Judge Boots $350B Countrywide MBS Action For Now

Law360, New York (November 5, 2010, 8:04 PM EDT) -- A federal judge has dismissed a putative securities class action accusing Bank of America Corp. unit Countrywide Financial Corp. of lying about its lending practices in connection with some $352 billion worth of mortgage-backed securities, but gave the plaintiffs a month to correct the issues.

Judge Mariana R. Pfaelzer of the U.S. District Court for the Central District of California dismissed the case Thursday on the basis of standing and the statute of limitations.

The plaintiffs filed suit Jan. 14 on behalf of buyers of mortgage-backed...
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