CreditSlips

Enough With the Old Chinese Debt Already

09/10/19

Mark Weidemaier and Mitu Gulati

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Small Borrowers Continue to Struggle Without Relief

09/10/19

Several recent stories remind us that many, many ordinary people around the world continue to struggle with crushing debt with no access to legal relief, and when relief is introduced, it is vehemently opposed by lenders and often limited to the most destitute of debtors.  These stories also reveal the dark underside of the much-heralded micro-finance industry.

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The Weinstein Company Bankruptcy: What She Said

09/09/19

Nearly a year has passed since my last Credit Slips post on The Weinstein Company bankruptcy. The case, filed March 2018, remains open. Contract disputes have dominated many if not most bankruptcy court hearings this past year.

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Trump, Denmark and Greenland:  What Next?

09/08/19

(This post draws directly from ideas from co authored work with Joseph Blocher; and particularly the numerous discussions we have had about the incentives that a market for sovereign control might create for nations to take better care of their minority populations in outlying areas (e.g., the US and Puerto Rico).  Mistakes in the discussion below, however, are solely mine).

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Anderson and Nyarko's Cool New Papers on Contract Evolution

09/05/19

Two of the contracts papers I’ve been most looking forward to this fall have just been posted on ssrn. They are are Rob Anderson’s “An Evolutionary Perspective on Contracting: Evidence From Poison Pills” (here) and Julian Nyarko’s “Stickiness and Incomplete Contracts” (here).

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Do Judges Do Contract Interpretation Differently During Crisis Times?

09/01/19

Scholars of constitutional law and judicial behavior have long conjectured that judges behave differently during times of crisis.

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Ditech, Reverse Mortgages, Consumer Concerns, and Section 363(o)

08/30/19

A couple days ago, Judge Garrity Jr. of the Bankruptcy Court for the Southern District of New York issued a 132 page opinion denying confirmation of Ditech's proposed plan. Ditech, of course, is an originator and servicer of mortgages, including reverse mortgages. Its plan contemplated sales of both its forward and reverse mortgage businesses--free and clear of customers' claims and defenses.

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Private Equity's Abuse of Limited Liability

08/28/19
One of the central features of the Stop Wall Street Looting Act that was introduced by Senator Elizabeth Warren and a number of co-sponsors is a targeted rollback of limited liability.
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Alix v. McKinsey Update

08/20/19

Judge Furman has dismissed the federal RICO charges, and the case may be headed to state court. Our chances of actually finding out if McKinsey flouted rule 2014 (and § 327) are looking increasingly dim:

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