Courts call for Lehman derivative contract settlement in US

The aim of the motion is stated to 'promote efficiency and maximise value for the Debtors' estates.' Bankruptcy proceedings include a 'safe harbour' provision which allows holders of derivative contracts to terminate them if the issuer has filed a chapter 11 case. However, some holders have still not unwound contracts, which the courts think is due to those trades currently resulting in losses.

The courts are pressing investors to settle these contracts so that the value of the Lehman estate can

To continue reading...

You need to sign in to use this feature. If you don’t have a Risk.net account, please register for a trial.

Sign in
You are currently on corporate access.

To use this feature you will need an individual account. If you have one already please sign in.

Sign in.

Alternatively you can request an indvidual account here: