• 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 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 Anti-Steering Order From 2nd Circ.

    American Express filed an emergency request with the Second Circuit on Tuesday to stay a lower court’s decision that would permanently block its anti-steering regulations and allow merchants to point customers to cards with cheaper rates.

  • 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 Inspector General 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.

  • May 26, 2015

    E&Y, American National Reach Deal Over Lehman Losses

    Ernst & Young LLP has settled allegations by American National Insurance Co. of Texas and certain of its affiliates that they lost over $21 million because of Lehman Brothers Holdings Inc.'s subprime exposure, the auditing firm told a New York federal judge Tuesday.

  • May 26, 2015

    KBR Ruling May Force Gov't To Cut Wells Fargo Fraud Claims

    The federal government will likely be forced to drop some claims in its $189 million mortgage fraud suit against Wells Fargo & Co. in New York federal court, following a U.S. Supreme Court decision Tuesday limiting a wartime pause on the expiration of government fraud claims.

  • May 26, 2015

    CFTC Chief Bashes Europe's Move Toward Benchmark Regs

    The head of the U.S. Commodity Futures Trading Commission said Tuesday he has urged European leaders to back away from plans to set new standards for benchmark rates in the wake of vast rigging scandals, which he said would impose heavy costs and stifle global markets.

  • May 26, 2015

    Mortgage Lender Can't Trim Successor Employer FLSA Row

    A New Jersey federal judge on Friday rejected a mortgage lender’s attempt to trim a suit alleging it’s liable for Fair Labor Standards Act violations by the company it acquired, saying state law allows for successor employers to be sued for unpaid overtime, not just unpaid minimum wage.

  • May 26, 2015

    EU Watchdog Blueprints When To Dismantle Banks

    The European Banking Authority on Tuesday released final guidelines for when European Union member states can begin unwinding a failed bank, completing a process aimed at providing uniformity for national supervisors across the political and economic bloc.

Expert Analysis

  • And Now A Word From The Panel: The MDL Lexicon

    Alan E. Rothman

    As the Judicial Panel on Multidistrict Litigation heads to Minneapolis, Minnesota — currently home to 10 MDL proceedings — for its post-Memorial Day hearing, this month’s column recaps the March session and explores the “MDL Lexicon,” says Alan Rothman of Kaye Scholer LLP.

  • Why Adopting The Bailout Prevention Act May Be Unwise

    Jeffrey P. Naimon

    Private institutions will be unwilling to participate in ameliorating a potential future systemic crisis principally due to the staggering liabilities they faced as a result of acquiring troubled institutions or their assets during the 2007-2008 crisis. Congress and other policymakers would be wise to account for this important factor when considering the Bailout Prevention Act, say Jeffrey Naimon and Walter Zalenski of BuckleySandler LLP.

  • 1 Small Provision For Barclays, 1 Big Step For Compliance

    Mark Rosman

    Last week's Barclays PLC plea deal represents the first time that the Antitrust Division of the U.S. Department of Justice has awarded a company sentencing credit for implementing an effective compliance program after the start of an investigation, say attorneys with Wilson Sonsini Goodrich & Rosati PC.

  • Sign Of Courts' Growing Impatience With Procedural Errors

    Bruce P. Merenstein

    The Third Circuit decision in Lehman Brothers Holdings Inc. v. Gateway Funding Diversified Mortgage Services LP — and some strong words from the court in its opinion — have raised concerns that the court may be becoming more rigid in its application of procedural rules, and signals that federal appellate courts may be losing patience with procedural errors, say Carl Solano and Bruce Merenstein of Schnader Harrison Segal & Lewis LLP.

  • The Illusory Value Of Requiring Individual Breach Notices

    Joshua Lee

    Although the Consumer Privacy Protection Act — the latest proposed federal response to the problem of criminal data theft — takes a progressive approach to notice with many welcome reforms, legislators, consumers and businesses affected by the law should ask whether individual notice requirements really achieve enough good to justify their costs, says Joshua Lee of Irell & Manella LLP.

  • NJ Court Fails To Clarify Payroll Account Levy Rules

    Nicholas M. Gaunce

    The New Jersey state appeals court in The Pitney Bowes Bank Inc. v. ABC Caging Fulfillment seemingly set a bright-line test balancing the rights of judgment creditors and employees when it comes to monies in a levied “payroll” bank account. Where Pitney Bowes falls short, however, is in describing what proofs a business debtor must utilize to establish what amounts are owed to employees, says Nicholas Gaunce of Eckert Seamans Cheri... (continued)

  • What’s Missing From The SEC’s Forum Selection Guidance

    Thomas A. Hanusik

    In its recent guidance on forum selection, the U.S. Securities and Exchange Commission missed a golden opportunity — instead of addressing the legitimate and widespread criticism of its increasing use of the administrative forum, the SEC dodged the key issues and failed to make the forum selection process fairer to defendants, say attorneys with Crowell & Moring LLP.

  • DOJ Is Trying To Show Benefits Of Corporate Cooperation

    Ryan Rohlfsen

    Recent Foreign Corrupt Practices Act cases and commentary from U.S. Department of Justice officials illustrate possible costs, benefits and pitfalls in the disclosure and cooperation calculation, say Ryan Rohlfsen and David Nordsieck of Ropes & Gray LLP.

  • 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.