The Treatment of No-Call Provisions, Prepayment Premiums, and Make-Whole Damages Under the Bankruptcy Code

Elkind, David S.; Chang, James
July 2011
Pratt's Journal of Bankruptcy Law;Jul2011, Vol. 7 Issue 5, p387
When a borrower files for bankruptcy, lenders' rights under no-call, prepayment premium, or similar provisions may be limited by the Bankruptcy Code. In this article, the authors discuss the issues presented by the cases: the lender's right to a secured claim based upon such provisions; the lender's right to an unsecured claim when the debtor is solvent; and the lender's right to an unsecured claim when the debtor is not solvent


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