When Your Commercial Borrower Defaults: A Proactive Guide to Collateral Realization

This presentation to the members of the New Jersey Bankers Association focuses on time and cost-effective methods by which a secured lender may address defaulted secured commercial loans. Topics to be discussed from both a business and legal perspective:

• Structuring forbearance agreements to provide for the sale or surrender of collateral;
• Rights upon default under the Uniform Commercial Code;
• What it means and when its makes sense to become a mortgagee in possession;
• The proper use of statutory receivers, rent receivers and fiscal agents (including to sell collateral prior to judgment); and
• The pros and cons of selling property through bankruptcy proceedings.