David Edelberg
Partner
201-896-7701 dedelberg@sh-law.com
Loan Restructuring & Workouts
Scarinci Hollenbeck combines innovative strategies and decades of combined experience to assist our clients in the restructuring and enforcement of outstanding loans and other monetary obligations.
Key Contacts
Loan Restructuring & Workouts
Our Approach
Loan Restructuring & Workouts – Innovative Solutions
Scarinci Hollenbeck combines innovative strategies and decades of combined experience to assist our clients in the restructuring and enforcement of outstanding loans and other monetary obligations.
Our dedicated attorneys understand the obstacles facing entities embroiled in distressed financial situations. Our goal when servicing clients in these matters is to develop unique, tailored strategies that garner maximum value on behalf of our clients.
What Our Loan Restructuring & Workout Attorneys Do
To provide the best possible legal advice, our attorneys work across practice groups to overcome any obstacles that may arise. Our team includes members of the firm’s Commercial Real Estate ad Bankruptcy & Creditor’s Rights practices.
These broad capabilities allow the firm to assist clients in every step of the loan restructuring and workout process. Our legal services include:
- Assessing the interests, rights, and remedies available
- Appointing a receiver in aid of execution
- Appointing a rent receiver
- Foreclosure
- Drafting and negotiating loan forbearance agreements
- Enforcing loan defaults
- Prosecuting involuntary bankruptcy filings
- Providing advice on income and tax implications of transactions
- Serving as bankruptcy counsel
Who Our Loan Restructuring & Workout Attorneys Help
Our firm assists clients at every phase in the life cycle of a loan arrangement. We also have the capability to successfully resolve issues that arise in a wide variety of loan transactions, ranging from middle market, single-lender loans to complex multi-lender participations.
Our diverse client roster includes banks, investors, landlords, lenders, syndicated lending groups, debt funds, and sellers and acquirers of troubled loans. We also represent lenders with regard to a variety of financial agreements, including construction loans, mezzanine loans, asset-based loans, equipment leases, cash flow transactions, and real estate loans. Industries that we routinely serve include commercial real estate, manufacturing, finance, healthcare, hospitality, and technology.
Your Trusted Legal Team in Complex Workouts
Our loan workout lawyers have successfully represented clients across a range of industries, including banking, commercial real estate, manufacturing, and healthcare. We understand the intricacies of secured and unsecured loans, cross-collateralization, intercreditor agreements, and regulatory compliance.
Our legal team includes seasoned negotiators and litigators, prepared to protect your interests both at the negotiating table and, if necessary, in court. We work closely with financial advisors, turnaround consultants, and in-house counsel to craft customized strategies aligned with your goals.
Areas of Service
- Assessing the interests, rights, and remedies available
- Appointing a receiver in aid of execution
- Appointing a rent receiver
- Foreclosure
- Drafting and negotiating loan forbearance agreements
- Enforcing loan defaults
- Prosecuting involuntary bankruptcy filings
- Providing advice on income and tax implications of transactions
- Serving as bankruptcy counsel
FAQ about Loan Restructuring & Workouts
A loan workout is a negotiated modification of loan terms between a borrower and lender, intended to prevent default or foreclosure. It may include changes to interest rates, payment schedules, or loan structure.
You should consult a loan workout attorney as soon as you anticipate difficulty meeting loan obligations or if a borrower is at risk of default. Early intervention increases the chances of reaching a favorable outcome.
Common forms include interest rate reductions, principal forbearance, maturity date extensions, conversion of short-term debt to long-term debt, and debt-for-equity swaps.
Yes. Workouts can often help borrowers avoid foreclosure, receivership, or bankruptcy by creating a manageable repayment path. For lenders, they preserve asset value and reduce legal exposure.
Forbearance is a temporary delay or reduction in payments without changing the terms of the loan. Modification involves permanent changes to the loan’s structure or repayment terms.
Yes. Once a workout agreement is signed by both parties, it becomes a legally enforceable contract. Our attorneys ensure these agreements are comprehensive and protect against future disputes.
Absolutely. Our firm frequently handles commercial real estate loans, construction financing, asset-based loans, and business credit lines—advising both borrowers and lenders.
Collateral may be renegotiated as part of the restructuring process. This can involve substituting, releasing, or enhancing collateral to make a workout more acceptable to a lender.
The process timeline varies depending on the complexity of the loan and willingness of both parties to negotiate. Some workouts conclude within weeks; others may take several months.
If negotiations fail, options may include foreclosure, receivership, litigation, or bankruptcy. Our attorneys prepare clients for all potential outcomes and protect their rights at every stage.
OUR commitment to excellence, combined with our mission to deliver outstanding client service, has earned our firm a solid reputation.
Scarinci Hollenbeck is a business law firm based in New Jersey, New York servicing clients worldwide.
If you have a legal need that is not mentioned, please contact us to discuss how we may help you.
Contact us today to learn more about how we can assist you.
Practice Area Attorneys
Why Choose Us?
Extensive Experience in Loan Workouts
We’ve advised clients through economic downturns, industry shifts, and unexpected disruptions—offering steady legal counsel when it matters most.
Balanced Representation for Borrowers and Lenders
Because we work with both sides, we understand the motivations and concerns of all stakeholders. This dual perspective strengthens our negotiation strategy and results in more efficient outcomes.
Integrated Legal & Financial Insight
Our firm combines legal excellence with commercial awareness. We understand how financial pressure intersects with legal risk and provide solutions that reflect both realities.
Custom Strategies for Every Client
No two financial situations are alike. We tailor every workout solution to your unique needs, whether you’re restructuring a multimillion-dollar loan or navigating a distressed property portfolio.
