Has the Private Credit Maelstrom Arrived?
As the private credit market has rapidly expanded and matured, it has also become a focal point for increasing litigation and regulatory scrutiny. Once a niche segment of finance, private credit now plays a central role in lending to a wide range of borrowers, including Fortune 500 companies, resulting in heightened exposure to legal and regulatory risk.
This webinar will examine the evolving risk landscape facing private credit firms, including a rise in civil litigation and securities fraud claims driven by the plaintiffs’ bar, as well as increased inter-lender disputes stemming from rising bankruptcy activity in an uncertain economic environment. Participants will also gain insight into the growing focus from regulators, including the SEC and DOJ, on “control weaknesses” in valuation and underwriting practices, even in the absence of systemic distress. For professional liability practitioners, understanding these developments is essential to effectively assess exposure, advise clients, and anticipate emerging risks in a rapidly changing market.
Attendees will learn:
– How the private credit market operates and how it has evolved
– The key litigation risks currently facing private credit firms
– The regulatory risks emerging from increased SEC and DOJ scrutiny
– How economic uncertainty is driving bankruptcy-related disputes and inter-lender conflicts
– The most significant risks on the horizon as private credit continues to expand its market reach