Court Backs MBIA In Countrywide MBS Discovery Row

Law360, New York (March 28, 2012, 5:30 PM EDT) -- A New York state appeals court on Tuesday upheld two key discovery rulings in favor of MBIA Inc. in the bond insurer's multibillion-dollar lawsuit alleging Countrywide Home Loan Inc. duped it into insuring securities tied to ill-fated mortgage loans.

A five-judge panel unanimously affirmed a January 2011 decision by the New York Supreme Court denying Countrywide's motion to force MBIA to turn over documents about its remediation efforts, or attempts to recover payments it made to securities investors burned in the housing collapse.

MBIA prepared the...
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