Liability Management Transaction (LMT) and Liability Management Exercise (LME)

Liability Management Transaction (LMT) and Liability Management Exercise (LME) are synonymous, catch-all phrases encompassing various personal (through the use of estate planning and asset protection planning) and corporate (through the use of front-end corporate structuring and back-end restructuring techniques like debt exchanges, maturity extensions, tender offers, covenant modifications, and asset transfers) strategies aimed at limiting the pool of assets from which creditors can collect.

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