management

Lending Compliance Systems® is a global Distressed Assets / Special Assets / Special Situations Management provider affording lenders and investors of all sizes a comprehensive suite of Risk Mitigation and Disposition services to manage distressed asset loan portfolios.

Across industries and asset classes, from a single loan to loan portfolios of all sizes, our multidisciplinary lending compliance experts provide a broad range of customized distressed asset and loan portfolio management services. This includes: ASA/MAI/RICS appraisals, customer service, sending monthly payment statements and collecting monthly payments, maintaining records of payments and balances, collecting and paying property taxes and insurance, managing escrowed funds, administering operating expense accounts, remitting funds to investors, client/investor reporting, IRS reporting, UCC filings, file and records management, and special assets and special situations interim onsite management, disposition, and monetization experts.

Our services reduce risk and bring our clients the safety, comfort, flexibility, and confidence to increase credit to existing customers and to seek-out and book new business opportunities where others cannot.

Credible distressed / special assets management and risk-mitigation is critical to the lending process.

DISTRESSED / SPECIAL ASSETS / SPECIAL SITUATIONS MANAGEMENT SERVICES

Credible distressed / special assets management and risk-mitigation is critical to the lending process.

Lending Compliance Systems® provides the complete spectrum of Distressed / Special Assets / Special Situations Management and Risk-Mitigation Services across industries and asset classes, real and moveable, tangible and intangible, to financial institutions, asset-based lenders, leasing companies, private-equity firms, and myriad other secured creditors and investors throughout-the-world. 

Our Distressed / Special Assets / Special Situations Management suite-of-services include:
 

Across industries and asset classes, from a single loan to loan portfolios of all sizes, our multidisciplinary lending compliance experts provide a broad range of customized distressed loan portfolio management services. This includes: ASA/MAI/RICS appraisals, customer service, sending monthly payment statements and collecting monthly payments, maintaining records of payments and balances, collecting and paying property taxes and insurance, managing escrowed funds, administering operating expense accounts, remitting funds to investors, client/investor reporting, IRS reporting, UCC filings, file and records management, and special assets and special situations interim onsite management, disposition, and monetization experts.

Our Collateral Asset Management and Risk Mitigation suite-of-services include:

Comprehensive Transactional Due Diligence, Appraisals, Feasibility Studies, Deal Vetting, Credit Analysis and Analytics, Risk Assessments, Project Management, Collateral Reviews, Environmental Compliance Reviews, Account Monitoring, Independent Auditing, Field Inspections, Asset Tagging, UCC Filings, Periodic Onsite Compliance Inspections, Off-Lease and Special Asset Replevin / Recovery / Disposition Services and, 24/7/365 onsite Special Situations Receivers / Keepers (Louisiana) and Interim / Crisis Management.

Our internationally-recognized specialists work closely with the client to analyze and determine its institutional and regulatory requirements. After goals and objectives are established, our lender services compliance teams prepare comprehensive due diligence protocols, develop account and site-specific strategies, and visit the client’s location(s). We meet with borrowers and site management personnel to communicate the level of compliance its lender requires in a courteous and professional manner that leaves-no-room-for-interpretation. 

Our distinctive Distressed / Special Assets / Special Situations and Collateral Asset Management and Risk-Mitigation Services reduce risk and bring our clients the safety, comfort, flexibility and confidence to increase credit to existing customers and to seek out and book new business opportunities where others cannot.

COLLATERAL ASSET TRANSACTIONAL / RISK-MITIGATION SERVICES

For over 30-years, EDS has provided the complete spectrum of collateral asset transactional and risk-mitigation services across industries and asset classes, real and moveable, tangible and intangible, throughout the lending relationship to financial institutions, asset-based lenders, leasing companies, private-equity firms, and myriad other secured creditors, investors, and stakeholders throughout-the-world.

Our collateral asset transactional and risk mitigation suite-of-services include: Feasibility Studies, Pre-Funding and Transactional Due Diligence, Collateral Asset Inspections/Tagging/Cataloging/Appraisals, Site/Risk Assessments, Account Monitoring, Project Management, Environmental Compliance Reviews, and Periodic Onsite Exams and Audits.

Our multidisciplinary compliance examiners and site-specific specialists work closely with the client to analyze and determine its institutional and regulatory requirements. After goals and objectives are established, our compliance teams prepare comprehensive protocols, develop account and site-specific strategies, and visit the client’s location(s) to identify and document collateral hard-asset equipment/inventory lists, and pair this knowledge with the direct recovery experience of our commercial/industrial disposition experts. We meet with borrowers and site management personnel to communicate the level of compliance its lender requires in a courteous and professional manner that leaves-no-room-for-interpretation.

Our distinctive collateral asset management programs and services reduce risk and bring our clients the safety, comfort, flexibility, and confidence to increase credit to existing customers and to seek out and book new business opportunities where others cannot.

TRANSITIONAL / INTERIM / CRISIS / TURNAROUND MANAGEMENT / WIND-DOWNS / DIVESTITURES

For over 30-years, across industries and asset classes, EDS has skillfully represented and judiciously guided, secured creditors, attorneys, investors, and myriad other stakeholders in managing their special assets and special situations. From National Priority List Superfund Sites—to a decommissioned nuclear-powered aircraft carrier—to the pencils-on-the-desk we handle it all, and we have successfully managed and generated billions-of-dollars for our global clientele in the disposition and conversion of their distressed assets, special assets and special situations to cash.

Our Special Assets and Special Situations Group marshal onsite 24/7/365 throughout-the-world to provide the complete spectrum of operational management and disposition services. Our teams work closely with the secured creditor and its legal representatives to protect, preserve, manage, operate, and otherwise enhance the going-concern value of the troubled businesses and/or business assets that might otherwise be lost during bankruptcies, foreclosures, restructurings, liquidations, and related actions while actively pursuing permanent solutions.

The impact of complex and contentious litigation in many special asset and special situations can complicate, if not destroy, the secured creditor’s position if not handled properly. Non-current, non-performing, distressed, and troubled accounts present many pressing challenges. When problematic accounts facing operational and/or financial challenges occur, our experienced—street-savvy—proficient transitional management teams employ creative—proven solutions that often reverse and cure these situations immediately.

We specialize in handling the disposition of highly-contentious and environmentally-sensitive special situations. Our award-winning environmental special situations services have earned us the distinction of being the only company of its kind that the United States Environmental Protection Agency allows to conduct special situations related investment-recovery activities for secured lenders on Superfund Sites. We are very proud of this distinction and believe that it and our body-of-work for such multinational giants as Signal Capital, Ally Capital, and GE speak to our level of expertise and the confidence placed in us.

EDS seeks to partner with owners, managers, and secured creditors to achieve the best outcome for all stakeholders. These efforts often lead to exceptional investment opportunities for EDS’ Distressed Assets Private-Equity Investment Funds.

SECURED CREDITOR SERVICES COMMERCIAL FORECLOSURE MANAGEMENT

Louisiana Rev Stat § 9:5136 — Designation in mortgage or other instrument of keeper.
Louisiana Rev Stat § 12:1-1432 — Appointment of receiver or liquidator.

COURT APPOINTED RECEIVER / KEEPER (LOUISIANA) / TRUSTEE / ASSIGNEE / SPECIAL MASTER / CHIEF RESTRUCTURING OFFICER / LIQUIDATOR

A Court Appointed Receiver or Keeper under Louisiana law owes a fiduciary duty to the Court and all parties involved in the litigation. The Receiver/Keeper’s duty is to preserve, protect, manage, and operate the property, collect all receipts and pay all necessary bills associated with the property such as those related to insurance and utilities, rents, and provide monthly accountings to the court and all interested parties. The Court also allows the Receiver/Keeper to make necessary improvements to the property as well as market it for sale and/or lease.

Serving as a Court Appointed Receiver/Keeper (Louisiana) requires highly-trained—highly-skilled—highly-credentialed—highly-experienced special assets and special situations transitional management and disposition experts with decades of proven experience and unimpeachable credibility who master the facts and are able to present clear, objective and compelling findings to judges.

The success of a Court Appointed Receiver/Keeper (Louisiana) is predicated upon the qualifications—education, experience, training, and credibility of the Fiduciary. EDS’ unsurpassed global qualifications, decades of experience and unimpeachable credibility afford it unparalleled opportunity to serve as trusted Court-Appointed Fiduciary for the benefit of all parties.

For over 30-years in hundreds of assignments, across asset classes and industries, throughout the country, New Orleans-based EDS has skillfully and judiciously served as Court Appointed Receiver/Keeper (Louisiana)/Trustee/Assignee/Special Master/ Chief Restructuring Officer/Liquidator for secured creditors, attorneys, investors, and other stakeholders to preserve, protect, manage, operate, and otherwise handle the disposition of real and moveable, tangible and intangible, assets in commercial foreclosures, bankruptcies, and myriad other legal proceedings.

From National Priority List Superfund Sites—to a decommissioned nuclear-powered aircraft carrier—to the pencils-on-the-desk—we handle it all, and we have successfully managed and generated billions-of-dollars for our global clientele in the conversion of their distressed assets, special assets and special situations to cash.

We specialize in managing the disposition of admiralty and maritime special assets in Louisiana and highly-contentious and environmentally-sensitive and impaired real property special situations. Our award-winning environmental services have earned us the distinction of being the only company of its kind that the United States Environmental Protection Agency (USEPA) allows to conduct Receiver/Keeper and disposition services for secured creditors on active Superfund Sites. We specialize as custodians for federal court seizures of assets under admiralty jurisdiction, and we are pleased to serve as a Keeper for the U.S. Marshals Service.

As an example, a borrower in financial distress raises myriad commercial loss concerns for its secured lender, including increased risk of less than payment in full of its loan, increased liabilities, additional costs and expenses, and greater utilization of lender resources. When a borrower shows signs of distress, it is critical for the secured lender to promptly and proactively develop a thoughtful strategic plan to mitigate issues and to identify options available to strengthen the secured lender’s position in the credit facility. Doing this is an important first step for a secured lender interested in maximizing its recovery and limiting its exposure. Our management and operations teams work closely with the client’s legal representatives to protect, preserve, maintain, operate and enhance the going-concern value of the business and/or business assets that might otherwise be lost during bankruptcies, foreclosures, and restructurings, while actively pursuing permanent solutions.

The impact of complex and contentious litigation in many special situations can complicate, if not destroy, the client’s position if not handled properly. Non-current, non-performing, distressed, and troubled accounts present many pressing challenges. When problematic accounts facing operational or financial challenges occur, our experienced—street-savvy—proficient crisis/interim/turnaround and workout management teams employ creative solutions that often reverse and cure these situations immediately.

EDS’ unparalleled level of expertise is recognized and appreciated in boardrooms and courtrooms throughout the world. We are the measure by which all Court-Appointed Fiduciaries are judged.

ASSIGNMENT FOR THE BENEFIT OF CREDITORS (ABC)GENERAL ASSIGNMENT

An Assignment for the Benefit of Creditors (ABC – “General Assignment”) can be a prudent alternative to bankruptcy for troubled private and public companies and their creditors. 

Equity Development Systems, Ltd., (EDS) is one of the leading Assignees for General/Creditor Assignments in the world. For over 30-years, across industries and asset classes, EDS has skillfully represented and judiciously guided law firms, secured creditors, investors, and myriad others in the disposition of their troubled accounts and we have generated billions-of-dollars in the process for our global clientele.

The success of an Assignment is predicated upon the qualifications, experience, and credibility of the Assignee. EDS’ unsurpassed global qualifications, decades of experience and unimpeachable credibility in handling Assignments afford it unparalleled opportunity to serve as trusted Assignee for the benefit of all parties.

The basic process in an Assignment for the Benefit of Creditors is that the business (Assignor) turns over its assets, both real and moveable, to an independent third-party neutral (Assignee [EDS]) who is the responsible fiduciary for divesting the assets and settling with creditors.
EDS marshals on-site 24/7/365 throughout-the-world to act as impartial fiduciaries in securing and operating troubled accounts facing operational or financial challenges. Our experts work diligently with all stakeholders to protect, maintain and enhance the going-concern value of the business and business assets that might otherwise be lost during bankruptcies, foreclosures, restructurings, and other actions while actively pursuing permanent solutions.

An Assignment for the Benefit of Creditors is a voluntary and arms-length transaction which provides a speedy, orderly disposition and equitable liquidation of the firm’s assets and subsequent distribution to its creditors. It is similar to a Chapter 7 liquidation process, but is far quicker and much less expensive and therefore generally derives a larger distribution to all creditors.

Assets Held in Trust: By operation of law, all assets are held in trust upon acceptance of the Assignment. These assets and the funds realized therefrom are protected against creditor claims.

The assets are then liquidated and the proceeds, less administrative expenses, are distributed to all creditors according to their lawful priority class. The order of priority is very similar to that used by the Trustee in a bankruptcy proceeding.

Duties of the Assignee: The Assignee has similar duties to a Trustee in Bankruptcy. The Assignee is charged with acting in a business-like manner in the disposition of the assets. The Assignee has considerable flexibility in the methods used and does not have to obtain consent or have a hearing to ratify his or her actions.
Fees: Unlike Bankruptcy, no upfront fees are required. The fee amount is determined before the documents are signed and then become part of the General Assignment agreement. The fees for the Assignee are paid as an administrative expense from the proceeds recovered.

Advantages of a General Assignment: A General Assignment does not require court adjudication or consent in most states, nor does it require the consent of creditors. It does not have the stigma of bankruptcy and frequently benefits the company’s principals who nearly always guarantee lender obligations of the company. Because a General Assignment avoids the administrative procedures that govern bankruptcy there is a considerable reduction of the cost of disposition and the time necessary to sell the assets. The consequence is that there is greater flexibility in divestiture methods and options with resulting greater returns for creditors. A General Assignment is an option that should always be considered as an option to bankruptcy.

EMAIL: kjd@edsltd.com
PHONE: 866.887.0852 Ext.703

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