Update – Waterfall II Application (the “Application”) – Part C - Consequential Matters Hearing – 13 December

Following the judgment of Mr Justice Hildyard handed down on 5 October 2016 in respect of Part C of the Waterfall II Application (the “Judgment”), a consequential hearing regarding matters arising from the Judgment was listed for 12 December 2016. The Joint Administrators have sought the parties’ agreement, to the extent possible, on the various consequential matters flowing from the Judgment. This process has resulted in the parties having reached substantial agreement on the declarations in respect of the legal issues raised for determination (which remain subject to the Court’s views) and the Joint Administrators’ costs of the Application. Matters concerning the Respondents’ costs of the Application and permission to appeal remain outstanding and subject to the further submission and Judge’s determinations at the hearing. 

Accordingly, on 8 December 2016, the following skeleton arguments were filed and served ahead of the consequential hearing:  

• Skeleton argument of the Joint Administrators;
• Skeleton argument of the Senior Creditor Group;
• Skeleton argument of Goldman Sachs International;
• Skeleton argument of Wentworth; and
• Skeleton argument of York Global Finance BDH LLC.

On the 8 December 2016, Goldman Sachs International also filed their grounds of appeal, a copy of which can be found here.

The parties have engaged a transcriber to produce a transcript of the hearing. The transcript produced yesterday can be found below.

Daily transcript – Monday 12 December 2016 

Please note that:  

• the transcript is published in the form received from the transcriber (i.e. prior to review by any party to the Application and without corrections); 
• the parties reserve the right to post amended versions of the transcript should they consider it necessary, but accept no responsibility for doing so; and 
• the Joint Administrators are posting the transcript solely for the convenience of interested third parties and neither they nor any other party to the Application makes any representation as to the accuracy of such transcript nor accepts any responsibility for any inaccuracies contained within it.

This web update will be amended to include a copy of Mr Justice Hildyard’s Order of today once it has been finalised by the Court.

Should you have any queries regarding this update, please contact LBIE’s Communications and Counterparty Management team at generalqueries@lbia-eu.com.