Is Banks’ $200 Billion Payout from RMBS Lawsuits Enough?

Posted by & filed under Upstream litigation commentary.

S&P issued a brief, The Largest U.S. Banks Should Be Able To Withstand The Ramifications Of Legal Issues, that quantifies the exposure that big banks have from litigation arising from the Subprime Crisis: Since 2009, the largest U.S. banks (Bank of America, Citigroup, Goldman Sachs, JPMorgan Chase, Morgan Stanley, and Wells Fargo) together have paid… Read more »

Reiss on $13B JPMorgan Settlement in CSM

Posted by & filed under 2013, Government lawsuits, Upstream litigation commentary, Upstream litigation media coverage.

The Christian Science Monitor quoted me in JPMorgan Chase settles. Is $13 billion for role in mortgage crisis fair? The story reads in part, The settlement does not, however, release any individuals within JPMorgan from further criminal or civil charges. The bank has agreed to cooperate fully in any investigations related to the fraud covered… Read more »

Reiss on Fannie and Freddie Buyout

Posted by & filed under 2013, Investor lawsuits, Upstream litigation commentary, Upstream litigation media coverage.

Law360 quoted me in Fairholme Changes The Game For Fannie And Freddie (behind a paywall).  It reads in part, Fairholme Capital Management LLC’s plan to buy Fannie Mae’s and Freddie Mac’s insurance businesses will likely turn out to be more symbolic gesture than successful deal, experts say, but the hedge fund’s bold move could increase… Read more »

Pandora’s Credit Box

Posted by & filed under Government lawsuits, Upstream litigation commentary.

Jim Parrott and Mark Zandi posted Opening the Credit Box, a call for “[e[asing mortgage lending standards.” (2) Parrott has had high level positions in the Obama Administration and Zandi, Moody’s Analytics’ chief economist, was mentioned as a possible Director for the FHFA. Given the importance of these two authors to debates about the housing… Read more »

Borden and Reiss on High-Stakes MBS Litigation

Posted by & filed under Upstream litigation commentary.

Brad and I posted Goliath Versus Goliath in High-Stakes MBS Litigation on SSRN (and BePress).  The abstract reads, The loan-origination and mortgage-securitization practices between 2000 and 2007 created the housing and mortgage-backed securities bubble that precipitated the 2008 economic crisis and ensuing recession. The mess that the loan-origination and mortgage-securitization practices caused is now playing… Read more »

Ain’t Misrepresentin’

Posted by & filed under MBS industry commentary, MBS offering materials and documents, Media Coverage, Upstream litigation commentary.

According to Wikipedia, the performers in the musical Ain’t Misbehavin’ “present an evening of rowdy, raunchy, and humorous songs that encapsulate the various moods of the era and reflect” a “view of life as a journey meant for pleasure and play.” In U.S. RMBS Roundtable: Arrangers And Investors Discuss The Role Of Representations And Warranties… Read more »

Reiss on the Ethics of Subprime Lending

Posted by & filed under Downstream litigation commentary, Government lawsuits, Investor lawsuits, Upstream litigation commentary.

Fordham Law School is sponsoring an event on The Mortgage Crisis – Five Years Later on June 3rd.  I will be speaking about the ethics of subprime lending on the second panel.  The speakers are   Panel 1: The Mortgage Crisis: It Ain’t Over ‘Til It’s Over (1 CLE Credit) Elizabeth M. Lynch, MFY Legal… Read more »