No CLE

The next evolution of insolvency practice is upon us. The morphing of what started as a restructuring practice into a § 363 sale practice is old news, while the more recent introduction of nontraditional, sophisticated financial investors into the process has brought about another evolution: the debt-to-equity conversion. Why settle for prime and three when you can use Bankruptcy Code provisions like the absolute priority rule and the securities law exemption to come out post-effective date with a freely tradable equity instrument that will enable the holder to share in all of the upside of the reorganized enterprise? This panel will explore the mechanics of a debt-to-equity conversion in the context of a chapter 11 plan in the legal context, then will explain the valuation metrics and allocation calculations that underlie the dynamics as to who gets to participate and the amount of equity offered to the various case constituencies. The discussion will also cover the tools used to spur creditor acceptance of the conversion and uses of the paradigm as a means of raising new capital for the restructured debt, such as backstop agreements and rights offerings.

This judges' panel will include a discussion of various aspects of mediation, the judges' views on developing and encouraging younger lawyers, and a discussion of the important role served by Delaware lawyers when acting as local counsel.

A chapter 11 case can present a host of ethical pitfalls for unsuspecting attorney. Whether you represent debtors or creditors, this panel will discuss common ethical issues facing practitioners in a chapter 11 case.

This session will focus on debtors’ attorneys’ pre-bankruptcy advice and planning regarding the protection of a debtor’s assets, including maximizing exemptions without getting into trouble, analyzing and counseling the client on the vulnerability of transfers of property that the debtor already made to family members or trusts before seeking your counsel, permissible actions to mitigate liabilities on account of a debtor’s pre-petition transfers, what can legitimately and ethically be done to enable debtors to maximize their exemptions without jeopardizing their discharges, and the use of family trusts, self-settled trusts and the effect of the new Domestic Asset Protection Trust Act in Michigan.

With President Trump in the White House and Republicans in control of both chambers of Congress, dramatic shifts may be coming to the insolvency industry. In this presentation, we will examine the potential impact of executive orders, legislative action, and other policy developments – including tax reform – that could affect insolvency practitioners.

This session will feature an update on the current state of the distress in Puerto Rico, including PROMESA and related litigation, and other developments.

This panel will discuss recent case law highlighting the fallout from failing to reaffirm, what “surrender” really means, and what you need to know when advising your client on the benefits and burdens of reaffirmation and surrender.

This panel will discuss recent case law highlighting the fallout from failing to reaffirm, what “surrender” really means, and what you need to know when advising your client on the benefits and burdens of reaffirmation and surrender.