July 14, 2026
Nonrecourse financing is common for large commercial loans in New York. But there are times when that nonrecourse loan can become recourse as against a guarantor, and it’s important to know when and how that happens. Most commercial guaranties on a nonrecourse loan will have two types of recourse liability: liability for the lender’s losses and full-recourse liability. This distinction is known as liability that is above the line and below the line, respectively.
In this short video, Schlam Stone and Dolan partner Joshua Wurtzel explains the difference between these two types of guarantor liability and how each is triggered.
See link: https://youtube.com/shorts/BGd8gMVcH28?feature=share