Intercreditor Agreements in the U.K., U.S., and Russia

In the the Russian Mergers & Acquisitions journal, there was published the article named Debt Subordination: U.K., U.S. Practice and Applicability Prospects in Russia (in Russian) authored by a Terra Externa's partner, Evgeny Melikhov. 

The full text of the article (in Russian) is available in the Russian Mergers & Acquisitions journal, 2015, No. 4 (18) and on Terra Externa website, direct link to the Russian version of the article Evgeny Melikhov. Debt Subordination: U.K., U.S. Practice and Applicability Prospects in Russia. The article provides an overview of the main forms and principles of creditor claim subordination in the U.K. and U.S. Then, the application prospects of the creditors agreement on the manner of satisfying their claims against the debtor provided for by article 309.1 of the Civil Code of the Russian Federation coming into force as of the 1st day of June, 2015 are analyzed against the background of the foreign practice.

Key words: debt subordination, subordination agreements, intercreditor agreements, English law, U.S. law, bankruptcy, mezzanine financing.