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Fifth Circuit finds that make-whole premiums should be considered unmatured interest subject to disallowance under Section 502(b)(2) of the Bankruptcy Code to the extent designed to compensate for future interest payments.

Overview

German legislator finally introduces tax exemption for income resulting from debt waivers in restructuring scenarios with retroactive effect.

To date, a debt waiver has been frequently used as a tool to successfully restructure German-based companies in financial difficulties.