"Litigating and Drafting Contractual Disclaimers Of Reliance in a Post-Financial Crisis World" by Paul Haskel published in Bloomberg BNA

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June 18, 2014

"Litigating and Drafting Contractual Disclaimers Of Reliance in a Post-Financial Crisis World," authored by Richards Kibbe & Orbe LLP partner Paul B. Haskel was published by Bloomberg BNA as part of the Banking Report. In the article he discusses the recent trend in the law on Big Boys and provides some guidance derived from the cases for drafting enforceable CDRs.

In the massive market in unregulated (or at least less regulated) private financial transactions between and among sophisticated institutions, such as transactions in bank debt, bankruptcy claims and structured products, in which disputes are resolved by reference to old-fashioned common-law rules, how do the courts balance the rights of sophisticated parties to transact without fear of a lawsuit from a counterparty with buyer’s remorse against a public policy that refuses to reward intentional fraud? That battle, especially in the years since the financial crisis, has played itself out in the use and enforceability of contractual disclaimers of reliance (‘‘CDRs’’), otherwise known as ‘‘Big Boy’’ provisions.

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