Nixon Peabody LLP

  • People
  • Capabilities
  • Insights
  • About

Trending Topics

    • People
    • Capabilities
    • Insights
    • About
    • Locations
    • Events
    • Careers
    • Alumni

    Practices

    View All

    • Affordable Housing
    • Community Development Finance
    • Corporate & Finance
    • Cybersecurity & Privacy
    • Environmental
    • Franchising & Distribution
    • Government Investigations & White Collar Defense
    • Healthcare
    • Intellectual Property
    • International Services
    • Labor & Employment
    • Litigation
    • Private Wealth & Advisory
    • Project Finance
    • Public Finance
    • Real Estate
    • Regulatory & Government Relations

    Industries

    View All

    • Cannabis
    • Consumer
    • Energy
    • Entertainment
    • Financial Services
    • Healthcare
    • Higher Education
    • Infrastructure
    • Manufacturing
    • Non Profit
    • Real Estate
    • Technology

    Value-Added Services

    View All

    • Alternative Fee Arrangements

      Developing innovative pricing structures and alternative fee agreement models that deliver additional value for our clients.

    • Continuing Education

      Advancing professional knowledge and offering credits for attorneys, staff and other professionals.

    • Crisis Advisory

      Helping clients respond correctly when a crisis occurs.

    • DEI Strategic Services

      Providing our clients with legal, strategic, and practical advice to make transformational changes in their organizations.

    • eDiscovery

      Leveraging law and technology to deliver sound solutions.

    • Global Services

      Delivering seamless service through partnerships across the globe.

    • Innovation

      Leveraging leading-edge technology to guide change and create seamless, collaborative experiences for clients and attorneys.

    • IPED

      Industry-leading conferences focused on affordable housing, tax credits, and more.

    • Legal Project Management

      Providing actionable information to support strategic decision-making.

    • Legally Green

      Teaming with clients to advance sustainable projects, mitigate the effects of climate change, and protect our planet.

    • Nixon Peabody Trust Company

      Offering a range of investment management and fiduciary services.

    • NP Capital Connector

      Bringing together companies and investors for tomorrow’s new deals.

    • NP Second Opinion

      Offering fresh insights on cases that are delayed, over budget, or off-target from the desired resolution.

    • NP Trial

      Courtroom-ready lawyers who can resolve disputes early on clients’ terms or prevail at trial before a judge or jury.

    • Social Impact

      Creating positive impact in our communities through increasing equity, access, and opportunity.

    1. Home
    2. People
    3. Lawrence D. FruchtmanPeople
    1. Home
    2. People
    3. Lawrence D. FruchtmanPeople

    Lawrence D. Fruchtman

    Senior Counsel


    • New York City
    • Office212.940.3015
    • lfruchtman@nixonpeabody.com
    • Download vCard
    • Share
    • LinkedIn Profile

    Introduction

    Larry Fruchtman is a highly knowledgeable bank regulatory attorney who complements his legal practice with perspective gained from c-suite bank leadership. His 40-plus years of experience offer unique insights and a thorough understanding of bank regulatory challenges, as well as bank operational and transactional matters.

    Practice Areas

    Corporate & FinanceLeveraged Finance

    Industries

    Banking & FinanceFinancial Services

    My focus

    I help bank leaders navigate both the everyday and bet-the-company operational and transactional issues they contend with in the complex, risk-focused regulatory environments of insured depository institutions. After many years of legal practice, I have a depth of experience in domestic and foreign financial services regulatory and transactional matters from the vantage of the Federal Reserve, as well as inside and outside counsel positions. I have addressed matters under the Bank Holding Company Act of 1956, as amended, and navigated affiliate and insider transactions, lending limits and permissible bank investments, regulatory capital, anti-tie-in rules and many other financial services regulatory matters.

    I have spent the last decade as an executive vice president and general counsel of a unique, union-owned $3.7 billion asset commercial bank and its institutional Taft-Hartley trust department—with over $30 billion in assets under management or in custody—while also handling a variety of matters, including assisting with a $100 million private equity capital raise. Prior to that, I was special counsel at a large New York City law firm where I provided advice to foreign and domestic clients on bank regulatory matters and also prepared the firm’s extensive memorandum on the Gramm-Leach-Bliley Act. For the first ten years of my practice, I practiced as an attorney and officer of the Federal Reserve Bank of New York.

    Looking ahead

    The challenges facing insured depository institutions and other financial services businesses have never been greater. The low interest rate environment has placed a significant strain on margins while, at the same time, these institutions are subject to significantly greater regulatory burdens and capital constraints on their ability to take risks and make money. Although the most onerous of those requirements fall on the largest financial institutions, I have seen and anticipate that elements of these requirements will be applied to smaller institutions. In addition, I expect to see continued growth in the less regulated part of the financial services industry, while the types of regulation normally applied to insured depository institutions expand to the broader financial services market.

    Areas of ongoing and future concern include:

    • Onerous anti money laundering requirements coupled with regulatory pressure to serve high risk money services businesses
    • Requirements to record and address customer complaints
    • Developing the systems to comply with revised consumer and wholesale banking regulations
    • Limits on leveraged finance and bars to proprietary trading and certain fund investments by insured depository institutions
    • More restrictive and complex capital requirements
    • Newly mandated liquidity requirements and stress testing
    • Requirements that systemically important financial institutions provide roadmaps to their resolution in the event of insolvency

    Admitted to practice

    New York
    U.S. District Court, Southern District of New York
    U.S. Court of Appeals, Second Circuit

    Education

    City College of New York, B.A., cum laude
    University of Michigan Graduate School, M.A.
    University of Michigan Law School, J.D.

    Professional activities

    • American Bar Association
    • New York State Bar Association
    • Banking Law Committee
    • Association of the Bar of the City of New York

    In the News

    • Law360

      OCC rule misaligned with some tax equity safe harbors

      This contributed article, which examines the OCC’s finalized rule governing national banks’ ability to participate in equity-based finance structures involving tax credits, was authored by Project Finance & Public Finance partner Ellen Friedman and Global Finance senior counsel Larry Fruchtman, both in New York City; Community Development Finance partner Forrest Milder in Boston; and Community Development Finance partners Michael Goldman and Shariff Barakat, both in Washington, DC.
      March 8, 2021
    • Inframation News

      Federal rule opens tax-equity investment to national banks

      This article on the new rule by the Office of the Comptroller of the Currency that may allow national banks and federal savings associations to engage in certain tax-equity finance transactions cites a recent NP tax credit alert. The alert was written by Project Finance & Public Finance partner Ellen Friedman and Global Finance senior counsel Larry Fruchtman, both in New York City; Community Development Finance partners Shariff Barakat and Michael Goldman, both in Washington, D.C.; and Boston Community Development Finance partner Forrest Milder.
      Jan 25, 2021
    • The CLS Blue Sky Blog

      New York State Proposed Rule Regulating Transaction Monitoring By Banks, Check Cashers and Money Transmitters

      New York City Global Finance senior counsel Larry Fruchtman authored this piece about the proposed rule by the New York State Department of Financial Services (the “NYSDFS”) adding potential New York State criminal liability to the burdens of chief compliance officers of New York chartered banks, trust companies, savings banks, and savings and loan associations, among others.
      March 7, 2016
    • Today's General Counsel

      Lawrence D. Fruchtman Joins Nixon Peabody as Senior Counsel

      This coverage highlights the arrival of New York City Global Finance senior counsel Larry Fruchtman.
      May 14, 2015
    • The Deal

      Movers & Shakers

      New York City Global Finance senior counsel Larry Fruchtman's arrival is featured in this business and legal executive moves column.
      May 14, 2015

    Insights And Happenings

    View All
    • Alert

      What happens in the event of the insolvency of a cryptocurrency business conducted through a “bank”?

      June 10, 2022
    • Alert

      NYDFS issues new guidance to NY’s virtual currency industry regarding blockchain analytics tools

      May 6, 2022
    • Alert

      OCC codifies rules governing national banks’ lending power to make tax equity investments

      Jan 19, 2021
    View All

    Professionals in the Practice Area

    View All
    • Christopher P. Keefe

      Partner
      Chair, Business & Finance Department
      • Boston
      • Office:617.345.1350
      • ckeefe@nixonpeabody.com
      Christopher P. Keefe
    • Todd Tidgewell

      Partner / Leader, Corporate Practice Group
      • Albany
      • Office:518.427.2705
      • ttidgewell@nixonpeabody.com
      Todd Tidgewell
    • Philip B. Taub

      Partner
      Head of Private Equity
      • Boston
      • Office:617.345.1165
      • ptaub@nixonpeabody.com
      Philip B. Taub
    • Lori B. Green

      Partner
      Co-Leader, M&A and Corporate Transactions Team
      Co-Leader, Cannabis Practice
      • Rochester
      • Office:585.263.1236
        Mobile:585.281.3076
      • lgreen@nixonpeabody.com
      Lori B. Green
    • Stephen D. Zubiago

      CEO and Managing Partner
      • Boston
      • Office:617.345.6094
      • szubiago@nixonpeabody.com
      Stephen D. Zubiago
    View All

    Subscribe to stay informed of the latest legal news, alerts, and business trends.Subscribe

    • People
    • Capabilities
    • Insights
    • About
    • Locations
    • Events
    • Careers
    • Alumni
    • © 2023 Nixon Peabody. All rights reserved
    • Privacy Policy
    • Terms of Use
    • Statement of Client Rights
    • Supplier Diversity Program
    • Nixon Peabody International LLC
    • PAL