Many loan transactions contain what is known as a “lockout” period – that is, a period subsequent to closing where the prepayment of a loan is prohibited. This article takes a closer look.
Associate | Real Estate
While a promissory note is not typically a “negotiable instrument” as defined in the UCC, it is intended to be and is codified as an instrument that can be easily transferred by the lender to a third party. Because of this easy transferability, losing a promissory note can have serious consequences for a lender since the possessor of the document is likely the only party who can enforce it.
Cadwalader and Sia Partners recently conducted a benchmarking study on the LIBOR transition efforts of over 75 organizations.
On October 8, 2019, the U.S. Treasury Department and IRS issued proposed regulations confirming that transitions from LIBOR and other interbank offered rates (IBORs) to alternative reference rates in debt instruments and derivatives will not be taxable events, provided that the fair market value of the modified contract is substantially equivalent to the fair market value of the unmodified contract (fair market value test).
Here is a rundown of some of Cadwalader's recent work on behalf of clients.
A calendar of upcoming events.