Bankruptcy provides an opportunity for a fresh financial start. In that spirit, creditors’ contractual rights are often impaired. But what happens in those rare circumstances when a debtor is deemed solvent? According to a recent decision from the United States Fifth Circuit Court of Appeals in In re: Ultra Petroleum Corp., solvent debtors are fully bound by all financial obligations and nothing less. In those rare cases where a debtor is (or becomes) solvent, this decision creates a big win for creditors.
Continue Reading Are Yield Maintenance and Make-whole Provisions in Jeopardy? Recent Fifth Circuit Decision Casts Serious Doubt on Enforceability of Such Loan Provisions in the Context of Bankruptcy.
Danielle Rushing Behrends
Clients rely on Danielle for her resourceful, creative, and effective in and out of court restructuring advice. She looks for practical solutions and works to build a strategic plan that aligns with her client’s needs. Her experience includes several multi-million dollar businesses, particularly in the oil and gas/energy, retail, national fitness chain, healthcare, and transportation industries, Chapter 11 Trustees, and a federal court-appointed receiver.