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  • videocam On-Demand
  • card_travel Bankruptcy
  • schedule 90 minutes

Bankruptcy Fraudulent Transfers as Securities Claims: Opening the Door to Recovering D&O Insurance Proceeds

  • videocam On-Demand
  • card_travel Bankruptcy
  • schedule 90 minutes
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Description

In Verizon, the Delaware Superior Court ruled that when suing companies for fraudulently transferring money or assets, a bankruptcy trustee representing the debtor's creditors can be deemed a "securities holder" so that such claims in bankruptcy may be deemed securities claims for which D&O coverage is available.

D&O insurance often covers securities claims against a company, its affiliates and their executives, creating a potentially significant source of funds for creditors in a bankruptcy case involving a company or its affiliates. Furthermore, policies typically cover not only settlements and judgments but also related attorneys’ fees and costs and even experts' fees.

Listen as this experienced panel discusses this novel approach for accessing D&O insurance proceeds to repay fraudulent transfers.

Presented By

Brett M. Amron
Partner
Best Amron

Mr. Amron advises clients in complex business and bankruptcy litigation matters with an emphasis on director and officer liability, breach of fiduciary duty, partnership and shareholder disputes, fraud, and avoidance and recovery of preferential and fraudulent transfers. Mr. Amron represents court-appointed fiduciaries, trustees, receivers, corporations, shareholders, individuals, creditors’ committees, and secured and unsecured creditors. Mr. Amron speaks and writes frequently on various topics related to his practice.

Michael R. Handler
Partner
King & Spalding LLP

Mr. Handler’s practice focuses on representing lenders and bondholders across the capital structure and companies in all aspects of workout, restructuring, special situation financing matters and distressed M&A transactions. He also has significant experience in connection with investment manager and broker-dealer liquidations and wind-downs, private credit restructurings and insolvency-related structured finance matters. Mr. Handler is at the forefront of intercreditor litigation and related issues, having led significant contested matters concerning the protection of minority lender rights in litigation in New York Supreme Court.

Gary M. Kaplan
Partner, Chair Restructuring, Insolvency and Creditors Rights Practice Group
Farella Braun & Martel LLP

Mr. Kaplan represents debtors, secured and unsecured creditors, creditors' committees and trustees in a wide range of bankruptcy and non-bankruptcy matters. His practice includes both out of court and Chapter 11 restructurings, including advising clients regarding pre- and post-bankruptcy strategy, debt collection, judgment enforcement and provisional remedies. He also has extensive litigation experience.

Credit Information
  • This 90-minute webinar is eligible in most states for 1.5 CLE credits.


  • Live Online


    On Demand

Date + Time

  • event

    Wednesday, May 31, 2023

  • schedule

    1:00 p.m. ET./10:00 a.m. PT

  1. Overview of Verizon Commc’ns. Inc., et al. v. Nat’l Union Fire Ins. Co. of Pittsburgh
    1. Choice of law and rules of policy interpretation
    2. Key policy definitions, provisions, and exclusions
    3. Derivative standing issues
    4. Reasonable expectation of coverage defense
  2. Bankruptcy applications and strategies

The program will review these and other pivotal issues:

  • What was the court's reasoning in holding that a fraudulent transfer claim constituted a securities claim for which D&O insurance coverage was available?
  • What is the relevant policy language to review in such circumstances?
  • Does the analysis change based the type (“side A/B/C”) of D&O policy involved?