Lenders to SPEs: Be Aware, You May Not Have Standing to Appeal a Substantive Consolidation Order

October 18, 2016

A substantive non-consolidation opinion is a common feature of structured finance transactions in the U.S. Most, if not all, opine as to what a bankruptcy court would do, but express no opinion on the appellate process. We would venture a guess that most opinion recipients assume that if the bankruptcy court gets it wrong, their rights will be vindicated on appeal. The Eighth Circuit opinion in Opportunity Finance casts a troubling shadow over that assumption.

Read "Lenders to SPEs: Be Aware, You May Not Have Standing to Appeal a Substantive Consolidation Order."