Too Big to Fail: 10 Years Later

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Too Big to Fail: 10 Years Later

April 19, 2018 Marriott Marquis Washington, DC

On September 15, 2008, Lehman Brothers filed the largest bankruptcy in U.S. history. Several major financial market participants already had been forced to sell their businesses or shutter their operations, and, after Lehman’s failure, others were bailed out by the U.S. government. 

The global financial crisis of 2007-08 raised significant concerns about systemic risks arising from the failure of large financial market participants, and exposed a level of market risk and interconnectedness that previously had not been comprehended. Congress responded to this “Too Big to Fail” problem with the Dodd-Frank Wall Street Reform and Consumer Protection Act, which among other things included a new Orderly Liquidation Authority (OLA) for resolving large financial market participants, a “resolution planning” requirement for systemically important financial firms, mandatory clearing for many classes of derivatives, and new powers for financial regulators designed to improve financial market stability.

OLA, together with structural changes to the way large global banks are funded, have led to new resolution strategies for addressing the failure of one of these firms. The single-point-of-entry resolution strategy attempts to create an opportunity for global financial firms to be restructured, with losses imposed on equity and debt investors according to their order of priority, while continuing the firm’s operations and preventing a disorderly exit from the market. This strategy represents a significant change from what was experienced during the financial crisis, and has significant implications for investors and transaction counterparties.

Ten years after the global financial crisis, even as parts of Dodd-Frank are facing attack in both the House and Senate, market participants and regulators are still laboring to implement Dodd-Frank. The new resolution regimes and strategies remain untested; Bankruptcy Code amendments to facilitate the implementation of resolution plans (known as “living wills”) have been proposed in both the House and Senate; and the Fed recently enacted rules prohibiting global systemically important banking organizations (GSIBs) and their subsidiaries from entering into financial contracts unless they include provisions limiting the counterparty’s ability to exercise close-out rights upon the commencement of resolution proceedings.

Join us on Thursday, April 19, for a special symposium featuring thought leaders from academia and the bench, as well as representatives from U.S. and European governmental agencies and private organizations, as we take a look back at the aftermath of the 2007-08 financial crisis, and evaluate the regulatory and market efforts made to improve the resolution process for large financial firms. Symposium topics will include:

  • Resolving systemically important financial institution (SIFIs) using the single-point-of-entry resolution strategy, either in OLA proceedings or under existing chapter 11 of the Bankruptcy Code, and proposed amendments to the Bankruptcy Code designed to facilitate single-point-of-entry resolution, including discussion of the strengths and weaknesses of each approach
  • Preserving the value of qualified financial contracts during the resolution process, recent U.S. rules regarding permitted default rights, the ISDA Resolution Stay Protocols, and implications for counterparties
  • Issues with existing safe-harbored contract-termination practices and the calculation of damages
  • Multiple-point-of-entry proceedings, non-SIFI financial firm resolution, and clearing organization resolution
  • International cooperation and cross-border issues impacting the resolution of SIFIs and GSIBs
  • The role of clearing organizations, repo counterparties and settlement banks in the resolution process

You don’t want to miss these stimulating discussions!


Event Information 260327

Thursday, April 19

10:00 a.m.


10:30-10:45 p.m.

Welcome Address and Introduction

10:45 a.m.-12:45 p.m.

Resolution of Systemically Important Financial Institutions (SIFIs)

Single-point-of-entry resolution strategies under OLA and chapter 11 of the Bankruptcy Code, and proposed amendments to the Bankruptcy Code designed to facilitate single-point-of-entry resolution.

Donald S. Bernstein

Davis Polk & Wardwell LLP; New York

Hon. Martin Glenn

U.S. Bankruptcy Court (S.D.N.Y.); New York

Richard B. Levin

Jenner & Block; New York

William J. Perlstein

Bank of New York Mellon; New York

Prof. Mark J. Roe

Harvard Law School; Cambridge, Mass.

Rebecca J. Simmons

Sullivan & Cromwell LLP; New York

David Wall

Federal Deposit Insurance Corporation, Washington, D.C.

Jim Wigand

Millstein & Co., L.P.; Washington, D.C.

12:45-2:00 p.m.

Luncheon Presentation

International cooperation and cross-border issues impacting single-point-of-entry resolution strategies.

Randall D. Guynn

Davis Polk & Wardwell LLP; New York

Geoff Davies

Bank of England; London

Eva Hüpkes

Financial Stability Board; Basel, Switzerland

Reena Agrawal Sahni

Shearman & Sterling; New York

David Wall

Federal Deposit Insurance Corporation, Washington, D.C.

2:00-2:15 p.m.

Refreshment Break

2:15-3:45 p.m.

Safe-Harbored Financial Contracts

Preserving the value of financial contracts during the resolution process, including discussions of existing safe-harbored contract-termination practices, recent U.S. rules regarding qualified financial contract default rights, and the ISDA Resolution Stay Protocols.

Ann Battle

International Swaps & Derivatives Association; Washington, D.C.

Seth Grosshandler

Cleary Gottlieb Steen & Hamilton LLP; London

Anna M. Harrington

Board of Governors of the Federal Reserve System; Washington, D.C.

Prof. Stephen J. Lubben

Seton Hall University School of Law; Newark, N.J.

Laura Martin

Securities Industry and Financial Markets Association; New York

David Pauker

New York

Richard Ostrander

BlackRock, Inc.; New York

William Thum

The Vanguard Group, Inc.; Valley Forge, Pa.

Wendy Yun

Goldman Sachs Asset Management; New York

3:45-4:00 p.m.

Refreshment Break

4:00-5:15 p.m.

Way Too Big, and Small Enough, to Fail

Resolution plans for clearing organizations, and resolution of financial firms that do not qualify as SIFIs.

Lee Betsill

CME Group; Chicago

Hon. Kevin J. Carey

U.S. Bankruptcy Court (D. Del.); Wilmington

Hon. Robert D. Drain

U.S. Bankruptcy Court (S.D.N.Y.); White Plains

Prof. Edward (Ted) Janger

Brooklyn Law School; Brooklyn, N.Y.

Vincent E. Lazar

Jenner & Block; Chicago

Michael J. Sage

Dechert LLP; New York

Lisa M. Schweitzer

Cleary Gottlieb Steen & Hamilton LLP; New York

Ann K. Shuman

The Depository Trust & Clearing Corp.; New York

Robert S. Steigerwald

Federal Reserve Bank of Chicago; Chicago

Robert B. Wasserman

Commodity Futures Trading Commission; Washington, D.C.

5:15-5:30 p.m.

Concluding Remarks

6:00–7:30 p.m.

ABI’s Annual Spring Meeting Opening Reception

Included in registration


Symposium Information


Conveniently located near Penn Quarter, CityCenterDC and the Capital One Arena, the Marriott Marquis in downtown Washington, D.C., makes it easy to explore the city’s best attractions. ABI has arranged for a special conference rate of $339 a night. Reservations must be made by March 16, 2018, to secure the special conference rate. Reservations may be made only once you have registered with ABI. Upon payment of the conference registration fees, you will receive hotel reservation information with your conference confirmation. Rooms are held on a first-come, first-served basis. ABI cannot guarantee anyone a room after the specially rated ABI block is filled.

Continuing Education

3.75 hours of general CLE credit are pending in states calculating CLE on a 60-minute hour, and 4.5 hours of general CLE credit are pending in 50-minute-hour states. California MCLE: ABI certifies that this activity has been approved for MCLE credit in the amount of 3.75 hours. NY MCLE: This transitional and non-transitional program has been approved in accordance with the requirements of the CLE Board for a maximum of 4.5 credit hours. 4.5 hours of CPE credit are also available.


* ABI offers intermediate-level courses, which assume that attendees will have at least some detailed knowledge of insolvency matters (pursuant to the “Statement on Standards for CPE Programs” established by AICPA and NASBA). ABI is registered with the National Association of State Boards of Accountancy (NASBA) as a sponsor of continuing professional education on the National Registry of CPE Sponsors. State Boards of Accountancy have the final authority on the acceptance of individual courses for CPE credit. Complaints regarding registered sponsors may be submitted to the National Registry of CPE Sponsors through its website,


ABI acknowledges that in some instances there will be persons who need to attend an educational seminar for CLE credit who are not able to pay full registration fees. ABI will handle such instances on a case-by-case basis and will work with the individual on alternative solutions. For persons who cannot meet the full registration rate, ABI will offer a reduced rate based on what the individual can reasonably afford to cover the cost of meals and materials. For persons unable to pay a reduced rate, we may allow the individual to work at our registration area for a few hours during attendee check-in, or assist in conference set-up. ABI also has reduced rates for government employees, professors, law clerks and students. For information on tuition assistance, send an e-mail to [email protected].




Early Bird
(through April 6)
Regular Rate
(after April 6)
with Annual Spring Meeting Registration





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