Global LIBOR Legislative Solutions

Herbert Smith Freehills LLP have published an article in Bloomberg Law detailing the key legislative and/or regulatory solutions that jurisdictions have adopted to mitigate the risks raised by so-called “tough legacy” contracts following the discontinuation of the London Inter-Bank Offered Rate (LIBOR) on 31 December 2021 in nearly all currencies and tenors (with an extension … Read more

US Enacts LIBOR Transition Law

Introduction President Biden on March 15, 2022 signed into law the Adjustable Interest Rate (LIBOR) Act (the “LIBOR Act”), long-awaited federal legislation to address the potential disruption of contractual continuity and litigation risk posed by financial instruments that incorporated US Dollar LIBOR as a term for the payment of interest but lacked a workable – … Read more

LIBOR transition risks: the brave new world of RFRs

In previous blog posts, we have considered the risks of LIBOR transition for legacy LIBOR referencing contracts. For new transactions, LIBOR has almost been consigned to history, although there are still some areas relating to the use of near risk free rates where the market has not yet settled. In this briefing, our colleagues in the … Read more