Morgan Stanley Claim Nixed In Citi's $245M CDS Row

Law360, New York (May 27, 2011, 6:13 PM EDT) -- A New York federal judge on Wednesday dismissed Morgan Stanley & Co. International PLC's final counterclaim against Citibank NA in a suit alleging Morgan Stanley is liable for $245 million lost on a credit default swap agreement.

U.S. District Judge Shira A. Scheindlin rejected Morgan Stanley's argument that a contested June 22, 2006, e-mail message exchange during the swap negotiations — in which Citibank negotiator responded "OK" to Morgan Stanley's lead negotiator's understanding that Morgan Stanley would be contacted before any sale of the collateral —...
To view the full article, register now.