Client Alert May 26, 2021

How SPAC Sponsors Can Protect Themselves and their Investments in a Cooling Market

  • Special Purpose Acquisition Companies (“SPACs”) can provide sponsors—often high-net-worth individuals—with large returns.
  • However, SPACs are not without their risks—there are growing signals the market may be cooling, which could lead to litigation and government enforcement.
  • SPAC sponsors and advisors should prepare early in order to reduce their potential exposure.

Read More

Client Alert May 26, 2021

Dissolving a Delaware-Registered Joint Venture: A Key Pressure Tactic in Joint Venture Disputes

  • For parties embroiled in contentious joint-venture disputes, it is advantageous but challenging to find new ways to exert pressure on a counterparty.
  • If the counterparty is registered in Delaware, however, a pursuing a dissolution proceeding there can prove to be a decisive way to gain leverage.
  • As our Claim Monetization & Dilution team explains, this tactic saved a client in a recent case valuable time and money in reaching a favorable settlement.

Read More

Client Alert May 26, 2021

When Investments Lead to Investigations: Navigating Korea’s Disclosure Rules for Foreign Investors

  • South Korea is an attractive destination for investors in private equity and venture capital, but the country’s changing disclosure rules could risk a drawn-out government investigation.
  • Recent changes, designed to relax disclosure for most investors, adds complexity that could be used by the government against international investors to protect domestic companies.
  • International parties investing in a Korean company can and should anticipate this risk in a way that maintains both independence and confidentiality.

Read More

Client Alert March 12, 2021

Don't Stand Passive Against Anti-Competitive Behavior: U.S. Court Endorses Private Sector Antitrust Tools

  • Companies often believe that the only remedy for anti-competitive behavior comes from government intervention.
  • However, as a recent U.S. appeals court decision illustrates, private parties can obtain relief themselves, even against “consummated” mergers approved by government regulators.
  • This creative strategy is just one of many that companies can deploy by themselves when facing competitive challenges.

Read More

Client Alert March 3, 2021

The Corporate Transparency Act: Is it Actually Helpful for Private Parties?

  • The U.S. Corporate Transparency Act (CTA), part of the recently-passed National Defense Authorization Act (NDAA), has broken new ground by requiring beneficial owners of U.S. corporate entities to register with U.S. government authorities.
  • While the CTA appears to shut out private parties – such as creditors and victims of fraud – from accessing such information, there may be potential creative ways to work around this roadblock, bringing creditors one step closer to a substantial recovery of their assets.
  • Nevertheless, creative creditors and their counsel might be able to obtain this information through certain channels to cut off escape routes for debtors and fraudsters, and obtain more complete recoveries.

Read More

Client Alert January 28, 2021

Keeping Offshore Assets Offshore

  • Prevailing case law in BVI and Cayman has historically not allowed injunctions to be granted by the offshore courts unless there is an existing claim against the defendant within the jurisdiction of the Court granting the injunction.
  • Fortunately, that position has changed in the Cayman Islands and now in BVI, with claimants, including those from onshore jurisdictions such as Hong Kong and the People’s Republic of China, able to obtain “free-standing” injunctive relief in both offshore jurisdictions.
  • With the advent of the new law in BVI, and the continuing willingness of the Cayman Islands’ Courts to make protective orders, victims of fraud are now in a better position than they have ever been to guard against a defendant’s dissipation of its offshore assets whilst they are waiting for a judgment.

Read More

Client Alert December 8, 2020

India-Based Debtors Can Face Off Against Global Lenders

  • When a debt comes due, standing up to a global institutional lender can seem daunting for Indian debtors, especially if disputes scatter overseas.
  • Regardless of whether a lender feels generous or not, however, there are steps debtors can take to increase their leverage and fortify their defenses.
  • These include fighting for better terms, buying more time and holding lenders accountable.

Read More

Client Alert November 17, 2020

The Dark Side of 1782: Defending Against Aggressive U.S. Discovery Actions

  • Section 1782 discovery in the United States is a powerful tool to access information and gain an edge in foreign proceedings.
  • However, the power of this tool and the ease in which it is granted invites parties to use it in service of goals completely unrelated to ongoing proceedings, such as a negative PR campaign.
  • Defeating a 1782 application is not easy, but there are counterarguments and cross-border tools available to fight back and turn the tables on an unscrupulous adversary.

Read More

Client Alert August 5, 2020

Clashing with Titans: Maximizing Returns on Sovereign Judgment Enforcement

  • The current economic downturn has triggered record-breaking amounts of debt owed by governments to overseas investors.
  • The crisis, however, has the potential to create large returns for creditors and investors willing to aggressively pursue their claims over a sovereign government.
  • A proven yet unorthodox cross-border litigation strategy that catches sovereigns by surprise can achieve the monetization of judgments previously thought too tough to enforce.

Read More

Client Alert August 5, 2020

When Sovereign Judgment Debtors Fight Back: Clashing with Titans

  • Investors and creditors can gain potentially large returns if they successfully enforce a large judgment against a sovereign debtor.
  • However, with such high-stakes, sovereign governments have begun fighting back using state powers against creditors, turning civil proceedings into a quasi-criminal cross-border dispute.
  • A creditor must employ anticipatory and nonconventional counteroffensive measures in order to protect themselves and maximize their odds of success.

Read More

Client Alert June 15, 2020

New tools to defend against aggressive non-U.S. insolvencies

  • Even when they leave their home countries for the United States, many individuals still get targeted by aggressive foreign insolvency proceedings that try to get recognized in U.S. courts.
  • However, as a recent U.S. Bankruptcy Court decision in favor of a Russian debtor has revealed, there are important steps targets can take to defend themselves.
  • By gathering evidence to show the corrupt nature of the foreign proceedings and one’s severed ties with the foreign country, targets can beat back these hostile campaigns.

Read More

Client Alert May 11, 2020

Clearing Your Name: Fending Off Trade Secret Theft Judgment Claims

  • In the midst of the ongoing U.S.-China trade war, U.S. accusers who obtain a judgment in their dispute can use it to interfere with the day-to-day commercial activities of PRC entities.
  • To prevent and protect against a judgment, Chinese entities must understand both their own vulnerabilities and their legitimate rights before and after a judgment.
  • Pre-emptively preparing a defensive strategy that considers not only judgment defense, but also other likely scenarios – from a civil IP theft dispute to U.S. criminal proceedings under the umbrella of national security – can be quite effective.

Read More

Client Alert April 28, 2020

An Opportunity across the Pond: U.S. Discovery Developments can Drive UK Proceedings

  • Compared with UK discovery, with its limited scope and high costs, U.S. discovery can be a much more powerful and widely usable tool of enforcement.
  • U.S. Discovery, unlike UK discovery, is not limited to documents contained within its national borders.
  • Furthermore, documents discovered through U.S. discovery can often be used for purposes beyond those specifically identified in the original discovery application.

Read More

Client Alert April 15, 2020

Making Patents Pay: Monetizing Dormant Assets in an Economic Downturn

  • Amidst an economic downturn, the active assertion of patent rights can generate massive returns for patent holders, as demonstrated by numerous recoveries in the U.S. in 2019.
  • The passing of the America Invents Act (AIA) in 2011 and subsequent judicial decisions have led to a downturn in patent value, but the recent precedential decision in the U.S. Patent Trial and Appeal Board (PTAB) has turned more positive, placing patent holders in a favorable position for the first time in recent memory.
  • With legal conditions for patent enforcement improving in the U.S., now is an important time for businesses, their investors and their advisors to identify and deploy assertable IP holdings.

Read More

Client Alert March 20, 2020

Coronavirus: Buying Time in Uncertainty

  • For companies facing the economic fallout of COVID-19, time has become the most precious commodity to preserving their assets and riding out the storm.

  • The ‘force majeure’ clause often found in contracts under New York and English law, if invoked correctly, could increase the likelihood of success in potential litigation with lenders.

  • Our lawyers around the world take a close look at the force majeure clause and how courts in different jurisdictions (including Brazil and Argentina) have chosen to interpret its applicability in a pandemic situation.

Read More

Loading