Intercreditor negotiation checklist—junior lenders


Published by a ÑÇÖÞÉ«ÇéÍø Banking & Finance expert
Checklists

Intercreditor negotiation checklist—junior lenders


Published by a ÑÇÖÞÉ«ÇéÍø Banking & Finance expert

Checklists
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The table below provides an overview of key points that a junior lender should check for when reviewing a straightforward intercreditor agreement involving senior secured lenders, junior secured lenders and unsecured subordinated creditors. It is aimed at users with limited experience of intercreditor agreements.

The table focuses on the most important and common issues on a straightforward secured bilateral corporate loan transaction and does not aim to cover every possible negotiating point, nor does it cover points on specialist or more complicated transactions such as those in the leverage finance market. What is acceptable will be influenced by the type of transaction, the particular lender involved, as well as the relative negotiating strength of the parties.

For information on intercreditor issues in specialist transactions, see Links to useful intercreditor materials below.

Links to useful intercreditor materials

Introductory materials

For an introductory note on intercreditor agreements, including information on common provisions in intercreditor agreements, see Practice Note: Introductory guide to Intercreditor Agreements. Practice Note: How to draft and negotiate intercreditor arrangements in loan transactions provides introductory guidance on drafting

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