Webcast explores helping companies with 'Litigation Buyout Insurance'

The Practising Law Institute (PLI) will present “Litigation Buyout Insurance: Helping Companies Control Litigation Costs, Limit Litigation Exposure and Remain ‘Deal Ready’ When Litigation Hits” as a live webcast on Wednesday, June 9, beginning at 1 p.m.

As the country rebounds from the COVID-19 pandemic, class action litigation is on the rise and M&A activity is poised for a strong comeback as well. To control litigation costs and liability exposure, and remain “deal ready,” companies need tools in their arsenal to combat transaction-derailing risks as early as possible. One such tool is litigation buyout insurance (LBO insurance), which is designed to offset litigation-related risk and limit liability faced by a company once a deal has been consummated. LBO insurance essentially serves to ring-fence litigation by transferring the risk to an insurer, thereby ensuring the deal will close. LBO insurance policies are customized to address the particular and unique legal issues facing a specific company, with the ability to cover threatened, pending, or ongoing litigation.

Those in the deal-making world should be aware of this solution and understand when it is the right tool and how best to deploy it when the time arises. Any lawyer who handles M&A transactions, whether on the deal side or as a litigation specialist, and any organization considering or already in the M&A process would benefit from this presentation.   

Roger A. Colaizzi, partner at Venable LLP, and Ross L. Weiner, legal director at Risk Settlements, will discuss:

• How threatened, pending, or ongoing litigation can affect potential M&A transaction

• What is LBO insurance, how does it work, and when is it right for you

• What benefits inure to companies that use LBO insurance over more traditional solutions

• Three real world examples of how LBO insurance salvaged certain M&A transactions

• Tips for procuring LBO insurance

Course materials will be available to attendees prior to the start of the program. Cost for the webcast is $299. To register or for additional information, visit www.pli.edu and click on “programs.”