While lenders have relied on the protections of make-whole provisions in their loan agreements in the voluntary redemption context for years, what happens when a borrower files for bankruptcy and challenges the enforceability of such provisions in the bankruptcy context? What specific language do bankruptcy courts require to ensure enforceability? What effect does the automatic stay have on these provisions in bankruptcy? What strategies have creditors and creditors’ committees employed to challenge these provisions? This teleseminar explored these questions in light of the recent important decisions in Momentive Performance Materials, Inc. and Energy Future Holdings. Corp, et al. Materials for this teleseminar can be found attached below.
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