Two important December New York District Court decisions highlight risks in distressed company decision-making
Client Memorandum

Created date

  • Judge Rakoff’s Nine West decision allowed fiduciary duty claims to proceed against LBO seller directors and officers based on anticipated subsequent transactions by purchaser

  • Judge Daniels’ Transocean decision rejected a bondholder challenge to a debt-for-debt liability management transaction ruling that an internal corporate reorganization did not violate a “successor obligor” provision