Roadmap for Navigating Tenant Distress and Bankruptcy: Guidance for Landlords
Recording of a 90-minute CLE video webinar with Q&A
This CLE webinar will guide bankruptcy practitioners in the nuances surrounding commercial tenant distress outside and inside of bankruptcy proceedings. The dynamic panel will cover the rights, duties, and options under the Bankruptcy Code for landlords.
Outline
- Dealing with tenant distress and defaults outside of bankruptcy
- Pre-negotiation agreements
- Issuing default notice/reservation of rights letter
- Forbearances and waivers
- Collection efforts
- To terminate or not to terminate
- Key concepts & issues for dealing with tenant leases in bankruptcy
- What causes a tenant to file for bankruptcy?
- Section 362
- Seeking stay relief
- Understanding the limitations bankruptcy imposes on ipso facto clauses
- First-day orders
- Obligation to pay rent under Section 365(d)(3)
- Assumption/rejection of lease
- Security deposits
- Letters of credit
- Landlords’ claims
Benefits
The panel will review these and other key issues:
- What are a landlord’s rights if a debtor/tenant fails to timely perform its post-petition lease obligations?
- How does the statutory cap on lease rejection damages actually work?
- Can a security deposit held by a landlord be applied only to the capped claim or the whole claim?
- Do caps apply to draw downs on letters of credit?
- If the debtor/tenant rejects the prime lease with the landlord, would the subtenant have the right to remain on the premises?
Faculty
Harold D. Israel
Partner
Levenfeld Pearlstein
Mr. Israel represents debtors, asset purchasers, secured lenders, creditors and official creditor committees in... | Read More
Mr. Israel represents debtors, asset purchasers, secured lenders, creditors and official creditor committees in workouts (in- and out-of-court) and reorganizations throughout the country. Additionally, he represents lenders and equity sponsors in asset-based lending, foreclosure, and debtor-in-possession financing transactions. Mr. Israel also assists not-for-profit organizations in drafting corporate governance documents. He is a past Chair of the Chicago Bar Association’s Bankruptcy and Reorganization Committee and is a past president of the Chicago/Midwest Chapter of the Turnaround Management Association.
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Gary M. Kaplan
Partner
Farella Braun + Martel
Mr. Kaplan represents debtors, secured and unsecured creditors, creditors' committees and trustees in a wide... | Read More
Mr. Kaplan represents debtors, secured and unsecured creditors, creditors' committees and trustees in a wide range of bankruptcy and non-bankruptcy matters. His practice includes both out of court and Chapter 11 restructurings, including advising clients regarding pre- and post-bankruptcy strategy, debt collection, judgment enforcement and provisional remedies. He also has extensive litigation experience.
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Craig E. Reimer
Counsel
Mayer Brown
Ms. Reimer represents institutional administrative agents, secured lenders, indenture trustees, pension funds,... | Read More
Ms. Reimer represents institutional administrative agents, secured lenders, indenture trustees, pension funds, insurance companies, Fortune 100 companies and other creditors in all aspects of out-of-court workouts, financial restructurings and bankruptcy proceedings. In addition, He has served as debtor’s counsel in a number of complex chapter 11 cases ranging involving the restructuring of billions of dollars of indebtedness. Mr. Reimer also has obtained extensive experience in real estate foreclosure actions across the country, including representing secured lenders, special servicers and other stakeholders in CMBS transactions, and has substantial experience advising secured creditors in connection with exercising remedies under Article 9 of the Uniform Commercial Code.
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A.J. Webb
Partner
Frost Brown Todd
Mr. Webb counsels companies facing varying degrees of financial uncertainty and distress, working to proactively... | Read More
Mr. Webb counsels companies facing varying degrees of financial uncertainty and distress, working to proactively identify and assess insolvency issues. He represents parties (secured/unsecured creditors, debtors, committees, purchasers, and borrowers) in all phases of bankruptcy and insolvency proceedings, with an emphasis on selling or acquiring distressed assets and assisting parties in restructurings or out-of-court workouts. Additionally, Mr. Webb counsels clients on general corporate and commercial matters and has also prosecuted or defended numerous avoidance actions. He has represented clients throughout the country in debtor, committee, senior secured lender, distressed acquisition, and retail/landlord engagements.
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