“Checking the financial condition of counterparties: what to look for”
In separate disputes on bankruptcy cases the question of what banks should check when concluding transactions with counterparties arises more often. This mainly relates to loan agreements and security transactions. As shown in the article by Alexandra Ulezko, Head of Bankruptcy Group of Kachkin & Partners, banks do not always carefully check the financial condition of counterparties. Provided that financial institutions have a special status and are subject to increased requirements, this behavior becomes the reason for losing in litigation.
The material was published in the journal «Legal work in a credit institution» No. 3 (61) / 2019
- Legal support for the business pursuits of the largest enterprise in the CIS engaged in the research, development and production of industrial- and scientific-purpose X-ray equipment on the issue of agreement performance in connection with the counterpart
- Representing the interests of a major importer of fish and seafood in a dispute with a bankrupt company seeking to have a deal declared void
- Protecting the interests of an architectural-design bureau during its contractor’s bankruptcy process
- Legal support for a client during a debtor’s bankruptcy procedure and the recovery of accumulated debt
- Holding a bankrupt company’s general director to subsidiary liability for more than 12 mln rubles