In a closely watched ruling, on May 15th, 2012, the Eleventh Circuit Court of Appeals reversed the district court and affirmed the bankruptcy court's original decision in In re TOUSA, Inc., in which it found that various lenders had received hundreds of millions of dollars in fraudulent transfers. Although framed narrowly on the factual findings of the bankruptcy court, the Eleventh Circuit's decision nonetheless creates greater uncertainty for lenders and other creditors seeking repayment from distressed debtors.
Please join Brian Trust and Sean T. Scott, Restructuring, Bankruptcy and Insolvency partners from our New York office, in a discussion of the decision, its framework and potential consequences.
Mayer Brown's Global Financial Markets Initiative helps clients deal with the legal and business challenges resulting from the ongoing turbulence in worldwide financial markets. By mobilizing the firm's global resources from multiple practices and offices, the Initiative provides clients with knowledgeable and timely counsel on a broad spectrum of their legal needs.