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    Tinkering With Ipso Facto Provisions In Financial Contracts Could Send Them Sailing Out of Safe Harbors
    2016-07-28

    The scope of the Bankruptcy Code’s safe harbor for certain financial contracts has been tested again, this time in the United States Bankruptcy Court for the Western District of Louisiana. The question this time was whether an ipso facto provision continues to be safe harbored if enforcement of that provision is conditioned on other factors – in this case, the debtor’s failure to perform under the contract.

    Filed under:
    USA, Insolvency & Restructuring, Litigation, Weil Gotshal & Manges LLP, Bankruptcy, Debtor, Breach of contract, Safe harbor (law), Liquidation, United States bankruptcy court
    Location:
    USA
    Firm:
    Weil Gotshal & Manges LLP

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