Cherie Bock, Ruthanne Hammett, Margie Krumholz publish article on vessel documentation

Cherie Bock

Ruthanne Hammett

Margie Krumholz

Cherie Bock, Ruthanne Hammett, and Margie Krumholz have published an article in the St. Louis Bar Journal that details the key items that should be considered by any companies buying or selling vessels, or looking to finance such a transaction. 

The article, “Strategies for documenting vessel acquisition and financing transactions,” appears in the Winter 2017 issue of the St. Louis Bar Journal. 

“Whether parties are looking to sell one vessel or 1,000 vessels, well-written documentation setting forth the parties’ negotiated and agreed-upon terms is essential,” the authors wrote. “A well-written agreement anticipating and addressing the potential issues, in addition to what the clients thought were the “business terms,” will provide guidance in resolving any disputes and in the long run reduce the chances of litigation.”

The article lays out the basics steps in the vessel acquisition process, including representations and warranties, expenses and fees, taxes, and indemnification. It also provides background on how lenders typically approach due diligence and all the necessary documentation for the transaction, including security agreements, charters, and other considerations required due to the involvement of government agencies like the Coast Guard. 

About the authors

• Cherie represents financial institutions and borrowers in various secured and unsecured lending transactions, including many different types of financings for the maritime industry.
  
  
• Ruthanne co-chairs Thompson Coburn’s Banking and Commercial Finance practice group and has over 25 years of experience in a wide variety of commercial finance transactions, including secured, unsecured, syndicated, working capital, acquisition and lease financing transactions.
  
  
• Margie has 30 years of experience representing borrowers, lenders, lessors, and lessees in financing transactions, particularly in the maritime industry. She has worked on many complex financing structures, including transactions that have multiple tiers of debt secured by thousands of vessels.