Media Mentions
2011
“The Danger of Fiduciary Status for Valuation Firms”
Law360, March 18, 2011
Jonathan Boyles and Jeffrey Rothschild wrote that proposed Department of Labor (DOL) regulations defining valuation firms as ERISA fiduciaries could lead those firms to exit the market because of the personal liabilities imposed on fiduciaries for breach of the stringent “prudent man” rule. The alternative for such firms is to purchase expensive fiduciary liability insurance, which raises their costs.
Jonathan J. Boyles, Jeffrey Rothschild, Corporate, Employee Benefits
2008
Jeffrey Rothschild was quoted in a December 12 Reuters story on the increased use of third-party solvency opinions in private equity deals. Such opinions provide the buyer of a company with an independent report showing if a target will meet various tests, such as the ability to pay debts as they become due. “A solvency opinion or solvency condition is not new – people have been using that in one form or another for a few years now, but certainly the frequency with which that is being used is much more common now,” Mr. Rothschild said. He added that, because a selling company typically wants to avoid conditioning a deal on its solvency, “If this were a seller's market you might see them [solvency opinions] less, but since we're in a real buyer's market now I think we'll see them more and more.”
Jeffrey Rothschild was mentioned in the July 22 issue of The Deal in an article concerning merger agreements in recent private equity deals. Mr. Rothschild was cited for his observations in a survey he wrote regarding recent developments in LBO deal terms.
Jeffrey Rothschild, Corporate, Mergers & Acquisitions, Private Equity
Jeffrey Rothschild was quoted in an April 29 article published by Compliance Week regarding the utilization of the material adverse change clause (MAC clause) during the global credit crunch in order to allow potential acquirers to walk away from deals. Mr. Rothschild commented that negotiating MACs is perhaps [one of] the most contentious and time consuming part of merger talks. "A certainty in life is that people won't agree on [the definition of] MAC," he said.
