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Increased Bankruptcy M&A Activity Should Provide Attractive Opportunities for Lenders
It seems clear that bankruptcy filings inevitably will increase in the near future, because of rising interest rates, pandemic-related micro-economic forces, global strife, and other macro-economic factors and their continuing strain on the global economy and individual businesses.
Consequently, strategic buyers and private equity sponsors should find expanding opportunities to purchase distressed businesses out of bankruptcy. Increased bankruptcy M&A activity also should provide attractive opportunities for lenders. In many situations, these transactions may be more attractive than non-bankruptcy financings, because the buyer should be able to assume only very specific and limited liabilities of the target. Although bankruptcy may add complexities and procedural issues, lenders generally should be able to minimize any associated risks by following the recommendations below.
Bankruptcy Acquisition Process As It Relates to Financing
Bankruptcy Code §363(b)(1) provides that a debtor, "after notice and a hearing, may … sell, … other than in the ordinary course of business, property of the estate …" independent of a reorganization plan. The 363 sale process typically includes an interim hearing on bidding and sale procedures, an auction (if there are multiple bidders), and ultimately a sale approval hearing after notice of the proposed sale and an opportunity to object is provided to parties-in-interest.
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Overview of Regulatory Guidance Governing the Use of AI Systems In the Workplace
Businesses have long embraced the use of computer technology in the workplace as a means of improving efficiency and productivity of their operations. In recent years, businesses have incorporated artificial intelligence and other automated and algorithmic technologies into their computer systems. This article provides an overview of the federal regulatory guidance and the state and local rules in place so far and suggests ways in which employers may wish to address these developments with policies and practices to reduce legal risk.
Is Google Search Dead? How AI Is Reshaping Search and SEO
This two-part article dives into the massive shifts AI is bringing to Google Search and SEO and why traditional searches are no longer part of the solution for marketers. It’s not theoretical, it’s happening, and firms that adapt will come out ahead.
While Federal Legislation Flounders, State Privacy Laws for Children and Teens Gain Momentum
For decades, the Children’s Online Privacy Protection Act has been the only law to expressly address privacy for minors’ information other than student data. In the absence of more robust federal requirements, states are stepping in to regulate not only the processing of all minors’ data, but also online platforms used by teens and children.
Revolutionizing Workplace Design: A Perspective from Gray Reed
In an era where the workplace is constantly evolving, law firms face unique challenges and opportunities in facilities management, real estate, and design. Across the industry, firms are reevaluating their office spaces to adapt to hybrid work models, prioritize collaboration, and enhance employee experience. Trends such as flexible seating, technology-driven planning, and the creation of multifunctional spaces are shaping the future of law firm offices.
From DeepSeek to Distillation: Protecting IP In An AI World
Protection against unauthorized model distillation is an emerging issue within the longstanding theme of safeguarding intellectual property. This article examines the legal protections available under the current legal framework and explore why patents may serve as a crucial safeguard against unauthorized distillation.