As lenders start to prepare for the transition from LIBOR, practical concerns as to how to implement the change are coming to the forefront.\u00a0 Many sources have highlighted the need for lenders to review the loan agreements in their portfolios, but not many have given much insight on the actual scope of review that is needed.<\/p>\n
Best practices dictate that every loan agreement should be reviewed to see exactly what LIBOR terms are used, exactly where they are used and exactly what the LIBOR provisions say.\u00a0 Even if a lender\u2019s loan agreements generally follow a template, there are bound to be a few that vary.\u00a0 Unless there is already a reliable list of these variances, all the loan agreements (in a perfect world) need to be reviewed to find these few that vary.\u00a0 In larger, more negotiated loan portfolios, these loans that vary may be more than just a few.<\/p>\n
All of this is obviously expensive and time consuming<\/a>.\u00a0 Is there a better way?\u00a0 Our recent Alert<\/a> explores that question.<\/p>\n Duane Morris\u2019 LIBOR Transition Team:\u00a0\u00a0Roger S. Chari<\/a>, Chair,\u00a0Joel N. Ephross<\/a>,\u00a0Amelia (Amy) H. Huskins<\/a>,\u00a0Phuong (Michelle) Ngo<\/a>, and\u00a0Han Wang<\/a>.<\/p>\n","protected":false},"excerpt":{"rendered":" As lenders start to prepare for the transition from LIBOR, practical concerns as to how to implement the change are coming to the forefront.\u00a0 Many sources have highlighted the need for lenders to review the loan agreements in their portfolios, but not many have given much insight on the actual scope of review that is … <\/p>\n