Countrywide Borrowers Lose Class Bid In Toxic Loan Suit

Law360, New York (October 12, 2011, 4:08 PM EDT) -- A California federal judge on Tuesday refused to certify a class of half a million Countrywide Financial Corp. borrowers, saying their varied allegations that the mortgage lender steered them into toxic loans didn't have enough in common.

The allegations in the three separate complaints, filed as part of multidistrict litigation against Countrywide, involved two different loan products offered by four different divisions of Countrywide. Those divisions used their own marketing materials, sales agents and 30,000 independent brokers who made 250,000 of the challenged loans. The result...
To view the full article, register now.