Morgan Stanley Rips Notice Claims In $2.5B RMBS Fight

Law360, New York (April 5, 2017, 9:17 PM EDT) -- Morgan Stanley on Wednesday asked a New York state judge to quash a pair of lawsuits brought by the trustee for more than $2.5 billion of toxic residential mortgage-backed securities, saying claims for the bank’s alleged failure to notify investors of breaching loans should not go forward.

The suits were originally brought by the Federal Housing Finance Agency on behalf of the trustees for the RMBS pools, which claimed Morgan Stanley failed to repurchase faulty residential mortgage loans pooled into securities that were sold to troubled mortgage giant Freddie Mac in 2007, in breach of its contractual obligations.

New York Supreme...

Stay ahead of the curve

In the legal profession, information is the key to success. You have to know what’s happening with clients, competitors, practice areas, and industries. Law360 provides the intelligence you need to remain an expert and beat the competition.


  • Access to case data within articles (numbers, filings, courts, nature of suit, and more.)
  • Access to attached documents such as briefs, petitions, complaints, decisions, motions, etc.
  • Create custom alerts for specific article and case topics and so much more!

TRY LAW360 FREE FOR SEVEN DAYS