose LLP

Where is Main Street?—Fed Provides Guidance on the Main Street Lending Program - August 2020

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On August 6, 2020, the Federal Reserve Bank of Boston (the “Boston Fed”) published an updated set of Frequently Asked Questions for the Nonprofit Facilities (defined below) (“Nonprofit FAQs”) which are part of the Main Street...more

Proskauer Rose LLP

Where is Main Street?—The Federal Reserve Provides Guidance on the Main Street Lending Program - July 2020 #2

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Originally published on May 4, 2020. Last updated as of July 20, 2020. On July 17, 2020, the Federal Reserve Bank of Boston (the “Boston Fed”) released updated term sheets for two new loan facilities: the Main Street...more

Proskauer Rose LLP

Where is Main Street? The Federal Reserve Provides Guidance on the Main Street Lending Program (Updated June 2020)

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UPDATE: Fed Proposes Expansion of Program to Cover Nonprofits - On June 15, 2020, the Federal Reserve Bank of Boston (the “Boston Fed”) announced it was seeking public feedback on its proposal to expand the Main Street...more

Proskauer Rose LLP

Where is Main Street? The Federal Reserve Provides Guidance on the Main Street Lending Program (Updated)

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UPDATE: Where is Main Street?—Fed Provides Guidance on the Main Street Lending Program - On June 11, 2020, the Federal Reserve Bank of Boston (the “Boston Fed”) released updated information for potential lenders and...more

Dechert LLP

Summary of the Federal Reserve Main Street Lending Program

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The Federal Reserve Bank (the “Fed”) and the U.S. Department of the Treasury (the “Treasury”) announced preliminary details for the Main Street Lending Program (the “MSLP”) on April 9, 2020. Additional details and guidance as...more

Bradley Arant Boult Cummings LLP

Federal Reserve Expands Scope of Main Street Lending Program and Announces New Details

On April 30, the Federal Reserve announced substantial changes to the initial terms of its Main Street Lending Program originally released on April 9, 2020: After receiving over 2,200 comment letters and consulting with...more

Miller Canfield

COVID-19: Federal Reserve’s Main Street Lending Program: What Businesses Need to Know to Prepare

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On April 9, 2020, the Federal Reserve, acting under the Coronavirus Aid, Relief, and Economic Security Act (“CARES Act”) and Section 13(3) of the Federal Reserve Act (12 USC §344), announced the creation of a new “Main Street...more

Jackson Walker

CARES Act Update – Federal Reserve and U.S. Treasury Establish Main Street Business Lending Program to Provide Liquidity to...

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The Coronavirus Aid, Relief, and Economic Security (CARES) Act provides emergency economic stimulus to small businesses and certain eligible recipients in response to the economic distress caused by the COVID-19 pandemic. The...more

Chambliss, Bahner & Stophel, P.C.

CARES Act Essentials: What You Need to Know by Topic

In response to unprecedented health care demands and economic conditions caused by the COVID-19 pandemic, the Coronavirus Aid, Relief, and Economic Security Act (CARES Act) was enacted on Friday, March 27, 2020. The Act...more

Holland & Hart LLP

New Federal Reserve Loan Programs for Mid-Sized and Large Businesses

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The Federal Reserve Board recently unveiled several programs under the CARES Act. The two primary programs, the Main Street New Loan Facility and Main Street Expanded Loan Facility, are available to privately held mid-sized...more

Chambliss, Bahner & Stophel, P.C.

Federal Reserve Makes Additional Money Available to Small and Mid-Sized Businesses

On April 9, 2020, the Federal Reserve announced the details of the Main Street Lending Program (the Program), which is a lending program authorized by the CARES Act for purposes of supporting the economy during the COVID-19...more

Eversheds Sutherland (US) LLP

Georgia Supreme Court Answers “Yes”—A Guarantor May Waive Foreclosure Confirmation

In a decision issued on February 22, 2016, the Supreme Court of Georgia ruled that a guarantor can waive by contract the requirement for a lender to obtain confirmation of a foreclosure sale before pursuing the guarantor for...more

Poyner Spruill LLP

A Refresher on Term Sheets and Commitment Letters

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Term sheets and commitment letters are documents frequently used by lenders to outline the terms of a potential financing. However, these two documents differ with respect to what is required of, and whether the terms are...more

Parker Poe Adams & Bernstein LLP

A Duty to Negotiate in Good Faith - A New Lender Liability Claim in North Carolina?

North Carolina courts have long held that a lender does not owe a fiduciary duty to its borrowers. But what about a “Duty to Negotiate in Good Faith?" In a recent opinion (RREF BB Acquisitions, LLC v. MAS Properties, June 9,...more

Obermayer Rebmann Maxwell & Hippel LLP

Bankers Beware: A Term Sheet Might Be a Contract

A recent decision by the Pennsylvania Superior Court has lenders concerned that the common practice of exchanging term sheets with potential borrowers could saddle them with unintended contractual obligations. In County...more

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