Property Assessed Clean Energy (PACE) financing, in which environmentally efficient home improvements are repaid through an assessment on the real property, has grown in recent years, but not without controversy. Issues exist for all participants: borrowers, who are unaware of their repayment obligations; local governments, who are tasked with reporting defaults and enforcing obligations owed to private lenders; investors, who may be in the dark as to borrower defaults; and lenders, who face uncertain rules and regulations. The survival of the industry may soon require a significant shift in practices. The Credit Chronometer closely follows all aspects of this dynamic market and analyzes the issues from the perspective of past turning points and industry shifts.
Davis & Gilbert’s Insolvency, Creditors’ Rights & Financial Products Practice Group represents clients in a broad range of corporate, insolvency and litigation matters. The group has been actively involved in many of the most notable and highly visible business events in recent years related to the last economic downturn and has vast experience in the area of subprime lending, including the operation of origination platforms, relationships with servicers and defending large-scale asset-backed securities litigation. The broad and diverse experience of their attorneys makes them particularly well-equipped to advise clients in rapidly evolving markets, such as, those for auto loans, student loans, marketplace lending, mortgage loans and PACE (Property Assessed Clean Energy) financing. Additional highlights of the practice include the following:
Litigation: The group regularly prosecutes and defends litigation involving complex financial transactions and instruments and has defended residential mortgage-backed (RMBS) securitization litigation, including fraud and repurchase claims, involving nearly $2 billion in claims.
Bankruptcy: The group guides clients through financially distressed situations and helps formulate and execute creditor enforcement strategies, in particular, in the case of intermediaries facing obligations to third parties. The group has defended nearly $1 billion in fraudulent transfer claims brought by the trustee for the liquidation of Bernard L. Madoff Investment Securities LLC.
Corporate: The group also advises on a full range of financing transactions, including secured revolving and term credit facilities, receivable financing arrangements, intercreditor agreements, warehouse lending facilities and loan purchase agreements.
For more information about the Insolvency, Creditors’ Rights & Financial Products Practice Group, click here.