B-Notes Under Pressure: Frequently Asked Questions Regarding Control Appraisal Events and Loss of Control

April 23, 2009
The ongoing crisis in the credit markets and continuing deterioration of the commercial real estate sector have significantly increased the number of distressed commercial real estate loans. In this environment, it is critical for B-Note Holders to have a clear understanding of their legal rights. This update, the third in a series addressing frequently asked questions regarding the ownership of B-Notes in A/B Loans that have been securitized, discusses Control Appraisal Events and the rights a B-Note Holder may have to avoid, delay, or mitigate the impact of a Control Appraisal Event.