Banking

  • September 22, 2017

    LendingClub Fights Shareholder Cert. In Stock Drop Suit

    LendingClub Corp. asked a California federal judge Thursday not to certify a class of investors suing over the company hiding defective internal controls, saying the “lawyer-controlled” named plaintiff had an unusual investment history that made it ill-equipped to lead the class.

  • September 22, 2017

    Home Depot Data Breach Attys Score $15.3M In Fees

    The attorneys representing banks and other financial institutions in litigation over Home Depot's 2014 data breach won a $15.3 million fee award on Friday that represents only a slight reduction to their hotly contested request, as a Georgia federal judge gave his final blessing to a $27.25 million settlement.

  • September 22, 2017

    Banks Can Seek Fees In Dana Transport RICO Suit: Judge

    A New York federal judge on Friday said a group of banks, including PNC Bank and Wells Fargo & Co., can pursue a claim for legal fees and expenses against Dana Transport Inc., which had sued the banks for RICO violations but voluntarily dismissed the case.

  • September 22, 2017

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

    The last week has seen Deutsche Bank sue a British law firm, a new insolvency filing by a Lehman creditor against the defunct bank's trustees and a dispute between an insurance-backed guarantee underwriter and a Lloyd's broker. Here, Law360 looks at those and other new claims in the U.K.

  • September 22, 2017

    Supreme Court Competition Appeals To Watch

    The U.S. Supreme Court on Monday will be considering whether to review a Second Circuit decision siding with American Express over the company's anti-steering rules and mulling other appeals in antitrust litigation. Here, Law360 provides a preview of certiorari petitions to watch in competition cases as the high court kicks off another term.

  • September 22, 2017

    UK Clears Cardtronics' $460M DirectCash Buy

    The U.K.'s antitrust watchdog on Friday said it has approved Texas-based Cardtronics Inc.'s $460 million acquisition of DirectCash Payments Inc. after an independent panel found that various factors could prevent the pair from hiking surcharges at their ATMs. 

  • September 22, 2017

    QBE Can't Secure Coverage Of Force-Placed Insurance Actions

    A New York state judge has brought an end to QBE Americas Inc.’s suit seeking insurance coverage for a $19 million settlement of claims that it paid kickbacks to banks that drove up premiums for force-placed insurance, saying the claims are clearly excluded by the policies.

  • September 22, 2017

    BofA, Merrill Unit Pay $5M To Settle 'Pre-Hedging' Probes

    Bank of America Corp. and its Merrill Lynch Pierce Fenner & Smith Inc. broker-dealer unit agreed to pay a total of $5 million to settle allegations they misled prosecutors and regulators investigating former New York swaps traders for executing futures trades after learning big trades were in the pipeline, federal authorities announced Friday.

  • September 22, 2017

    Alleged Bitcoin Fraudster Faces NY Criminal Charges

    A Brooklyn, New York, computer programmer who was accused by the U.S. Commodity Futures Trading Commission on Thursday of embezzling $600,000 from his bitcoin trading enterprise has been arrested and charged with fraud by the Manhattan district attorney.

  • September 22, 2017

    Debt Lawyers Say CFPB Can't Ax $25M Free Speech Suit

    Two lawyers who say their livelihoods were destroyed by the Consumer Financial Protection Bureau’s crackdown on debt-relief firm Morgan Drexen Inc. told a California federal court Thursday that there is no good reason to dismiss their $25 million suit against the regulator.

  • September 21, 2017

    DOJ OKs Banks’ Creation Of Real-Time Payment System

    A group of two dozen banks are free to create a real-time payment system, which will allow immediate transfers between various financial institutions, the U.S. Department of Justice announced Thursday.

  • September 21, 2017

    Wolf Haldenstein Nabs Top Spot In Zoompass Investor Suit

    Wolf Haldenstein Adler Freeman & Hertz LLP will serve as lead counsel for a proposed class of Zoompass Holdings Inc. investors in a suit alleging the Canadian financial technology company concealed its involvement in a scheme to promote its stock, a New Jersey federal judge said on Wednesday.

  • September 21, 2017

    Tribal Lender Claims Immunity From Challenge To Immunity

    An online lender accused of striking “rent-a-tribe” deals with a Native American tribe in order to benefit from tribal immunity urged a Virginia federal judge Tuesday to dismiss a proposed class action over its lending practices, saying it is, in fact, a sovereign arm of the Chippewa Cree tribe and therefore immune from the litigation alleging false immunity.

  • September 21, 2017

    PTAB Lets Credit Card Patent Claims Stand Under Alice

    The Patent Trial and Appeal Board ruled this week that patent claims covering a credit card transaction verification method were not invalid under the U.S. Supreme Court’s Alice test, reversing a decision from the patent examiner.

  • September 21, 2017

    Steptoe & Johnson Partner Tapped To Head CFTC Division

    The U.S. Commodity Futures Trading Commission said Wednesday that a Steptoe & Johnson LLP partner has been appointed to serve as director of the agency's Division of Swap Dealer and Intermediary Oversight.

  • September 21, 2017

    WaMu Trust Says No Sanctions For Unpaid Contingency Fee

    The liquidating trustee of long-bankrupt Washington Mutual Inc. has hit back against Grant Thornton LLP’s bid for sanctions over an unpaid $5 million contingency fee, telling a Delaware bankruptcy judge the fee was only approved because the firm lied to the court at an earlier hearing.

  • September 21, 2017

    Lehman Faulty-Mortgage Suit Must Wait, FDIC Says

    The Federal Deposit Insurance Corp. asked a New York bankruptcy court Thursday to hit the snooze button on a suit filed by Lehman Brothers against Guaranty Bank over the sale of shoddy mortgages, saying Lehman must go through an administrative claims process first.

  • September 21, 2017

    Home Depot 'Scorched Earth' Plan Merits $18M Fee, Attys Say

    Attorneys who secured a $27.25 million settlement for banks and other financial institutions against Home Depot over the retailer’s 2014 data breach blasted opposition to their $18 million fee request on Thursday, arguing that the company’s own “scorched earth” litigation tactics dragged the case out longer than necessary.

  • September 21, 2017

    Rothstein Feeder Fund Slaps Insurance Broker With $63M Suit

    The liquidating trustee for an investment fund that fed into jailed attorney Scott Rothstein's $1.2 billion Ponzi scheme sued Harden & Associates on Wednesday, claiming the insurance broker's negligence led the fund's insurers to deny coverage after the scheme collapsed.

  • September 21, 2017

    MasterCard Can't Challenge Card Tech Patents In CBM Review

    The Patent Trial and Appeal Board on Thursday rejected MasterCard International Inc.’s bid to invalidate two patents for card activation technology, finding a lawsuit over a license agreement MasterCard allegedly breached didn’t give it standing to challenge the patents in covered business method review.

Expert Analysis

  • What To Expect In Forex Fraud Trial Of Ex-HSBC Exec

    Scott Schirick

    The prosecution of HSBC’s former global head of foreign exchange spot trading — whose trial begins on Monday in the Eastern District of New York — will test whether the government can turn sharp dealing and deception in the unregulated institutional spot forex market into criminal fraud, says Scott Schirick of Pryor Cashman LLP​.

  • The North Korea Executive Order And How It May Affect You

    Brendan Hanifin

    A new executive order represents a significant escalation of U.S. sanctions targeting North Korea and presents new compliance considerations for companies that conduct business with North Korean trading partners, including China, India and Russia, say Brendan Hanifin and Emerson Siegle of Ropes & Gray LLP.

  • Why Kokesh Really Matters

    Matthew Martens

    In the aftermath of Kokesh, the U.S. Securities and Exchange Commission has continued filing enforcement actions in federal district courts seeking disgorgement, as if the import of the decision is only that disgorgement is subject to a five-year statute of limitations. This overlooks two far more significant ramifications of Kokesh for SEC enforcement practice, say attorneys with WilmerHale.

  • The Foreign Sovereign Immunities Act: 'Bedlam' Redux

    Robert W. Ludwig

    After four decades attempting to apply the commercial-activity exception of the Foreign Sovereign Immunities Act — the most significant exception to sovereign immunity — no court has ever decided the meaning of the heart of the exception, and with it the FSIA, says Robert W. Ludwig, a founding member of Ludwig & Robinson PLLC.

  • Opinion

    Digital Realty Trust V. Somers May Kill Corporate Compliance

    Stephen Kohn

    During its upcoming term, in Digital Realty Trust v. Somers, the U.S. Supreme Court will decide whether employees who report violations internally are protected under Dodd-Frank. If the court requires whistleblowers to report violations directly to the U.S. Securities and Exchange Commission, internal corporate compliance programs will be crippled, says Stephen Kohn of Kohn Kohn & Colapinto LLP.

  • CFPB Says Using Multiple Debt Collectors Poses ECOA Risk

    Jonathan Joshua

    In light of the Consumer Financial Protection Bureau's recent consent order with American Express, creditors, debt buyers and collection agencies should ensure that segmentation criteria for internal collection strategies, placement with external collection agencies, and the collection strategies employed by multiple external third-party debt collectors do not result in the disparate treatment of protected classes, says attorney Jonathan Joshua.

  • The Role Legal Finance Can Play In Firm Year-End Collections

    Travis Lenkner

    Payment collection delays have caused law firms to seek new options, one of which is litigation finance. In this context, litigation finance can offer alternative avenues to firms as they approach the end of a fiscal year or partnership distribution dates, says Travis Lenkner of Burford Capital LLC.

  • 'Per-Doc' Pricing Can Improve Document Review

    file folder

    Imagine going to a restaurant and ordering your steak medium-rare. The steak arrives burned. You expect the kitchen to bring you another one properly done, right? And you don’t expect to pay for two steaks, do you? Paying a vendor for document review should be no different, says Lisa Prowse, an attorney and vice president at e-discovery firm BIA Inc.

  • Opinion

    We Must Protect Consumers From Illegal Debt Collectors

    Maura Healey

    Companies are allowed to collect the money they are owed, but they cannot break the law or cheat people in the process. Some of the biggest players in the debt collection industry are not focused on getting it right, says Massachusetts Attorney General Maura Healey.

  • The Regulatory Risks Of A Deregulatory Environment

    Mark Schonfeld

    Now that we are several months into an administration with an agenda of financial deregulation, one might reasonably believe financial institutions are in for several years of relative quiet from regulators. However, at least two factors raise the potential risk for a future wave of investigative activity, says Mark Schonfeld of Gibson Dunn & Crutcher LLP.