Banking

  • July 30, 2015

    Settlement Monitor Says BofA Picked Up Consumer Relief Pace

    Bank of America Corp. put itself on pace to complete its consumer relief requirements from last August’s $17 billion mortgage settlement by distributing nearly $1.2 billion in mortgage refinancing and community assistance through the first quarter of 2015, the settlement’s monitor said Friday.

  • July 30, 2015

    AmEx Faces Investor Suit Over Loss Of Costco Partnership

    American Express Co. investors hit the credit card company with a proposed class action in New York federal court Thursday over its failure to renew a co-branding agreement with Costco Wholesale Corp., with a pension fund accusing the company of hiding the financial importance of the partnership.

  • July 30, 2015

    Texas Men Get Prison In $12M Scarfo-Led Scheme

    Two Texas brothers convicted for their roles in a $12 million Mafia-led extortion takeover that forced a mortgage lender's bankruptcy were sentenced to prison Tuesday in federal court in New Jersey, U.S. Attorney Paul Fishman announced.

  • July 30, 2015

    JPMorgan Execs Knock Out Derivative Suit Over $2B In Fines

    A Delaware Chancery judge tossed a shareholder derivative complaint Wednesday that accused JPMorgan Chase & Co. officers and directors of overseeing ineffective money-laundering and sanction controls that led to more than $2 billion in fines, finding the suit raised claims previously dismissed in other venues.

  • July 30, 2015

    Lenders Refused Confidential Docs Behind $9B ResCap Deal

    HSBC, UBS and other mortgage originators, facing a potentially hefty liability for an $8.7 billion settlement over residential mortgage-backed securities sold to Residential Capital LLC, cannot review the confidential communications that precipitated the massive deal, a New York bankruptcy judge said Thursday.

  • July 30, 2015

    3rd Circ. Upholds Class Cert. In PNC Lending Scheme Suit

    The Third Circuit on Wednesday affirmed the certification of a nationwide litigation class of individuals suing PNC Bank NA, which acquired a smaller bank accused of helping facilitate an illegal home equity lending scheme, finding PNC's challenge to issues of commonality and other certification criteria unpersuasive.

  • July 30, 2015

    Regulators Back Down On Asset Manager SIFI Designations

    Global regulators on Thursday said they would delay any decisions on designating large asset management firms as systemically important financial institutions, but added that they would continue to study the potential risks such firms presented to the financial system.

  • July 30, 2015

    5 Rulings That Have Sown Confusion Over Tribal Sovereignty

    As Native American tribes and businesses have increasingly run up against federal and state regulatory authorities in recent decades, federal courts have issued a number of rulings that cramp tribal sovereignty and create uncertainty about the right method of assessing its reach. Here, Law360 looks at five decisions showing the tightening scope and heightened confusion around tribal sovereignty that have accompanied the closer scrutiny on tribal activities.

  • July 30, 2015

    Paul Hastings Guides Record $850M Fibra Uno Loan

    Paul Hastings LLP said Thursday it represented several global banks in a $850 million loan to Mexico City-based real estate investment trust Fibra Uno Administracion SA de CV, described as the largest-ever bank loan to a Latin American real estate company.

  • July 30, 2015

    Judge Rejects Alleged Russian Spy's Immunity Plea

    A New York federal judge on Wednesday rejected an accused Russian spy’s claim that he was protected by diplomatic immunity because the U.S. government knew he worked for a state-sponsored bank.

  • July 30, 2015

    NFL Players Will Have Single Trial In $53M Suit Versus BB&T

    A Florida federal judge on Thursday rejected Branch Banking and Trust Co.'s call for split jury and nonjury trials on a group of National Football League players' claims of unauthorized transactions, saying the bank's arguments of potential prejudice fell short of a need for judicial economy.

  • July 30, 2015

    Colony Capital Scores $166M Refinance From Prudential

    Subsidiaries of Colony Capital Inc. have scored $165.75 million in refinancing from Prudential Mortgage Capital Co. for a five-city, 4 million-square-foot industrial property portfolio, according to an announcement on Thursday from Holliday Fenoglio Fowler LP, which brokered the deal for the borrowers.

  • July 30, 2015

    Amazon, Wal-Mart Want $7B Deal Scrapped Over Misconduct

    Amazon.com Inc., Starbucks Corp. and Wal-Mart Stores Inc. have objected to the $7.25 billion antitrust settlement Visa Inc. and MasterCard Inc. reached over their interchange fees, arguing the plaintiffs were inadequately represented by an attorney who allegedly exchanged confidential information with a now-indicted lawyer representing their adversary.

  • July 30, 2015

    CFPB Hits Mortgage Servicer For $1.6M Over Bad Practices

    The Consumer Financial Protection Bureau on Thursday said that a mortgage servicing company will pay $1.6 million in restitution and fines for a variety of violations, including failing to honor loan modifications and falsely treating consumers as though they had defaulted.

  • July 30, 2015

    Skadden-Led Blank Check Co. Beats Target With $180M IPO

    Easterly Acquisition Corp., a Massachusetts-based blank check company formed by Easterly Capital LLC for effecting mergers or similar deals in the financial services sector, topped its target on Thursday by raising $180 million in an initial public offering steered by Skadden Arps Slate Meagher & Flom LLP.

  • July 30, 2015

    9/11 Families Win Default Judgment Against Iran

    Families of 9/11 terrorist attack victims scored a symbolic victory in multidistrict litigation over the attacks Wednesday with a default judgment in New York federal court against Iran after the Islamic republic failed to respond to allegations that it sponsored al-Qaida.

  • July 30, 2015

    BATS Eyes New Rule To Fight Market Manipulators

    Stock exchange operator BATS Global Markets Inc. on Thursday said it would seek a new rule to more swiftly stop market manipulations such as spoofing and layering, filing a proposal with the U.S. Securities and Exchange Commission.

  • July 30, 2015

    UK Bans Trader Convicted Of Libor Rigging

    The U.K. Financial Conduct Authority said Thursday that it has banned a former trader at Cooperatieve Centrale Raiffeisen-Boerenleenbank BA, better known as Rabobank, from working in the United Kingdom’s finance industry due to his conviction in U.S. Libor litigation.

  • July 30, 2015

    Lloyds Sells Commercial Loans To Goldman, Others For $1.3B

    Lloyds Banking Group PLC is selling a portfolio of Ireland commercial loans to a Goldman Sachs Group Inc. entity, the Bank of Ireland and an entity affiliated with CarVal Investors LLC for £827 million ($1.29 billion), according to a filing with the London Stock Exchange on Thursday.

  • July 30, 2015

    Holland & Knight Nabs Troutman Corp. Pro For Atlanta Office

    Holland & Knight LLP has recruited a former Troutman Sanders LLP corporate partner experienced in advising technology, telecommunications and banking companies in securities offerings and mergers and acquisitions to bolster its public companies and securities practice group in Atlanta, the firm said on Wednesday.

Expert Analysis

  • Cuba, Si! Trade With Cuba, Todavia No

    Burt Braverman

    There has been much fanfare surrounding the re-establishment of diplomatic relations with Cuba, but for U.S. businesses anxious to establish commercial beachheads for the sale of goods and technology, the reality is much the same as it has been since 1982 when Cuba was first designated as a State Sponsor of Terrorism, says Burt Braverman at Davis Wright Tremaine LLP.

  • Lessons From 5th Circ. Application Of Scienter Standard

    David Dodds

    The Fifth Circuit’s recent dismissal of a federal securities fraud class action that arose out of the failure of Guaranty Bank serves as a reminder that even where some specific allegations tend to support an inference of scienter, they may not invariably lead to a finding of the required “strong inference,” says David Dodds of Haynes and Boone LLP.

  • A Potential Basis For Objecting To Certain CFPB Sanctions

    Jennifer L. Sutton

    Much like the U.S. Securities and Exchange Commission bar at issue in SEC v. Koch, a number of the Consumer Financial Protection Bureau’s enforcement actions address violations premised on conduct that, at least in part, predates Dodd-Frank. The D.C. Circuit’s ruling in Koch rejecting retroactive Dodd-Frank application could provide a basis for institutions to object to certain CFPB sanctions, say attorneys with Sullivan & Cromwell LLP.

  • Understanding Pre-Award Interest Rates In Arbitration

    Dan Harris

    Pre-award interest rates in international arbitration can lead to very significant differences in final award amounts, yet the debates on interest often reveal misunderstandings about the economic fundamentals, say principals of The Brattle Group Inc.

  • Fracking Risks To Secured Oil And Gas Lenders

    Matthew D. Clark

    The biggest legal and regulatory challenges for oil and gas industry participants and their lenders relate to the hot-button issue of hydraulic fracturing, where a number of recent developments put credit risk front and center. A lender could easily find itself with a borrower unable to pay and collateral that evaporated, say Matthew Clark and Colin Deihl of Faegre Baker Daniels LLP.

  • The Proposed Best Interest Contract Exemption: Part 3

    Susan Krawczyk

    Some broker-dealers may choose to develop a separate customer platform for retirement investor accounts in order to comply with the U.S. Department of Labor's proposed best interest contract exemption, rather than subject all of their retail customer accounts to the same rules. The more formidable challenge, though, will likely be the fee and compensation disclosure requirements, says Susan Krawczyk of Sutherland Asbill & Brennan LLP.

  • Mass. Has New Requirements For Foreclosing Mortgagees

    Darian Butcher

    Massachusetts law regarding which terms of a mortgage require strict compliance in order for a mortgagee to validly exercise its power of sale continues to develop. In a recent decision, the state high court acknowledged that its jurisprudence on this point has “taken a more flexible approach,” say attorneys with Day Pitney LLP.

  • The Proposed Best Interest Contract Exemption: Part 2

    Susan Krawczyk

    In light of the U.S. Department of Labor's proposed best interest contract exemption guidance, a broker-dealer might decide to exclude transactions in retirement investor accounts from incentive or bonus programs offered to its brokers, says Susan Krawczyk of Sutherland Asbill & Brennan LLP.

  • Mid-2015 Restructuring Review: Europe And Emerging Markets

    Stephen Phillips

    Opportunities for distressed debt funds to buy attractively priced distressed corporate assets have been few and far between in recent terms, but do not expect activity levels to be quiet forever. One market that funds have been eyeing closely is Italy, say attorneys with Orrick Herrington & Sutcliffe LLP.

  • This Week In Congress: Continuing Resolution Looms

    Richard A. Hertling

    Highway funding remains at an impasse this week, as House and Senate debates continue. Iran also remains a major focus, with only 60 days for Congress to review the nuclear agreement reached earlier this month. Meanwhile congressional leaders have finally acknowledged what has been clear all along — efforts to fund the government past Sept. 30 have failed, say Richard Hertling and Kaitlyn McClure of Covington & Burling LLP.