Presentation

Legal News CEOs Can Use

October 28, 2024

Member Marshall Grodner (Baton Rouge) participated in a panel on “Legal News CEOs Can Use” during the Equipment Leasing and Finance Association (ELFA) Annual Convention on Monday, October 28.

Panelists highlighted certain recent or evolving legal developments that senior leasing executives would find useful, including:

• A brief update regarding the 2022 Amendments to the Uniform Commercial Code (UCC), especially the EF-related Amendments. The UCC is the essential body of commercial law relied upon by EF originators and investors regarding the full spectrum of enforceability and capital markets considerations AND the Amendments are important because they are now the law in the majority of the states. Presenters also shared their views as to how the Amendments could drive changes to EF market documents, systems and transactional practices, especially with respect to bundled transactions.

• A review of the most impactful EF-related court decisions since the 2023 Convention Legal Update session, and how these cases could provide important guidance as to what to do, or not do, when documenting or enforcing transactions.

• A brief overview of the UCC steps to be taken by EF originators and capital markets investors and lenders to protect their priority when financing equipment or purchasing transactions. These priority steps are important because they protect the interests of an originator or investor in the financed equipment or purchased transactions. Presenters also shared certain events that could occur and cause originators and investors to lose priority even though these UCC steps were followed, and what they consider to be best practices for avoiding bad surprises.

McGlinchey recently celebrated 20 years of membership with ELFA, the premier trade association representing companies in the $1 trillion equipment finance sector. Learn more.