US Bank Claims Dibs On Extended Stay's $100M Guaranty

Law360, New York (December 6, 2012, 9:00 PM EST) -- A U.S. Bank NA attorney urged a New York appeals court Thursday to overturn a "ridiculous" decision that put Extended Stay Hotels Inc.'s junior lenders ahead of it to collect on a $100 million guaranty during the chain's bankruptcy following an $8 billion leveraged buyout.

Gregory A. Cross of Venable LLP, who represents senior loan trustee U.S. Bank, warned a five-judge panel during a hearing Thursday that if the "unprecedented" decision isn't overturned it will make it hard for senior lenders to ensure they're first in...
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