Unofficial committee meaning

Informal creditors' committees In numerous restructurings, creditors often convene informal (ad hoc or unofficial) committees instead of formal ones (see Practice Note: Formal creditors' committee in a restructuring), which can significantly support discussions between the debtor company and its creditors. Since the 2007/8 credit crunch, the emergence of alternative finance providers, such as hedge funds and other investors, has amplified the influence of these informal groups. Typically assembled by bondholders, noteholders or unsecured creditors, they are playing a bigger part in the current surge of informal liability management exercises (LMEs) (see Practice Note: FAQs on Liability Management Exercises). There are no statutory provisions or best practice standards governing how such committees are set up, and their make-up and operation are even more flexible than for formal committees. Informal committees possess no defined powers, and their members owe no fiduciary obligations to fellow members or to other creditors. Members are not, by default, entitled to recover their expenses unless the finance documentation provides for it, or it is agreed as...

This glossary sets out numerous expressions regularly encountered in the restructuring & insolvency sphere. Words shown in bold within definitions are themselves explained in other entries in this glossary as well. A Article X The MLIJ contains a single provision named Article X, aimed at jurisdictions that have already implemented the MLCBI, like England, or are weighing its adoption. Article X states: ‘Not withstanding any prior interpretation to the contrary, the relief available under [insert a cross-reference to the legislation of this State enacting Article 21 of the UNCITRAL Model Law on Cross-Border Insolvency] includes recognition and enforcement of a judgment’ (see Practice Note: UNCITRAL model law on recognition and enforcement of insolvency-related judgments (MLIJ): Article X). Asset-backed security (ABS) A form of security anchored by asset pools, for example loans, leases, and credit card receivables. Assimilated law From 1 January 2024, ‘retained law’ has been retitled ‘assimilated law’. The body of domestic law originally arising from EU obligations, created by the European...

ARCHIVED This Practice Note traces the background to the second edition of the Pre-Action Protocol for Construction and Engineering Disputes (the Protocol), which took effect on 9 November 2016, replacing the first edition that had been in place since October 2000 (with revisions from April 2007). It sets out, in time order, the principal recommendations by Lord Justice Jackson for amending the Protocol in his 2009 final costs report, the observations and actions of the Civil Justice Council working party and the Civil Procedure Rule Costs Sub-Committee, and, lastly, the Acuigen Report arising from an industry survey on the first edition of the Protocol (and the wider process) STOP PRESS An amended Technology and Construction Court Guide was published on 13 October 2022. For further detail, see News Analysis: Technology and Construction Court Guide—updated October 2022. Content and links to the Technology and Construction Court Guide in Lexis®+ UK will be updated shortly. For a PDF comparison (unofficial) version showing the amendments, see: Note: ...