Davis Polk partner Eli Vonnegut was featured in an expert Q&A on creditor disputes in bankruptcy with Corporate Disputes Magazine. In the Q&A, Eli discusses the prevalence of bankruptcies that follow out-of-court liability management transactions and how these transactions are often contested by creditors that chose not to participate or were excluded.

Eli also highlighted the common issues and themes that arise in legal battles among creditors, the criteria that determines which creditors are given priority in a bankruptcy case, the options and protections that exist for minority lenders subordinated by other creditors, recent cases that demonstrate how contentious creditor battles can become and the strategies that are being used to resolve bankruptcy-related creditor disputes. Ultimately, Eli predicts that the trend of bankruptcy-related creditor disputes will continue to grow.  

Creditor Disputes in Bankruptcy,” Corporate Disputes (Oct-Dec 2023 issue)