Swiss Re, BNY Mellon Beat Insurer's $86M CDO Suit

Law360, New York (January 25, 2013, 1:47 PM EST) -- A New York state appeals court refused Thursday to revive a Dutch insurer's $85.9 million suit blaming Swiss Re Financial Products Corp. and Bank of New York Mellon Corp. for the collapse of a complex debt deal, finding the agreement governing the underlying credit-default swaps prevents the action.

ASR Nederland NV cannot sue either Swiss Re or BNY Mellon because the insurer was not mentioned as a third-party beneficiary in the underlying agreement, and any benefit the insurer received was merely incidental, the appeals court said....
To view the full article, register now.