ResCap Wins Stays On Last 6 Suits Against Affiliates

Law360, New York (July 10, 2012, 10:40 PM EDT) -- A solvent Residential Capital LLC affiliate can dodge six securities lawsuits over soured mortgage-backed securities while the Ally Financial Inc. unit remains in bankruptcy, following its Tuesday resolution of five of the stay disputes and a New York bankruptcy judge's stay in the sixth.

The debtor — which on May 25 filed a suit shooting back at pension funds and financial companies that have targeted it over the MBS, seeking to pause such litigation against its affiliated companies while it undergoes Chapter 11 restructuring — reached...
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