Law360 (May 25, 2010, 1:16 PM EDT) -- For practitioners old enough to remember, the Federal Deposit Insurance Corporation, and its cousin the Resolution Trust Corporation, were regular players in the 1990s during the last severe bank crisis in the United States. Just like in a popular movie sequel, we too can now scream, "They're baaaaack!" Recent reports confirm the rising number of bank failures. The FDIC is opening new offices and announces more bank takeovers weekly. As a result, borrowers' lawyers now find that the opposing party is not the lending bank, but the FDIC. Bankers and bank lawyers now find their loan participants include the FDIC. A quick review of recent cases suggests litigation involving the FDIC is returning to court dockets. Clearly, FDIC involvement is not yet near the volume it attained 20 years ago, but it is increasing. In response, this article is a refresher for those who lived through the last go-around, and a primer for those without that experience....
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