The Pervasive Problem Of Numerosity

Law360, New York (June 2, 2010, 2:17 PM EDT) -- In the highly strategic world of distressed debt investing, the ability to control a class of debt or hold a blocking position in such class is often critical to the successful implementation of an investment strategy.

Outside of bankruptcy, the ability to control or block a class of debt from supporting a transaction will depend solely on the amount of debt acquired by the distressed investor. Generally, if the investor is able to obtain a majority in amount of the debt, no decision may be made...
To view the full article, register now.