The Fifth Circuit Takes On the Issue of Prepayment Premiums

In a recent decision by the Fifth Circuit, the court held that a lender's pre-bankruptcy acceleration of a promissory note arising from a borrower's nonpayment default did not trigger provision for a prepayment premium in the absence of an actual loan prepayment.

24 minute readJune 02, 2014 at 12:00 AM
By
Brett D. Goodman
The Fifth Circuit Takes On the Issue of Prepayment Premiums

In a recent decision by the United States Court of Appeals for the Fifth Circuit inIn re Denver Merchandise Mart, Inc., the court held that a lender's pre-bankruptcy

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