Statman, Harris & Eyrich, LLC has extensive experience representing banks, financial institutions, and credit unions on a wide variety of issues including employment issues, collection issues, and executive compensation.
Commercial Banking and Finance Law
Banks are the most common source of finance to meet both individual and business needs. Today, almost no transaction is being made without the intervention of banks or other financial institutions. And when it comes to financing, banks and institutions are front in line. With the passage of time, needs emerge to propose and enact newer laws to protect the rights of both the lenders and the borrowers. In the United States, it started with the enactment of the National Bank Act of 1864. According to Federal Deposit Insurance Corporation, there are now as many as 32 different federal acts for banks, financial institutions and all the other related entities to follow and comply. Besides these, there are also State laws. Keeping up to date on legal issues has been a constant factor in this area, and this is where Statman, Harris & Eyrich, LLC excel.
As banking and finance practices vary from firm to firm, a comprehensive banking and finance law practice often includes advice and representation not only for lending and regulatory compliance, but for securitizations, electronic banking, payment systems, data security, fiduciary activities, and risk management. It also covers mergers, corporate organizational and ownership issues involving holding companies, banks, and other regulated entities. Banking and finance practices require and often include specialized capabilities in addressing litigation common to banks, such as class action litigation under consumer financial protection laws. Banking and finance lawyers assist their clients with responses to regulatory examinations on an ongoing basis and the resolution of enforcement actions on occasion.
Today, there are thousands of financial services for practically every possible situation. From simple banking to corporate finance; banking has taken a wider array that had ever been imagined. In the U.S the banking instrument that had become the most popular in the past couple of years is commercial real estate banking.
Commercial Real Estate (CRE) refers to any income-producing real estate that is used only for business purposes such as office complexes, retail centers, hotels and apartments. Typically an investor, who is often a business entity, purchases commercial property, leases the space, and collects rent from the businesses that operate within the property. Acquisition, development and construction of these properties are typically accomplished through commercial real estate loans. These loans are only made to business entities formed for the specific purpose of buying commercial real estate. The entity types include corporations, partnerships, developers, funds, and real estate investment trusts (REITs).
Before, during, and after all these lending and borrowing process, comes a question of compliance of several federal and state laws. And that’s where the experienced lawyers at Statman, Harris & Eyrich, LLC come in.
Banking and Finance Lawyers
Banking and finance lawyers deal with the lending and borrowing of money, and the management of financial liabilities. Their duty is to help structure their clients’ transactions, to protect their clients’ legal and commercial interests, and to negotiate and document the contractual relationship between lenders and borrowers. It’s a hugely technical and ever-evolving area of law. They do much of the following:
- Meet with clients to establish their specific requirements and the commercial context of a deal.
- Carry out due diligence. It is referred to as an investigation exercise to verify the accuracy of information passed from the borrower to the lender or from the underwriter of securities to potential investors. This can involve meetings with the company’s management on-site, discussions with the company’s auditors and outside counsel, and review of material agreements and other documents.
- Negotiate with the opposite party to agree to the terms of the deal and record them accurately in the facility documentation. Lenders’ lawyers usually produce initial documents which are often based on a standard form or an agreed precedent.
- Assist with the structuring of complicated or innovative financing models, and ensure groundbreaking solutions to comply with all relevant laws.
- Gather all the related parties to complete the transaction, ensuring all agreed terms are reflected in the loan documents, all documents have been properly signed and delivered and all conditions for closing have been met.
- In a secured loan, lawyers ensure that the agreed-upon collateral has been properly granted and that all filings, registrations and other procedures necessary to ‘perfect’ the security have been or will be made.
- Receive calls from banks and other financial institutions that seek guidance on how business initiatives can be implemented in US markets most effectively, in full abiding with the letter and policy of US law.
- Sit down with the client, speaking to individuals at a very senior level, to find out what the client’s intentions and business plan are.
- Analyze the implications of implementing that plan based on what current or future regulation looks like, or can be expected to look like, and what the legal, strategic, compliance, cross-border, reputational and related risks of that plan might be.
- Give advice on what changes may need to be made to the business initiative to minimize risk and to achieve regulatory compliance.
- Regulatory lawyers are not just involved in compliance counseling. They also give advice on enforcement and both internal and external investigations, the disposition and restructuring of bank assets, the organization of bank units and subsidiaries, acquisitions, investments, strategic alliances and joint ventures, creation and distribution of bank securities initiative and deposit and other financial instruments, capital raising, implementation and evaluation of bank marketing, the structuring of ‘living wills’ and recovery and resolution plans, cross-selling and similar initiatives.
Having cleared all that a bigger question arises in mind now. That is, how can or may we know which lawyer or law associates are perfect for our need. This is a question that needs a bit of description on what a lawyer or law firm needs to have, to work efficiently in this field.
Efficiencies of Banking and Finance Lawyers
A good working knowledge on the bankruptcy laws is critical for lawyers practicing in the area of leveraged finance. Banking lawyers advise for the worst-case scenario, which is often a bankruptcy filed by the borrower. Understanding how the rules change, once that filing is made, is critically important, even for the lawyers who never expect to set foot in a bankruptcy courtroom ever.
- Lawyers are bound to appreciate the internal policies and sensitivities of their clients in order to deliver pertinent advice and warn of both legal and reputational risks involved in the transactions. Deals may involve the movement of money across borders and through different currencies and financial products. International deals have an additional layer of difficulty as political changes in transitional economies can render a previously sound investment risky.
- Banking clients are ultra-demanding and the hours can be long. So having an in depth conversation patiently is a must for these types of lawyers.
- To become a successful banking lawyer an individual needs to become absorbed in the finance world. Without having a sound and thorough knowledge of this world, a lawyer can’t serve his/her client(s) to their fullest interest.
- Regulatory lawyers need to remain constantly aware of the latest political developments that may potentially affect regulations at a point of time in future.
Statman, Harris & Eyrich, LLC; a trusted name.
When you are in the commercial real estate financing business, you will need a constant legal advisor to work with all your deals and foreclosures. You will need one to do all the diligence work for you while laying a full proof documentation of your deals so that they comply with all the federal and state laws there are which may apply to that particular deal. And that is where we come in. We are Statman, Harris & Eyrich, LLC. We have an outstanding team of attorneys who are committed to provide guidance, value, and exceptional service to our clients. With 354 combined years of individual experience, we are the law firm that can meet all of your litigation issues with expertise.
We began in Cincinnati as Statman, Harris & Bardach, back in August, 1999. Then, we merged with another law firm named Kepley, Gilligan & Eyrich. After 2 years of establishment, we became who we are today. We now have offices in six different cities – Cincinnati, Dayton, Evendale, Chicago, Palm Beach, and Troy. We have served in the fields of banking law, bankruptcy law, real estate law, corporate litigation, and work outs with decades of expertise. Our goal is simple, to provide the best possible service to our clients.
Mission
At Statman, Harris & Eyrich, LLC, we thrive on pursuing our clients’ goals. Providing them with all the latest up-to-date legal advice, and working as top banking lawyers are what makes us unique. We have a team of supremely talented and highly motivated lawyers who devote themselves to our clientele. Our motto at Statman-Harris is Experience, Determination, and Results. We believe that when we pursue our goal; that is the goal of our client; if we work with complete determination and use all of our combined experience, we are sure to get the results.
Avvo has rated us with a 10 on their 0-10 scale, reflecting that our firm is ‘superb’ in its work. Our firm has also earned a national recognition in the Fortune 1000 companies as a ‘hidden gem’ by the BTI consulting Group. Our attorneys are ranked among the best in the industry with consistency. We are regularly recognized among Cincinnati’s Leading Lawyers, SuperLawyers and Rising Stars. Our firm also has attorneys who are AV rated. These AV rated attorneys are recognized as a Fellow in the Litigation Counsel of America and a Certified Life Member in the Million Dollar Advocates Forum.
Contact Info
If you are in the banking and financing business and want to meet any of your legal needs regarding commercial real estate financing and more, give us a call and we will be there to talk with you.
Cincinnati, Ohio: 441 Vine Street, Suite 3700, downtown Carew Tower
Phone: (513) 206-8767
Chicago, Illinois: 30 S. Wacker Drive, Suite 2200
Phone: (312) 313-1119
Dayton, Ohio: 1 South Main Street, Suite 900
Phone: (937) 262-4241
Evendale, Ohio: 10485 Reading Road, near Interstate 75
Phone: (513) 217-9907
Palm Beach, Florida: 2275 S. Ocean Blvd.
Phone: (513) 228-4934
Troy, Michigan: 888 W. Big Beaver Rd, Suite 800
Phone: (248) 686-3717
Our office hours are 8:30 am – 5:00 pm Monday through Friday. You can pay a visit physically or give us a call. Or you may send us an email at info@statmanharris.com.
Credit Union Law
The Complexities and the Need for an Experienced Attorney
Federally chartered credit unions must abide by the Federal Credit Union Act (FCUA) at all times. This Credit Union Law governs the terms and coverage of all insured accounts held by these organizations, if the credit union is federally insured. In addition, this law outlines the structure and the duties of the National Credit Union Administration. Credit unions continue to grow and thrive in the United States, building on the law first put into place by President Franklin D. Roosevelt back in June, 1934.
The Formation Of Credit Unions
Credit unions came into existence in America as a cooperative measure to serve those of modest means in need of provident and productive credit. They continue with this purpose today. The credit unions function to promote thrift while providing credit to members. In addition, they work to provide a meaningful bond and affinity among their members, as witnessed by a commonality of related and shared work, routine engagement, common and related interests, activities and experiences, or other shared characteristic of identity or cohesion. These organizations remain exempt from federal and the majority of state taxes as they are owned by the members, are democratically operated, and are governed by a volunteer board of directors. They have a mission of meeting the needs of consumers, both in terms of savings and credit, especially those with modest incomes.
Issues Credit Unions May Face
Regulatory compliance continues to be a big issue for many credit unions, as the government changes regulations frequently, especially following the recent housing market meltdown. Identity theft is another issue every banking institution must be concerned about, as major banks, along with numerous retailers have been hacked. In the event a credit union computer systems is hacked, they need legal advice as to what steps must be taken to protect their customers. Other times when a credit union may need to consult an attorney include those involving member transactions. credit reporting, employment policies and more. Real estate transactions, commercial litigation, and daily operations are three other areas where legal advice may be sought at one time or another.
In addition, a credit union attorney may assist with credit reporting, truth in lending compliance, fraud prevention and more. Forged endorsements, check forgery and bond claims fall under this law area, as does the modification of bond claims. The time may come when a credit union needs to negotiate with examiners at both the state and federal level or letters of understanding need to be created. The attorney can be of assistance here also and with numerous other matters a credit union may face during regular operation.
Individuals in need of assistance in any area involving Credit Union Law need look no further than Statman, Harris & Eyrich, LLC. The firm brings a great deal of experience to any legal action involving a credit union, having represented these unions in a variety of matters, including collection and employment issues, along with executive compensation. Contact the firm today to discuss the issue and see what steps need to be taken to mount a defense.
