Enforcement and Insolvency

When a credit relationship encounters difficulties, early involvement can preserve options and provide a better basis for decision-making. We review the financing and security documentation, assess the creditor’s position and available options, and assist in developing and implementing a strategy for the engagement.

A careful review of the underlying documentation and processes against the Norwegian Financial Agreements Act and other applicable requirements is often critical. Deficiencies may affect the creditor’s position, the options available and the course of the matter. Harald Sætermo’s authorship of a comprehensive commentary on the Act gives LexOslo a particularly strong basis for carrying out this assessment.

Our services include:

• legal review of financing and security documentation and assessment of available legal and strategic options;

• development, implementation and follow-up of strategies for distressed exposures;

• negotiations with borrowers, owners and other stakeholders, including standstill, restructuring and realisation agreements;

• enforcement of claims and security interests under the Norwegian Enforcement Act and the Financial Collateral Act;

• measures to protect unsecured exposures, including attachment and asset-freezing measures where available;

• restructuring negotiations, creditor arrangements, out-of-court solutions and formal reconstruction proceedings;

• assistance in bankruptcy proceedings, including safeguarding claims and collateral values, liaising with bankruptcy estates, financing estate operations, statutory liens, and avoidance and recovery claims;

• calls under bank guarantees and other performance guarantees;

• liability claims involving directors, management, auditors, owners, insurers, banks and other financial institutions; and

• identification and coordination of interim management, financial and operational support where required.

Our experience with financing documentation, security arrangements and the later stages of credit relationships enables us to consider enforcement and insolvency matters within their full legal and commercial context.

We draw on a broad network of international law firms, auditors, transaction advisers, turnaround professionals and other specialists where a matter requires additional expertise. The team is tailored to the needs of the matter, with clear responsibility and close attention to efficiency and cost.