Tag Archives: restructuring

ILN Today Post

Ring-fencing under IBC, and Open Issues

An ordinance was promulgated on December 28, 2019 (“Ordinance”) making further amendment in the Insolvency and Bankruptcy Code, 2016 (“IBC) and the President of India accorded his assent to the Insolvency and Bankruptcy Code (Amendment) Act, 2020 (Amendment Act) inserting section 32 A which is now the fourth amendment to IBC.

The Amendment Act inter alia introduced Section 32 A to IBC which provides immunity to the corporate debtor and its assets if the resolution plan is approved and it results in change of the management of the corporate debtor from any prosecution, action, attachment, confiscation.

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ILN Today Post

Could the Covid-19 Insolvency Law Reforms save distressed businesses?

The Government is expediting reforms to UK Insolvency Law to help companies avoid
insolvency as a result of the Covid-19 outbreak. The changes are intended to: Read more…

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ILN Today Post

Time to Buckle Up: The State of Subprime Auto Risks

2019 seems far behind in the rear mirror. Way back then, in our 2019 year-end review, we warned that an economic downturn could cause latent market risks to be seen more clearly. Higher delinquencies and longer terms were among the trends that were intensifying beneath the surface, causing cracks to form on the road ahead. Read more…

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ILN Today Post

FAQ – When a Commercial Tenant Files Bankruptcy: What Landlords Need to Know

The rapid outbreak of the novel coronavirus (COVID-19) has caused widespread
business disruptions. Bankruptcy cases will likely be on the rise as a result,
particularly in hard-hit, consumer-facing industries like retail, which has already
seen the recent bankruptcy filings of Payless Shoes, Destination Maternity and
Modell’s Sporting Goods. Against this backdrop, there is no better time than the
present for a refresher on the special protections afforded commercial landlords
under the Bankruptcy Code, and the counterbalancing restrictions imposed on
their rights as creditors. Read more…

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ILN Today Post

How do I deleverage and restructure my business?

COVID-19 may change the restructuring playbook and may make achieving out-of-court restructurings more difficult. READ MORE

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ILN Today Post

Preparing for the economic fallout from the coronavirus

Thoughts from an experienced restructuring attorney based on prior slowdowns on how to prepare for the economic fallout from the coronavirus. READ MORE

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ILN Today Post

Time to Protect Indian Businesses from Insolvency

The medium to long term financial effects of Coronavirus are yet to unfold, but the magnitude is already anticipated to be huge. Many countries across the world are announcing financial packages for businesses. India is also on the track to take a decision on relief packages.

With widespread lockdowns, the coming months are expected to witness a series of defaults by many viable businesses, and in this situation, we need to protect viable Indian businesses from landing up in our bankruptcy tribunals, for no fault of their promoters.

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ILN Today Post

Measures in Latvia to support sectors that have suffered crisis costs due to spread of COVID-19

Today the legislator of Latvia has adopted a special temporary law on measures to prevent and manage state threats and consequences of the spread of COVID-19.

The law provides for the following measures:

General: The Cabinet of Ministers shall determine sectors that have suffered crisis costs (sectors affected by the crisis) due to the spread of COVID-19 and that are therefore subject to measures and special support mechanisms, as well as to set criteria, how to determine those who shall receive the same special support in other sectors;

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ILN Today Post

What if a vendor is considering bankruptcy?

As a knee-jerk reaction, when a vendor is considering bankruptcy clients may immediately seek to re-source and handle the matter internally. However, that option may not exist. READ MORE

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ILN Today Post

Insolvency Guide for Lenders, Landlords, Lessees, and Others Dealing with the COVID-19 Crisis

The economic havoc unleashed by the COVID-19 crisis in most sectors of the economy will affect businesses and their employees, servicers, customers, and others for the foreseeable future. Among those that are directly and critically affected are banks and other lenders, commercial landlords and tenants, restaurants, and the travel and hospitality industries. All of these areas will see an increase in bankruptcy filings and other insolvency proceedings in the near term. Here is a short guide for some of the issues that will arise in the coming months. Read more…

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