Banking

  • May 27, 2015

    For-Profit Schools Lose Challenge To Loan Repayment Regs

    A New York federal judge on Wednesday tossed a suit from a group of for-profit schools challenging regulations that require them to show that their students can repay their student loans, finding the U.S. Department of Education has an interest in making sure those students can pay off their taxpayer-financed debt.

  • May 27, 2015

    Capital One Redoubles Efforts In Intellectual Ventures Beef

    A special master erred by finding two of Intellectual Ventures I LLC’s mobile banking patents legitimate, Capital One Financial Corp. contended Tuesday, in a dual filing where it also argued against a dismissal of its antitrust counterclaims against IV.

  • May 27, 2015

    Day Pitney Guides $207M Purchase of CNLBancshares

    New Jersey-based Valley National Bancorp has bought Florida-based CNLBancshares Inc. for $207 million in a tax-free transaction guided by Day Pitney LLP, the companies said Wednesday.

  • May 27, 2015

    Shareholders Fight Dismissal In Genworth Delayed IPO Suit

    Shareholders in a proposed class action accusing Genworth Financial of lying to investors about a planned 2012 public offering struck back at a motion to dismiss in New York federal court on Tuesday, saying the company misled them even if it claims its statements were factually true.

  • May 27, 2015

    CFPB Urged To Give Grace Period On New Mortgage Forms

    A bipartisan group of more than 250 lawmakers on Wednesday asked the Consumer Financial Protection Bureau to give mortgage lenders a grace period before forcing banks to deploy new mortgage disclosure forms in order to avoid gumming up the peak home-buying season.

  • May 27, 2015

    NY Tax Panel Sides With Unicredit Over Interbranch Income

    The New York Tax Appeals Tribunal in a decision released Wednesday invalidated a tax charge of more than $200,000 levied on Italian bank Unicredit SpA by the state’s division of taxation, saying the division misunderstood the tax treatment of interbranch transactions.

  • May 27, 2015

    Ex-Madoff Trader Who Aided US Probe Avoids Prison

    A former trader at Bernie Madoff's securities firm, who cooperated with the government’s investigation into the largest Ponzi scheme in U.S. history, became the third former employee in two weeks to avoid prison time Wednesday in New York federal court.

  • May 27, 2015

    Associated Bank Strikes $200M Deal To End HUD Bias Claims

    The U.S. Department of Housing and Urban Development said Tuesday it has reached a record-breaking $200 million settlement with a Wisconsin bank accused of engaging in discriminatory lending practices by denying mortgage loans to African-American and Hispanic applicants.

  • May 27, 2015

    Ex-CEO Tells 7th Circ. She Is Fighting SEC Court's Existence

    A former chief executive facing a U.S. Securities and Exchange Commission administrative proceeding told the Seventh Circuit on Tuesday that her goal in countersuing the agency is to challenge the very existence of a Dodd-Frank Act provision that extended the reach of the SEC’s in-house court to people like her.

  • May 27, 2015

    BDO To Pay $40M To Put Stanford Ponzi Suit In Rearview

    The auditor long alleged to be complicit in Robert Allen Stanford’s $7 billion Ponzi scheme has agreed to a $40 million settlement with the official Stanford investor committee, though the it continues to assert it had nothing to do with the racket.

  • May 27, 2015

    Ocwen, Assurant Say $140M Forced-Placed Deal Is 'Generous'

    Ocwen Financial Corp. and Assurant Inc. on Tuesday fired back at objections to an "extremely generous" $140 million putative class action settlement in Florida federal court in a suit alleging the mortgage borrower inflated force-placed insurance premiums to provide kickbacks to the insurer.

  • May 27, 2015

    Law Professors Back MetLife SIFI Designation

    A group of 15 law professors, including several former high-ranking Obama administration officials, have told a federal court that regulators acted within their authority in naming MetLife Inc. as a systemically important financial institution in the insurer’s closely watched challenge to its designation.

  • May 27, 2015

    FINRA Chief Says New Fiduciary Rule May Hurt IRA Offerings

    Financial Industry Regulatory Authority CEO Richard G. Ketchum on Wednesday joined a growing chorus of opposition to the U.S. Department of Labor’s proposal for a new fiduciary standard for retirement account brokers, saying the rule creates regulatory uncertainty that may force firms to shut down their IRA businesses.

  • May 27, 2015

    SIFMA Asks Del. Justices To Nix $76M RBC Liability Over Deal

    The Securities Industry and Financial Markets Association urged Delaware’s top court Tuesday to free RBC Capital Markets LLC from liability for its advice on the private equity buyout of ambulance operator Rural/Metro Corp., arguing the lower court misconstrued the role financial advisers play.

  • May 27, 2015

    AmEx Seeks Stay Of Antitrust Order From 2nd Circ.

    American Express filed an emergency request with the Second Circuit on Tuesday to stay a lower court’s decision that barred the company from prohibiting merchants from steering customers toward debit cards or other forms of payment.

  • May 27, 2015

    BofA Escapes Class Suit Over Foreclosure Atty Fees

    A Missouri federal judge on Tuesday threw out a putative class action against a Bank of America NA subsidiary selling mortgages in the state, ruling it is legal for the lender to charge attorneys' fees to homeowners facing foreclosure.

  • May 27, 2015

    Obama Aide Says Inaction On Fiduciary Rule Not An Option

    A top White House official on Wednesday said the U.S. Department of Labor has provided sufficient time for the industry to weigh in on new rules that would force retirement advisers to put clients' interest first.

  • May 27, 2015

    EXCLUSIVE: Sens. Probing CFTC Charges To IG Budget

    The U.S. Commodity Futures Trading Commission is under a congressional inquiry over its plans to charge its inspector general hundreds of thousands of dollars for purported overhead expenses, Law360 has learned. The probe is part of a broader look into whether certain federal agencies are restraining their internal watchdogs. 

  • May 26, 2015

    Morgan Drexen Not A Legal Services Firm, Colo. Justices Say

    The Colorado Supreme Court said Tuesday that bankrupt Morgan Drexen Inc. is subject to state debt-manager regulations and does not fall under the regulations' exclusion of legal services because the company exercises comprehensive control over the services its contract attorneys provide, reversing a lower court's decision.

  • May 26, 2015

    Credit Suisse Accused Of Breaking Tolling Deal In Loan Suit

    Affiliates of Highland Capital Management LP that are suing Credit Suisse Group AG over a unit's alleged deceptive marketing of loans for resorts and high-end residential communities hit the bank with another multimillion-dollar lawsuit in Texas court Friday, saying the bank breached a tolling agreement in their New York case.

Expert Analysis

  • The New Rules Of Condo Construction Financing In Florida

    Rebecca Abrams Sarelson

    Developers in today’s South Florida condominium market need to convince their investors to accept a more hands-off approach as major decisions for which investors could traditionally exert control are now subject to the lender’s consent. In addition, many lenders have taken the position that routine bankruptcy-remote safeguards are no longer sufficient, says Rebecca Abrams Sarelson of Arnstein & Lehr LLP.

  • 5 Tips To Up Insurance Cost Recovery In Foreclosure Actions

    Micah Skidmore

    While the worst of the housing crisis may be over, a significant number of existing foreclosures remain and new foreclosures continue apace. For those mortgagees seeking coverage for the cost of defending borrower counterclaims in judicial foreclosure actions, here are five tips to maximize recovery from lender title insurance, says Micah Skidmore of Haynes & Boone LLP.

  • How Cybercriminals Are Targeting Corporate Transactions

    Brent J. McIntosh

    Cybercriminals are increasingly deploying clever schemes to exploit company executives and their advisers in connection with corporate transactions, including financing transactions and mergers and acquisitions. These sophisticated schemes include emails that provide a closing or a litigation settlement that would seem wholly legitimate to the recipient, say Brent McIntosh and Judson Littleton of Sullivan & Cromwell LLP.

  • Lobbying The EU: New Requirements For A 'Voluntary' Regime

    Charles Borden

    While parties that lobby in the United States are generally subject to mandatory lobbyist registration and reporting obligations at every level of government, parties that lobby European Union institutions traditionally have only been subject to a “voluntary” registration and disclosure regime. That gap now appears to be closing, say attorneys with Allen & Overy LLP.

  • 10 Corporate Culture Lessons From Deutsche Bank

    Betsy P. Collins

    Regulators blamed Deutsche Bank's Libor-related misconduct on the culture within the bank, whose unsecured and permissive business model allowed egregious and pervasive misconduct to thrive. Fixing a broken corporate culture is hard and painful, and regaining a lost reputation for integrity is virtually impossible, say Betsy Collins and Mignon Lunsford of Burr & Forman LLP.

  • Why El Paso Will Have Very Limited Applicability

    Philip Richter

    Notwithstanding commentary suggesting otherwise, in our view, the recent Delaware Chancery Court decision in a derivative suit related to an El Paso Pipeline Partners LP “drop-down” transaction does not indicate that the court will be more likely than in the past to find liability of master limited partnership general partners or their bankers, say attorneys with Fried Frank Harris Shriver & Jacobson LLP.

  • Consider 5 Things Before Choosing An E-Discovery Provider

    Barry O’Melia

    There has been a rapid and robust growth in the number of companies offering electronically stored information collection, management and processing services. But a recent survey indicated that not all service providers offer the level of expertise needed in today’s world of big data, the cloud and mobile devices, says Barry O’Melia, chief operations officer at Digital WarRoom.

  • This Week In Congress: Infrastructure, Privacy And Trade

    Richard A. Hertling

    This week, the heavy lifting on the Trade Promotion Authority bill is on the Senate's agenda. Majority Leader Mitch McConnell has promised an open amendment process, and amendments are already pending. The legislation reflects bipartisan compromise of the kind that was in short supply in recent years in the Senate. But challenges for the bill remain in the House, say Richard Hertling and Kaitlyn McClure of Covington & Burling LLP.

  • A Close Look At The New Pay-Versus-Performance Rule

    Avrohom J. Kess

    The U.S. Securities and Exchange Commission recently issued proposed rules to implement the Dodd-Frank Act requirement that issuers disclose in any annual proxy or consent solicitation the relationship between executive compensation and financial performance. Simpson Thacher & Bartlett LLP attorneys have mapped out the key requirements and practical takeaways.

  • FCA Threats Are Likely Greatest Outside The Fortune 100

    Joseph D. Jean

    While very large settlements involving Fortune 100 companies grab the most headlines, they tend to draw attention away from the significant number of False Claims Act suits brought against private and middle-market companies. Even though these smaller amounts are not nearly as eye-popping, they could represent a greater financial risk on a relative basis, say Jeffrey Kiburtz and Joseph Jean of Pillsbury Winthrop Shaw Pittman LLP.