Banking

  • May 14, 2018

    Cadence Bancorp., State Bank Financial Ink $1.4B Merger

    Houston-based Cadence Bancorp. and Atlanta’s State Bank Financial Corp. on Sunday said they agreed to a stock-for-stock merger in a deal valued at around $1.4 billion to create a combined company boasting $16 billion in assets and locations all across the South.

  • May 14, 2018

    Justices Won't Hear Challenge To Dodd-Frank 'Spoofing' Ban

    The U.S. Supreme Court on Monday declined to hear a challenge to the Dodd-Frank Act's criminalizing of a commodities trading tactic known as "spoofing," or entering bogus orders that are meant to move the market, leaving intact a New Jersey trader’s three-year prison sentence.  

  • May 14, 2018

    Capital One Provides $420M Credit Line To PennantPark Unit

    Capital One has agreed to provide a $420 million line of credit to a unit of PennantPark Floating Rate Capital Ltd., a business development firm that mainly invests in U.S. middle market private companies and sometimes participates in equity investments, the companies said on Monday.

  • May 14, 2018

    Titan Of The Plaintiffs Bar: Pomerantz's Jeremy Lieberman

    Pomerantz LLP’s Jeremy Lieberman led a $3 billion settlement for investors in a class action over Brazilian energy giant Petrobras’ corruption scandal, achieving a record sum and key legal ruling along the way to land him a spot on Law360's 2018 Titans of the Plaintiffs Bar.

  • May 12, 2018

    IRS To Start Enforcing Crypto Withholding Rule, Panelist Says

    The Internal Revenue Service will begin this year to more strictly enforce the requirement to withhold taxes for cryptocurrency payments to nonresident aliens, an attorney who has represented clients in related matters said at a Saturday tax conference in Washington, D.C.

  • May 11, 2018

    FinCEN Due Diligence Rule Should Be On Crypto Cos.' Radar

    The Financial Crimes Enforcement Network’s customer due diligence rule went into effect Friday for banks and certain other financial institutions, and cryptocurrency companies that may not be covered by the rule now would be wise to pay attention to it, legal experts say.

  • May 11, 2018

    SEC's Peirce Slams 'Broken Windows' Enforcement Era

    U.S. Securities and Exchange Commission member Hester Peirce on Friday delivered a sharp rebuke of her agency’s past enforcement practices, particularly the “broken windows” approach of punishing small infractions, as she called on the regulator to police the markets with a lighter and more "calibrated" touch.

  • May 11, 2018

    NRA Sues Cuomo, NY Regulator For 'Discrimination Campaign'

    The National Rifle Association sued New York Gov. Andrew Cuomo and the state’s top financial regulator on Friday, seeking millions of dollars in damages for what it alleges has been an “overt viewpoint-based discrimination campaign” that is scaring off the gun rights organization’s business partners and threatening its First Amendment rights.

  • May 11, 2018

    Ex-NBA Player Kwame Brown Says Merrill Lynch Stole $17.4M

    Former NBA player Kwame Brown is accusing his former financial adviser, Merrill Lynch and parent company Bank of America Corp. of forging his signature and stealing $17.4 million from him during and after his career, according to a lawsuit filed in California state court on Thursday.

  • May 11, 2018

    Insurers Try To Nix Coverage For $11.7M FCA Deal

    Travelers Casualty and Surety Co. of America and Illinois Union Insurance Co. have moved to dismiss a suit by IberiaBank seeking coverage for an $11.7 million False Claims Act settlement the bank reached with the government last year over its sloppy mortgage lending, arguing that the government was never a “client” of IberiaBank.

  • May 11, 2018

    Pa. Woman Drops TCPA Class Suit Over Alleged Robocalls

    A Pennsylvania woman has agreed to drop a putative class action accusing loan servicer Seterus Inc. of violating the Telephone Consumer Protection Act by autodialing the cellphones of individuals who had no existing debt themselves, but who had friends or relatives with existing debt.

  • May 11, 2018

    Deals Rumor Mill: Carolina Panthers, Mubadala, Ant Financial

    The NFL’s Carolina Panthers could reportedly be sold to billionaire David Tepper, Emirati sovereign wealth fund Mubadala is having a hard time selling a Swiss private bank, and China’s Ant Financial may secure $10 billion in funding in the next few days.

  • May 11, 2018

    Does Corporate Cooperation Turn Counsel Into Prosecutors?

    The U.S. Department of Justice has touted new rewards for companies to report employees' financial crimes, but can a company's cooperation be so extreme that its lawyers essentially become prosecutors? A New Jersey court is weighing that question now.

  • May 11, 2018

    Sale Delay Sought In Ch. 11 Tied To Alleged Indian Fraudster

    A government agency in India and a national bank claiming it was defrauded by billionaire Nirav Modi are seeking to postpone the sale of Modi's insolvent U.S. jewelry businesses, citing their apparent connections to the fraud as well as failed efforts to garner substantial interest from bidders.

  • May 11, 2018

    SEC Faces Calls To Push Back Harder On Audit Trail Delays

    Eight years have passed since the May 6, 2010, flash crash and calls are growing for the U.S. Securities and Exchange Commission to forcefully address delays to a powerful, long-awaited market surveillance tool called the consolidated audit trail designed to prevent a repeat.

  • May 11, 2018

    Majority Of BofI Stock Drop Suit 'Unripe,' Judge Says

    A California federal judge on Friday tentatively dismissed a significant portion of a derivative suit claiming the Bank of Internet’s board of directors engaged in multiple schemes that led to a steep stock drop when they were revealed, saying most of the claims rely on the outcome of a pending whistleblower suit and are thus “unripe.”

  • May 11, 2018

    Restructuring Of Puerto Rico's Investment Bank Approved

    Puerto Rico’s federally appointed oversight board has officially signed off on a plan to restructure the $4.1 billion in debt held by the island’s Government Development Bank, in a move government officials called an “important step” toward working out its total $74 billion debt load.

  • May 11, 2018

    Ex-Google Exec's Co. Accused Of 'Rent-A-Tribe' Loan Scheme

    A former Google executive and his financial technology company worked with a North Dakota tribe so they could hide behind its sovereign immunity while issuing illegal short-term loans with exorbitant interest rates, a proposed class of borrowers alleged in Washington federal court Thursday.

  • May 11, 2018

    7th Circ. Won't Revisit Axing Of Northern Trust ERISA Action

    The Seventh Circuit said Thursday it will not reconsider a Northern Trust executive's proposed class action against his employer over changes to its pension plan that he said discriminated against older workers, leaving in place the court's decision to toss the suit.

  • May 11, 2018

    UK Litigation Roundup: Here's What You Missed In London

    The last week has seen a vacation rental agency file for an appeal against a fiduciary service company, the Bank of India sue a jewelry company owned by an alleged fraudster and an African mining company launch legal proceedings against a Brazilian bank. Here, Law360 looks at those and other new claims in the U.K.

Expert Analysis

  • Opinion

    State AGs Must Fill The CFPB Void, But That's Not Enough

    Karl Racine

    With Mick Mulvaney gutting the Consumer Financial Protection Bureau, the burden of standing up to giant, deep-pocketed financial institutions falls more heavily on state attorneys general. But in the end, such efforts can’t replace the power the CFPB has to protect consumers across all states equally, says District of Columbia Attorney General Karl Racine.

  • Pleading A Personal Jurisdiction Defense Late In The Game

    James Beck

    Personal jurisdiction defenses are waivable and should be pleaded at the outset of litigation. Still, suppose a defendant, not recognizing the impacts of the Bauman and Bristol-Myers Squibb rulings, did not previously plead a personal jurisdiction defense, but now wants to do so. It’s not a good situation to be in, but it’s not hopeless, says James Beck of Reed Smith LLP.

  • Courts Must Soon Tackle Critical Questions About ICOs

    Michael Canty

    A number of class actions have been filed against initial coin offering founders for securities fraud, which means courts will soon begin to grapple with applying the federal securities laws to a new and potentially groundbreaking fundraising mechanism, say Michael Canty and Ross Kamhi of Labaton Sucharow LLP.

  • Calibrating Structural And Decisional Independence For ALJs

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    When the solicitor general agreed with Raymond Lucia's argument that the U.S. Securities and Exchange Commission itself must appoint administrative law judges to conform with the appointments clause, the result in Lucia v. SEC seemed foreseeable. But oral arguments this week suggest that the U.S. Supreme Court justices may be more divided than expected, says professor Harold Krent of IIT Chicago-Kent College of Law.

  • 11th Circ. Decision Deepens An FCA Circuit Split

    Douglas Baruch

    The Eleventh Circuit's False Claims Act decision this month in U.S. v. Cochise results in a clear and stark circuit court split. The issue of whether the extended limitations period may be invoked by relators in declined qui tam actions — and, if so, whose knowledge triggers the clock — is now ripe for resolution by the U.S. Supreme Court, say attorneys with Fried Frank Harris Shriver & Jacobson LLP.

  • The Benefits And Challenges Of Lending To Series LLCs

    Kristin Rylko

    Lenders considering advancing credit to a series limited liability company should be aware that there remains uncertainty surrounding the treatment of a series under state law and the Bankruptcy Code, but that there are techniques available to help mitigate the risks, say attorneys with Mayer Brown LLP.

  • Crypto Set To Drive Demand For Traditional Services: Part 2

    Izzy Nelken

    There is speculation that smart contracts may enable technology to replace the practice of law. However, disputes will almost certainly arise as a result of the innate characteristics of smart contracts, requiring seasoned legal representation, say Collin Starkweather, a principal at Charles River Associates, and Izzy Nelken, a member of the Chicago Board Options Exchange's product development committee.

  • Crypto Set To Drive Demand For Traditional Services: Part 1

    Collin Starkweather

    The widespread adoption and increasing regulation of virtual currencies and related technologies will give rise to the need for individuals with expertise in traditional fields, such as financial services and tax, say Collin Starkweather, a principal at Charles River Associates, and Izzy Nelken, a member of the Chicago Board Options Exchange's product development committee.

  • If Lucia Wins On SEC Judges, What Comes Next?

    Daniel Walfish

    The U.S. Supreme Court is set to consider in Raymond J. Lucia v. SEC whether the U.S. Securities and Exchange Commission’s previous hiring of administrative law judges violated the Constitution. Let's look at two issues on the horizon if the answer is yes, says Daniel Walfish of Walfish & Fissell LLP.

  • Rule 23 Changes: Avoid Delays In Class Settlement Approval

    Shandarese Garr

    Among the proposed amendments to Rule 23 of the Federal Rules of Civil Procedure, which are scheduled to take effect Dec. 1, are specific requirements related to “front-loading.” They outline the process for seeking preliminary court approval of class action settlements and related notice plans, say Shandarese Garr and Niki Mendoza of Garden City Group LLC.