Commercial Finance Law Blog
Some of you may be tired of hearing me run on about the GM-JPMorgan mess. Remember? JPMorgan and its counsel authorized the termination of the UCC financing statement securing a $1.5 Billion Syndicated Term Loan. And despite the General Motors’ bankruptcy judge deciding that JPMorgan did not “intend” to terminate the UCC and that the … Continue reading “General Motors and JPMorgan: The Gift That Keeps on Giving”
Last week, the Second Circuit Court of Appeals issued a significant decision regarding the General Motors bankruptcy. You probably remember an earlier case, where the Second Circuit reversed the bankruptcy court’s determination that JPMorgan Chase and its syndicate could remain as a secured party despite having erroneously filed a UCC Termination Statement. Last week’s decision … Continue reading “General Motors and the Second Circuit,…Again!”
New York Court of Appeals Affirms a Secured Lender’s Right to Recover Against Account Debtors There is nothing more critical to a secured lender than its right to recover on its collateral. Those of us engaged in commercial lending have slept under that security blanket since the beginning of time (well, since the creation of … Continue reading “Ice in Winter?”
Revlon Lenders required to return unintended payoff to Citibank In February 2021, WurstCaseScenario discussed the $894 million mistake made when Citibank erroneously paid off a Revlon syndicated loan including paying some $500 million to disgruntled syndicate members in full. While many of the syndicate lenders returned the erroneous payments to Citibank, a large group of … Continue reading “Reversal of Fortune”
A major objective of this blog is to keep lenders apprised of significant judicial decisions that impact their business lives so they can learn from them, correct bad habits and improve their best practices. In writing WurstCaseScenario we seek to help lenders avoid making mistakes. Today, we focus on a critical decision from the Southern … Continue reading “Think Before You Click: A $500 million mistake!”