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Retention and Ongoing Ethical Obligations

Mark Hirschfield, a partner at Royer Cooper Cohen Braunfeld LLC, discusses ethical requirements for bankruptcy professionals, emphasizing Bankruptcy Rule 2014, which mandates the disclosure of all connections with debtors, creditors and other parties. He highlights the Leslie Fauci and Caesars cases, illustrating the severe consequences of noncompliance, including disqualification and substantial fines. Hirschfield also addresses the fiduciary duties of debtors and creditor committees, stressing the importance of maximizing estate value for creditors. He concludes with best practices, including continuous disclosure, adherence to ethical rules, and educating management on bankruptcy duties.

Tags:
Keywords:

bankruptcy ethics, fiduciary duties, disclosure rule, debtor connections, material connections, Leslie Fay case, Caesars case, continuing disclosure, corporate, Bankruptcy Rule 2014, duties of loyalty, impartiality

Duration:

12 minutes 53 seconds

Marc E. Hirschfield is a partner with Royer Cooper Cohen Braunfeld LLC in New York and leads its Business Restructuring and Bankruptcy group. He has more than 30 years of experience representing parties in bankruptcy proceedings and related litigation throughout the country. He focuses his practice on bankruptcy, business restructuring, creditors’ rights, litigation and debt finance. Mr. Hirschfield is also an accomplished debt-finance attorney and regularly represents lenders and borrowers in a variety of debt-finance transactions, including secured, unsecured, unitranche, first-lien/second-lien and senior/mezzanine structures in the forms of term loans, revolving facilities and asset-backed loan facilities. In addition, he is a court-certified mediator and is appointed to mediation panels formed by the U.S. Bankruptcy Courts for the District of Delaware and for the Southern and Eastern Districts of New York. Mr. Hirschfield has been recognized by The Best Lawyers in America for Bankruptcy Litigation and by New York Super Lawyers since 2011. He is a member of ABI and the Turnaround Management Association, for which he serves on the board of directors for its New York Chapter. Mr. Hirschfield serves as pro bono general counsel to and as captain of the Chappaqua Volunteer Ambulance Corps (CVAC), and he is CVAC’s First Lieutenant and a member of its board of directors. He also is a New York State Certified Emergency Medical Technician and is included in the National Registry of Emergency Medical Technicians. Mr. Hirschfield received his B.A. with honors and Phi Beta Kappa in 1989 from the State University of New York at Binghamton, and his J.D. magna cum laude in 1992 from the State University of New York at Buffalo School of Law, where he was editor of the Buffalo Law Review and a member of the Moot Court Board.

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