Tousa, Inc.—What Is a Lender to Do?
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This client memo discusses the October 13, 2009 decision by the United States Bankruptcy Court for the Southern District of Florida in the Chapter 11 proceeding of Tousa, Inc. that, among other things, voided as fraudulent conveyances the obligations of Tousa’s subsidiaries under secured guarantees entered into in connection with an aggregate $500 million of first and second lien debt financing.