Litigious Issues in Inter-Creditor Squabbles and Dip Financing

This podcast episode delves into the different litigious issues surrounding inter-creditor squabbles and dip financing. Various topics are discussed, including adequate protection, priming lenders, backstop fees, collusion between majority lenders, and collateral stripping. The conversation highlights the willingness of minority lenders to take financial risks to protect their rights and examines the strategic incentives for borrowers and sponsors in structuring these transactions. The importance of equal treatment and the potential violation of credit agreements and bankruptcy provisions are also explored.