Representative Experience

Following are some of the Structured Finance Litigation Team's principal activities and accomplishments over the past few years:

  • Representing a private investment firm with over $20 billion in assets under management in the enforcement of remedies relating to events of default that occurred in a multi-billion dollar revolving credit facility used by one of the largest mortgage servicers in the country to finance its operations;
  • Analyzed representations and warranties, "put-back" mechanics, direction and indemnity provisions, no action clauses, waterfalls, and other key aspects of PSAs and MLPAs for hundreds of separate RMBS transactions, and advised clients as to the risks and opportunities associated therewith;
  • Engaged and oversaw the work of seven different forensic loan file due diligence firms in their analysis of tens of thousands of mortgage loan files for breaches of representations and warranties;
  • Analyzed provisions of dozens of originators' underwriting guidelines pertaining to key issues in dispute, including origination standards applicable to "stated income" loans;
  • Worked with statisticians to develop sampling and extrapolation protocols to aid in analysis of breach rates in large pools of loans;
  • Advised clients in connection with "put-backs" associated with breaching loans as a result of findings of pervasive fraud, failure to adhere to applicable underwriting guidelines and misrepresentation of key loan characteristics (e.g., debt-to-income ratios and occupancy);
  • Assisted in the negotiation of repurchase obligations;
  • Represented numerous clients in the negotiation and execution of loan-by-loan and global settlements aggregating more than $2.5 billion;
  • Represented clients in connection with the bankruptcies of RMBS sponsors/originators;
  • Brought 23 lawsuits (including the following currently active lawsuits) on behalf of monoline insurers and investors against major financial institutions, involving several billion dollars in claims, including breach of representations and warranties and, in certain cases, fraud or violations of federal or state securities laws:
    • Ambac Assurance Corp. v. Countrywide Home Loans, Inc., Index No. 651612/10 (N.Y. Sup. Ct.)
    • Ambac Assurance Corp., et al. v. Countrywide Home Loans, Inc., et al., Index No. 653979/2014 (N.Y. Sup. Ct.)
    • Ambac Assurance Corp., et al. v. Countrywide Home Loans, Inc., No. 14-cv-3511 (Wis. Cir. Ct.)
    • MBIA Insurance Corp. v. Credit Suisse Securities (USA) LLC et al., Index No. 603751/09 (N.Y. Sup.)
    • Ambac Assurance Corp. v. First Franklin Financial Corporation et al., Index No. 651217/2012 (N.Y. Sup. Ct.)
    • Ambac Assurance Corp. v. Nomura Credit & Capital, Inc., Index No. 651359/2013 (N.Y. Sup. Ct.)
    • Financial Guaranty Insurance Company v. Credit Suisse Securities (USA) LLC, Index No. 651178/2013 (N.Y. Sup. Ct.)
    • Financial Guaranty Insurance Company v. Morgan Stanley ABS Capital I Inc., et al., Index No. 652853/2014 (N.Y. Sup. Ct.)
    • Financial Guaranty Insurance Company v. Morgan Stanley ABS Capital I Inc., et al., Index No. 652914/2014 (N.Y. Sup. Ct.)
    • NCUA v. Morgan Stanley & Co., No. 13-cv-6705 (S.D.N.Y.)
  • Implemented a number of servicer terminations and negotiated servicing transfers to improve collateral performance; and
  • Implemented amendments to numerous transaction documents to achieve various client objectives.