The world of liability management exercises (LMEs) was ablaze with legal battles, hot on the heels of the game-changing ‘Serta’ ruling. That decision had rattled the market, leaving everyone wondering: what would trigger the next seismic shift in LMEs?

9fin hosted a webinar on Tuesday, June 24 at 3pm ET, where they explored the active LME litigation in 2025, identifying key trends and provisions that could either be solidified as valid workarounds or permanently excluded from the borrower and majority lender playbook.

The discussion focused on critical ambiguities and their potential "threat-level Serta" impact on the market, including the:

• Enforceability and implications of no-action clauses for minority lenders' ability to challenge transactions
• Assertion of fraudulent transfer claims – had the historically limited success in court made these arguments ineffective?
• Ongoing debate over sacred rights
• Burgeoning importance of implied covenant of good faith and fair dealing in LME disputes

By examining these active ambiguities, this webinar provided valuable insights for restructuring professionals seeking to understand the risks and opportunities in the dynamic world of LMEs.

Speakers included:

• Jane Komsky, head of LMEs, 9fin
• George Klidonas, partner, Latham & Watkins LLP
• Justin D. Lee, partner, Weil
• Stephen D. Silverman, partner, Gibson Dunn
• Maya Grant, partner, Milbank
• Joe Graham, partner, Paul, Weiss, Rifkind, Wharton & Garrison LLP