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Failed Bank Investors' Securities Suit Dismissed

On January 14, 2011, in a ruling that could have implications for other failed bank investors' securities class action lawsuits, Northern District of Georgia Judge Charles A. Pannell, Jr . granted defendants' motions to dismiss the securities suit that had been brought by investors in the failed...

FDIC Pursues Litigation Against Failed Banks - Slowly

The FDIC's pursuit of litigation against directors and officers of banks that have failed as part of the current round of bank failures has been moving forward, albeit at a deliberate pace. The agency's litigation efforts advanced a couple of steps in recent days, as the agency filed an additional...

A Dismissal And A Settlement In Failed Bank Shareholder Lawsuits

One of the ways in which the current wave of bank failures is different from the failures during the S&L crisis is that this time around, by comparison to that prior period, a number of the bank closures have been accompanied by shareholder lawsuits brought against the former directors and officers...

$208.5 Million Washington Mutual Securities Lawsuit Settlement Consists Of 3 Separate Agreements

The parties to the consolidated class action litigation arising out of the collapse of Washington Mutual - the largest bank failure in U.S. history -- have agreed to settle the suit for a combined $208.5 million. The settlement, which has a number of interesting features, actually consists of three separate...

FDIC's Failed Bank Litigation Could Reach 86 Lawsuits, NERA Economic Consulting Projects

In a May 31, 2012 study of the FDIC failed bank litigation that contains a number of interesting observations and projections, NERA Economic Consulting projects at the current filing rate, the FDIC's failed bank litigation ultimately could total 86 lawsuits, or much as 20% of all banks that have...

Florida Federal Judge Says Bank Directors Not Liable For Ordinary Negligence In Failed Bank Lawsuit

A federal court has ruled in the only FDIC failed bank lawsuit pending in Florida that directors cannot be liable for ordinary negligence under Florida law. On August 8, 2012, Middle District of Florida Judge Gregory Presnell granted the motion of the director defendants to dismiss the FDIC's claim...

FDIC Files First Lawsuit As Part of Current Wave Against Failed Bank Accountants

On November 1, 2012, in what is the first lawsuit the FDIC has filed as part of the current bank failure wave against a failed bank's accountants, the FDIC, as receiver for the failed Colonial Bank, has filed an action in the Middle District of Alabama against Pricewaterhouse Coopers and Crowe Horwath...