LAW BK 991: Commercial Lending
This course studies the legal problems involved in documenting various types of financing transactions ranging from short-term unsecured loans which are based on the borrower's general credit to long-term, asset-based financings in which the lender does not have recourse to the borrower's general assets. The documentation process is followed from the preparation of the initial term sheet through the rendering of legal opinions at closing. The major aspects of a loan agreement, specifically representations and warranties, lending provisions, closing conditions, pricing, covenants, and defaults, are studied in detail in an effort to insure that each student understands the mechanics of a financing transaction. The special legal problems involved in inventory and receivables financing, project financing, construction credits, and leasing transactions are highlighted. Subordination agreements, participation agreements, and other inter- creditor arrangements are discussed. The provisions of the Bank Holding Company Act that relate to financing transactions, bank legal lending limits, margin requirements, and usury are considered. A discussion format is employed to the extent feasible, and problems and illustrations are used to focus and encourage class participation. The grade is based on a final examination, class participation and a brief analytical paper.
LAW BK 995: Consumer Financial Services
This class presents an overview of the laws relating to traditional and innovative consumer financial products and services, including the impact of the new consumer protection provisions of the Dodd-Frank banking law on creditors and consumers. The course focuses on federal consumer financial laws governing installment, revolving, and real estate lending, credit and debit cards; and ATM networks, point of sale payment systems, home banking, stored value and prepaid cards; and other deposit and loan products and services. The course examines the design of retail financial products and considers operational issues, the regulatory framework, and consumer protection laws including The Consumer Financial Protection Act, Truth in Lending, Equal Credit Opportunity, Community Reinvestment Acts, and federal and state laws governing fair credit reporting, trade practices, usury, electronic funds transfers, and funds availability.