Banking & Financial Services: Loan Enforcement & Workouts
McDowell Rice’s Banking & Financial Services Group represents community, regional and national banks, credit unions, and other financial services firms to guide lenders through all phases of lending, including negotiating and drafting loan transaction documents and loan restructuring. We work with lenders to improve loan documentation at the outset to strengthen the lender’s position in the event that enforcement becomes necessary. Our firm also assists lenders with negotiations in the workout process to maximize the likelihood of success for the workout, while best protecting the lender’s rights and avoiding the need for litigation. When enforcement is necessary, our firm represents lenders in loan enforcement litigation in Kansas, Missouri, and multiple other jurisdictions across the country, involving enforcement of promissory notes, guarantees, commercial security agreements, assignments of insurance policies, deeds of trust and/or mortgages and other security instruments.
- McDowell Rice routinely obtains judgment in favor of lenders and works to develop a strategy to obtain judgment as quickly and efficiently as possible.
- McDowell Rice guides lenders through the foreclosure and/or liquidation process. McDowell Rice has expertise in liquidating collateral located in multiple jurisdictions and works with lenders to develop early in the process the most efficient and effective approach.
- McDowell Rice leads lenders through the application and appointment of a receiver where control over both the entity and collateral is vital to the preservation of the lender’s collateral and claim.
Recent Experience and Results:
- McDowell Rice has regularly obtained summary judgment in favor of lenders successfully enforcing loan documents to recover from borrowers, guarantors, pledgers and mortgagors.
- McDowell Rice has obtained summary judgment and other favorable rulings in both Kansas and Missouri enforcing the Credit Agreement Statutes of Fraud to bar counterclaims by borrowers and guarantors.
- McDowell Rice has applied for and received appointments of receivers in both Kansas and Missouri taking control of borrower entities to preserve rents, security deposits and other cash collateral and to maximize the lender’s recovery from its real and personal property collateral.