Author Archives: Isaac Gradman
BofA Settles Countrywide Suits with State Attorneys General for $8.68 billion. Deal Said to Provide Homeowners with More Relief than Federal Bailout
On October 6, California Attorney General Jerry Brown (pictured at left) announced that Bank of America, parent of Countrywide Financial Corp., had agreed to pay $8.68 billion to modify the home loans of over 400,000 homeowners in a negotiated settlement … Continue reading
Seventh Circuit Disallows Class Actions for TILA Violations
In August, I wrote about a major Seventh Circuit ruling on the way that could open the doors for borrowers to file class actions against mortgage lenders to rescind their loans. On September 24, the Seventh Circuit issued its ruling, … Continue reading
Not-So-Free Market: Group of Large Hedge Funds Expected to Sue FSA Over Short-Selling Ban
Thanks to Bryan Carter and the Tuscan Group for passing along this article on the litigation expected to arise from the U.K. regulator’s decision to ban short-selling for financial company stocks. On September 18, England’s Financial Services Authority (FSA) announced … Continue reading
Desperate to Stem Tide of the Credit Crisis, Fed and Treasury Propose What Could Be Largest Bailout in U.S. History. How Far Will the Fed Go?
In another desperate move to inject liquidity into the marketplace, the heads of the Fed and the Treasury began discussions with Congress late yesterday on legislation that would allow the Government to purchase hundreds of billions of dollars of depressed … Continue reading
Fed Takeover of Freddie and Fannie May Provide Temporary Stability, But Is it Just a Band-Aid?
By now, most have heard the news that the Federal Government stepped in on Sunday to exercise the authority granted to it by Congress in July to bail out government sponsored enterprises (GSEs) Freddie Mac and Fannie Mae. The major … Continue reading
