Negotiating InterCreditor Agreements

About the Course:

This seminar provides an extremely thorough overview of negotiating Intercreditor Agreements. The program begins with an explanation of key terms such as "senior creditor", "subordinated debt", "lien subordination," "standstill period", and "insider." Then, a review of different types of Intercreditor Agreements is provided. Also, of tremendous benefit in understanding the dynamics of Intercreditor Agreements, an example of collateral value of debt subordination is illustrated.

Among the other issues discussed are:

  • Silent second liens
  • Capping of debt
  • Split collateral loans
  • Wrap-around mortgages
  • Marshalling
  • Exigent circumstances
  • Options to purchase senior debts
  • Accordion features of senior working capital debt
  • Handcuffs

This webinar also addresses negotiating issues surrounding Intercreditor Agreements such as:

  • What are the risks of a junior creditor receiving too good of a deal?
  • To what extent is there a "pay-to-play" mechanism at work in the world of Intercreditor Agreements?
  • At what stage of the negotiations of Intercreditor Agreements should lawyers become involved?
  • To what extent can state banking laws assist negotiators in negotiating Intercreditor Agreements?
  • Should borrowers commission asset appraisals before negotiations begin?
  • What are the risks associated with a borrower having licensed out its trademarks in terms of Intercreditor Agreements?
  • What is the significance of ab initio subordination?
  • Which provisions are generally included in lien subordinations?

Course Leader: C. Edward Dobbs, Partner, Parker, Hudson, Rainer & Dobbs LLP

Ed's practice for more than 39 years has been concentrated in documenting and closing commercial loans for banks and other financial institutions, including asset-based lending arrangements; representing financial institutions in debt restructurings, workouts and forbearance arrangements; defending financial institutions in litigation involving alleged fraudulent conveyances, preferences and lender liability claims; representing financial institutions as secured and unsecured creditors in Chapter 11 bankruptcy cases; and representing unsecured creditors, creditors' committees and debtors in Chapter 11 reorganization cases.

Course Length: Approx. 1.5 hours


Purchase Now:

Need help purchasing this course? Please contact Neomi Barazani at 609-919-1895 ext. 100 or at