Homeowners Fight For Own Committee In ResCap Ch. 11

Law360, New York (September 24, 2012, 3:39 PM EDT) -- Homeowners seeking a borrowers committee in Residential Capital LLC's bankruptcy countered the debtor's protests Friday, saying ResCap is wrongfully presuming them sophisticated creditors able to represent their own interests in a Chapter 11 case.

The borrowers, a group of homeowners whose mortgage loans were sold and securitized and are held by Ally Financial Inc. mortgage affiliate ResCap, asked a New York bankruptcy judge Aug. 24 to appoint an official committee of borrowers, arguing the official unsecured creditors committee can't represent their varied interests.

The homeowners are...
To view the full article, register now.
Law360 Pro Say Podcast
Check out Law360's new podcast, Pro Say, which offers a weekly recap of both the biggest stories and hidden gems from the world of law.