Subprime/Credit Crisis Developments

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A federal judge recently denied motions by Credit Suisse First Boston Corp. (“Credit Suisse”) and other defendants to dismiss a lawsuit brought by Bankers Life Insurance Company (“Bankers Life”) over subprime-mortgage-backed bonds that Bankers Life purchased from Credit Suisse. 

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Read More Federal Judge Refuses to Dismiss Subprime Bond Purchaser Action Against Credit Suisse

The Federal Deposit Insurance Company (“FDIC”), as conservator of IndyMac Federal Bank F.S.B. (“IndyMac”), recently filed a complaint seeking a declaration that PMI Mortgage Insurance Corp. (“PMI”) could not rescind coverage for 5,565 residential mortgages. IndyMac Federal Bank F.SB. by the Federal Deposit Ins. Corp. as Conservator v. PMI Mortgage Ins. Co., No. 08-CV-04303 (N.D. Cal. Sept. 12, 2008). 

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Read More FDIC Sues IndyMac’s Primary Mortgage Insurer, PMI, Over Coverage for $1.9 Billion in Outstanding Mortgages

BP Corporation North America Inc. Savings Plan Investment Oversight Committee and BP Corporation North America Inc. Investment Committee (the “BP Plan Committees”), named fiduciaries of various BP employee pension and savings plans, recently brought suit against Northern Trust Investments, N.A. and The Northern Trust Company (“Northern Trust”).  The suit alleges that Northern Trust conducted excessive and inappropriately risky securities lending leading to substantial losses in the Plans’ accounts. …
Read More BP Employee Plan Committees File Lawsuit Over Securities Lending

Yesterday, the Edwards Angell Palmer & Dodge team of Nick Pearson, Mark Everiss and Nick Stern continued to attend the 2008 AIRROC/Cavell Commutations Event. During the course of the day they held a series of meetings and took part in the later conference activities. …
Read More 2008 AIRROC/Cavell Commutations Event

Mark Everiss, Selinda Melnik, Nick Pearson, Mary Pat Cormier and Nick Stern of Edwards Angell Palmer & Dodge attended the second day of the AIRROC/Cavell Commutation & Networking Event 2008. Selinda Melnik and Mary Pat Cormier hosted a very  well attended Women’s Networking Lunch. 

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Read More AIRROC/Cavell Commutation & Networking Event 2008

The United States Bankruptcy Court for the District of Massachusetts recently denied a mortgage purchaser’s Motion for Relief from Automatic Stay of Chapter 13 proceedings on the ground that the purchaser lacked standing where it could not provide documentary evidence showing each transfer of the mortgage. …
Read More Massachusetts Bankruptcy Court: Purchaser of Mortgage Lacks Standing to Seek Relief From Bankruptcy Stay to Foreclose Where It Lacks Evidence of Transfers of Mortgage

The 2008 AIRROC/Cavell Commutation & Networking Event in New Jersey USA, which began yesterday and lasts until Wednesday, is being attended by Nick Pearson, Mary Pat Cormier, Selinda Melnik and Nick Stern of Edwards Angell Palmer & Dodge. 

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Read More AIRROC/Cavell Commutation & Networking Event 2008

Last week, the Australian Government passed legislation in response to the global financial crisis.  Of particular interest to insurers is the Financial System Legislation Amendment (Financial Claims Scheme and Other Measures) Bill 2008 (the “FCS Bill”), which is designed to assist policyholders should a general insurer become insolvent.  A general insurer is an insurer licensed to transact insurance business in Australia and includes foreign insurers. 

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Read More Australia Passes Financial Stability Package

As previously reported here, a PFBB Bancorp (“PFBB”) shareholder filed a derivative action against PFBB’s directors in the Delaware Chancery Court, New Castle County, on September 22, 2008 (a copy of the complaint can be found here). …
Read More Delaware Court Declines to Delay Merger Pending Finalization of the Terms of Government’s $700 Billion Bailout