NY Panel Says Bear Fund Liquidators Suit Time-Barred

Law360, New York (February 10, 2017, 5:06 PM EST) -- A New York appeals court refused to revive a fraud suit by liquidators for two Bear Stearns & Co. Inc. feeder funds alleging the big three credit rating agencies lied about the creditworthiness of debt obligations backed by subprime mortgages, ruling Friday that the claims are time-barred.

The liquidators were seeking to revive allegations that Standard & Poor’s Financial Services LLC, Moody’s Investors Service Inc. and Fitch Ratings Inc. artificially boosted ratings of residential mortgage-backed securities, collateralized debt obligations and other structured finance products invested in by the funds — to reap lucrative fees from issuers — which ultimately caused losses...

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!