Supreme Court Holds That Licensee of Rejected Trademark License May Continue to Use the Trademark

The U.S. Supreme Court resolved a split among circuit courts over the status of a trademark license after the bankruptcy licensor of the trademark rejects the license. Stephen Selbst provides the history behind the ruling and explains the 8 to 1 decision written by Judge Elena Kagan. In Mission Products Holdings v. Tempnology, the Supreme […]

PREPACKAGED FILINGS ARE FLYING THROUGH BANKRUPTCY: Is That Really a Good Thing?

Prepackaged restructurings are allowing companies to fly through Chapter 11 at breakneck speed. Michael Eisenband examines some recent cases and explores the ramifications and accommodations made by lenders.

IMPLEMENTATION OF ASC 606 IS HERE: What Are Increased Risks for Lenders?

The new revenue recognition guidance will go into effect for most private companies in fiscal year 2019. John Monheimius shares potential risks under the new rules for lenders and offers guidance that can help lenders protect themselves.

August 2019

August 2019
Risk Management
Vol. 17 No. 5

BUILDING GRASSHOPPER BANK FROM THE GROUND UP: New Digital Venture Bank Prepares to Fully Launch

Judith Erwin was looking forward to a hiatus from banking after Square 1 Bank — where she was a member of the founding team — was sold to Pacific Western. Instead, the prospect of building a bank with a digital foundation from scratch lured her back into the business.

STRONG MARKET TAILWINDS PROMISE BRIGHT FUTURE FOR AVIATION LENDING

For passengers, the thrill of flying has dimmed as we’ve been shoehorned into seats and charged for our in-flight beverages. Yet Jennifer Villa Tennity points out that despite these inconveniences, air travel is still booming. For aviation lenders, this is very good news.

DIGITAL SOLUTIONS TO ABL DILEMMAS: Streamlining the Lending Process Through Technology

For many borrowers, asset-based loans are a lifeline, providing access to working capital that supports their businesses. But no one would deny that the loan process and follow-up monitoring is archaic and cumbersome. Craig Sproule explains how “no code” digital solutions can change the process and create a more efficient, cost-effective ABL lending platform.

DON’T WAIVE WAIVERS IN LOAN DOCUMENTS

Jeffrey Wurst cautions lenders “to plan your divorce before you get married,” when preparing loan documents. Incorporating waivers is one way to avoid subsequent litigation. A Texas case illustrates how even unenforceable waivers can strengthen a lender’s position.

BURNLEY CAPITAL LAUNCHES TO PROVIDE BORROWERS WITH MORE THAN A CHECKBOOK

Burnley Capital, a new ABL lender, is a partnership between a lender in Boston and a management consultant in Minneapolis, but thanks to the wonders of modern technology, the pair are able to work together without relocating. They offer borrowers more than a checkbook; the company sees the value-added assistance it provides as a way to help borrowers succeed.

TAKING THE TEMPERATURE OF THE BOARD OF DIRECTORS: Why Lenders Should Pay More Attention to Their Borrowers’ Corporate Governance

A strong, independent board of directors can help keep a company on the right financial track. Howard Brod Brownstein, who sits on several corporate boards himself, urges lenders to take a hard look at a borrower’s board of directors before extending a loan or agreeing to forbearance. Brownstein makes a case for lenders to insist on corporate governance before handing over the cash.