Bankruptcy for Bankers

Finance & Restructuring partner Mike Stewart presented “Bankruptcy for Bankers” for FCCS’s 2020 Virtual Speaker Series on October 7, 2020. With growing stress in the agricultural economy and continuing uncertainty surrounding COVID-19, commodity prices, production costs and profitability, lenders should have a fundamental understanding of the U.S. Bankruptcy Code and their rights and obligations both before and after a customer files for bankruptcy. Mike’s presentation covered bankruptcy basics, with an emphasis on what can be done to minimize risk and maximize recoveries.

Designed for credit professionals, lenders, reviewers, auditors and risk managers, Mike provided practical information on:

• Pre-bankruptcy considerations
• Immediate steps to take after a bankruptcy filing
• Types of cases: Ch. 7, Ch. 9, Ch. 11, Ch. 12, Ch. 13
• Automatic stay and motions for relief
• Cash collateral and adequate protection
• Claim types and proofs of claim
• Plans of reorganization and disclosure statements
• Asset sales and credit bidding
• Avoidance actions
• Debtor-in-possession or DIP financing
• Special considerations with agricultural borrowers and collateral
• Recent legislative changes affecting Chapter 12 and small business cases, and the impact on lenders