Cadwalader attorneys analyzed a decision by the U.S. Court of Appeals for the Second Circuit affirming a ruling dismissing constructive fraudulent conveyance claims based on the Bankruptcy Code's safe harbor protections for certain financial contracts.
On March 18, 2019, the U.S. Bankruptcy Court of the Southern District of New York enforced a mortgage lender's claim for a prepayment premium, despite the lender's prepetition acceleration of the loan due to the debtor's default.
The Delaware Chancery Court decision serves as a powerful reminder of the broad freedom of contract that Delaware law accords entities such as LLCs. The decision offers the promise of great latitude to contracting parties and the threat of serious pitfalls for parties that fail to carefully protect their interests in the agreement.
Cadwalader attorneys reviewed a recent decision by the Delaware Court of Chancery that offers insight into the factors a court will consider persuasive in determining whether an enforceable oral contract has been formed between parties.
The First Department of the New York Appellate Division found that the seller of protection under a credit default swap ("CDS") did not act in bad faith when it took certain actions affecting the price of a security that effectively reduced the settlement amount owed by the seller under the CDS.