Litigation

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1st Circuit Affirms In Part, Reverses In Part Nomura Subprime Securities Suit Dismissal
Posted on 25 Jan 2011 by Kevin M. LaCroix

As a result of the First Circuit's January 20, 2011 opinion, the plaintiffs in the Nomura Asset Acceptance Corporation mortgage-backed securities lawsuit have managed to revive a slender portion of their case, albeit on a rather precarious basis.... Read More

2nd Circuit: Rating Agencies Can't Be Held Liable In Securities Litigation As '33 Act Underwriters
Posted on 13 May 2011 by Kevin M. LaCroix

In a May 11, 2011 opinion ( here ), a three-judge panel of the Second Circuit affirmed the dismissal of rating agency defendants in litigation filed under the Securities Act of 1933 and involving mortgage-related securities issues by Lehman Brothers and... Read More

E*TRADE Announces $79 Million Settlement Of Subprime Claims In Securities Lawsuit
Posted on 23 Dec 2011 by Timothy Raub

NEW YORK - (Mealey's) E*TRADE Financial Corp. has agreed to a $79 million settlement with investors to settle claims that it misrepresented the risk associated with its investment in subprime mortgage-backed securities in violation of federal securities... Read More

Parties To Countrywide Mortgage-Backed Securities Lawsuit Suit Settle For $500 Million
Posted on 17 Apr 2013 by Kevin M. LaCroix

In what is the largest settlement so far of an mortgage-backed securities class action lawsuit filed as part of the subprime and credit-crisis securities litigation wave, the parties to the consolidated Countrywide mortgage-backed securities suit pending... Read More

Morgan Stanley To Settle Mortgage-Backed Securities Claims For $1.25B
Posted on 6 Feb 2014 by Timothy Raub

NEW YORK — (Mealey’s) Morgan Stanley will pay $1.25 billion to settle claims that it, certain of its subsidiaries and others misrepresented the investment quality in more than $10.58 billion in certificates in connection with 33 securitizations... Read More

Bank of America To Pay $1.7 Billion To Settle Mortgage-Backed Securities Claims
Posted on 7 May 2013 by Timothy Raub

NEW YORK - (Mealey's) Bank of America Corp. (BoA) will pay nearly $1.7 billion to MBIA Inc. and certain of its subsidiaries to settle claims in New York State court that BoA misrepresented the investment quality of and risk associated with certain... Read More

Regulator Sues Goldman Sachs Over Risky Mortgages
Posted on 10 Aug 2011 by LexisNexis Litigation Resource Community Staff

LOS ANGELES - (AP) The U.S. regulator of credit unions on Tuesday sued Goldman Sachs & Co. for more than $491 million in damages over losses incurred by two failed credit unions that purchased mortgage-backed securities underwritten by the investment... Read More

Schwab Settles Fund Lawsuit For $200 Million
Posted on 20 Apr 2010 by LexisNexis Litigation Resource Community Staff

SAN FRANCISCO – (AP) Charles Schwab will pay $200 million to resolve a federal class action lawsuit filed by investors who say the financial holding company misled them over the safety of mortgage-backed securities. If approved by the court, the... Read More

Allstate Sues Goldman Sachs Over Toxic Investments
Posted on 18 Aug 2011 by LexisNexis Litigation Resource Community Staff

(AP) Allstate Corp. is suing Goldman Sachs Group Inc. claiming the broker fraudulently sold it more than $123 million in mortgage-backed securities in 2006 and 2007, before the housing market collapse sent the investments' value plunging. The insurer... Read More