This program covers the risks and rewards of loan participations to both the lead bank and the purchasing bank. Attendees will gain a thorough understanding of Participation Agreements.
A participant's checklist for a well-drafted Participation Agreement will be reviewed, and administration of the participated loan will be discussed.
- Advantages of a participation to the lead bank and participant bank
- Risks to the participant
- Lack of information
- Lack of involvement in negotiations
- Dependency upon lead
- Financial instability/insolvency of lead
- Set-off by borrower
- Failure to perfect
- Conflicts of interest
- Due diligence by the participant and access to information
- Disclosure of participation to borrower
- Concentrations and other regulatory aspects of participations
- Loan agreement provisions related to participations
- Duties owed by lead to participant
- Rights to loan collateral and guaranties
- Loan administration issues
- Loan payments and other functions
- Consent to amendments
- Restrictions on transfer
- Loan purchase options
- Reimbursement and indentification obligations
- Set-off by participant
- Understanding the participation agreement
- The participant's checklist
- The participation in workout
Who Should Attend:
CRE lenders, commercial lenders; credit analysts, loan review specialists, special assets officers, lending managers, and credit officers. Support personnel involved in the administration of loan participations are also encouraged to attend.
Robin Russell has practiced law for 30 years and is licensed in Texas, New York, and Massachusetts. She is a fellow in the American College of Bankruptcy and of the American Law Institute. She combines a depth of experience in bankruptcy restructuring and litigation with financial transactions. She has represented corporate debtors, independent directors, liquidating trustees, bondholders, unsecured creditors' committees, bank groups, private equity funds, landlords, trade creditors and bidders for estate assets in Chapter 11 and Chapter 7 bankruptcy proceedings. She has also represented banks, institutional lenders and corporate borrowers in commercial loan transactions and debt restructurings.
Robin is the principal author of Thomson Reuters’ Texas Practice Guides for both Creditors’ Rights and Financial Transactions and the Texas Bankers Association’s Texas Secured Lending Guide, Texas Problem Loan Guide, Texas Real Estate Lending Guide, and Texas Account Documentation Guide. She is a frequent speaker on banking, bankruptcy and financial restructuring related topics and has served as a Chapter 7 Trustee. Robin received her LL.M. in Banking Law from Boston University and her J.D. from Baylor University where she was Editor-in-Chief of the Baylor Law Review and the highest ranking graduate in her class. She clerked for the Texas Supreme Court before beginning her legal career.
- “Live” Web connection - $265
- Additional connection for a branch - $75
- 6-month “OnDemand” website link only - $295
- CD-ROM and e-materials only - $345
- Live plus OnDemand website link - $365
- Premier Package: Live, OnDemand link, and CD-ROM plus - $395