http://www.lexisnexis.com/mealeys/news.aspx Headline Financial Services Litigation News from LexisNexis® en-us http://www.lexisnexis.com/mealeys/images/lexismealeyslogo.gif 130 29 http://www.lexisnexis.com/mealeys/news.aspx Copyright 2014 http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=6-4%20LexisNexis%20Financial%20Serv.%20Lit.%20Rep.%201%20(2014)&view=full&ORIGINATION_CODE=00144 target='_blank' WASHINGTON, D.C. - The Department of Justice (DOJ) and the Consumer Financial Protection Bureau (CFPB) on June 19 announced a settlement to resolve allegations that GE Capital Retail Bank, known as of this month as Synchrony Bank, "engaged in a nationwide pattern or practice of discrimination by excluding Hispanic borrowers from two of its credit card debt-repayment programs," the federal government's largest credit card discrimination settlement ever, according to the DOJ (United States of America v. Synchrony Bank, formerly known as GE Capital Retail Bank, No. 14-0454, D. Utah). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=6-4%20LexisNexis%20Financial%20Serv.%20Lit.%20Rep.%202%20(2014)&view=full&ORIGINATION_CODE=00144 target='_blank' LAS VEGAS - The president of a company that the Federal Trade Commission said made more than $24 million via unauthorized debits and charges to victims' credit cards has agreed to pay $25 million to settle the FTC's charges, according to a stipulated order for permanent injunction and monetary judgment a Nevada federal judge issued June 5 (Federal Trade Commission v. Ideal Financial Solutions Inc., et al., No. 13-0143, D. Nev.) http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=6-4%20LexisNexis%20Financial%20Serv.%20Lit.%20Rep.%203%20(2014)&view=full&ORIGINATION_CODE=00144 target='_blank' ORLANDO, Fla. - A federal judge in Florida on May 29 granted preliminary approval to a $10 million settlement that would allow Bank of America NA (USA) to exit a class action alleging that the bank charged late fees to the credit card accounts of consumers who made their payments on time (Heydee De Leon v. Bank of America NA (USA), No. 09-1251, M.D. Fla.). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=6-4%20LexisNexis%20Financial%20Serv.%20Lit.%20Rep.%204%20(2014)&view=full&ORIGINATION_CODE=00144 target='_blank' ST. LOUIS - Sam's Club violated the Fair and Accurate Transactions Act (FACTA) by disclosing parts of credit card numbers on receipts, but the violation was not willful, the Eighth Circuit U.S. Court of Appeals said June 5, affirming the dismissal of a putative class action (Steven E. Hammer, et al. v. Sam's East, et al., Nos. 12-3724, 12-3858, 8th Cir.; 2014 U.S. App. LEXIS 10452). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=6-4%20LexisNexis%20Financial%20Serv.%20Lit.%20Rep.%205%20(2014)&view=full&ORIGINATION_CODE=00144 target='_blank' SAN FRANCISCO - Redbox Automated Retail LLC did not violate California's Song-Beverly Act because its collection of customer information fell within an exception where the customer's credit card was used as a deposit to secure payment in the event of loss or late return, the Ninth Circuit U.S. Court of Appeals said June 6, affirming a federal court's dismissal of a putative class action (John Sinibaldi, et al. v. Redbox Automated Retail LLC, No. 12-55234, 9th Cir.; 2014 U.S. App. LEXIS 10556). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=6-4%20LexisNexis%20Financial%20Serv.%20Lit.%20Rep.%206%20(2014)&view=full&ORIGINATION_CODE=00144 target='_blank' MIAMI - A cruise company has agreed to the settlement of a suit in which it alleged that a bank and credit card processor charged an acquirer support fee (ASF) and chargeback insurance fees that were not included or scheduled in a credit card processing service agreement, according to a document the cruise company filed in a Florida federal court (MSC Cruises $(USA$) Inc. v. Merrick Bank Corp., et al., No. 13-23462, S.D. Fla.). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=6-4%20LexisNexis%20Financial%20Serv.%20Lit.%20Rep.%207%20(2014)&view=full&ORIGINATION_CODE=00144 target='_blank' NEW YORK - A Second Circuit U.S. Court of Appeals panel on June 4 vacated a federal judge's order rejecting the Securities and Exchange Commission's $285 million proposed settlement with Citigroup Global Markets Inc. over alleged misstatements made regarding the investment quality of a collateralized debt obligation (CDO), ruling that the judge abused his discretion (U.S. Securities and Exchange Commission v. Citigroup Global Markets Inc., Nos. 11-5227, 11-5375 and 11-5242, 2nd Cir.). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=6-4%20LexisNexis%20Financial%20Serv.%20Lit.%20Rep.%208%20(2014)&view=full&ORIGINATION_CODE=00144 target='_blank' WASHINGTON, D.C. - The U.S. Supreme Court on June 16 vacated a lower court ruling denying dismissal of a consolidated National Credit Union Administration (NCUA) lawsuit against several financial institutions over their sale of residential mortgage-backed securities (RMBS) to two failed credit unions in violation of federal securities law (Nomura Home Equity Loan, et al. v. National Credit Union Administration, No. 13-576, U.S. Sup.). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=6-4%20LexisNexis%20Financial%20Serv.%20Lit.%20Rep.%209%20(2014)&view=full&ORIGINATION_CODE=00144 target='_blank' NEW YORK - A federal district court judge did not err in dismissing a securities class action lawsuit against Bank of America Corp. (BofA) because the judge properly determined that the shareholder failed to properly plead scienter in making its federal securities law claims, a Second Circuit U.S. Court of Appeals panel ruled May 19 (In re Bank of America AIG Disclosure Securities Litigation, No. 13-4422, 2nd Cir.; 2014 U.S. App. LEXIS 9197). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=6-4%20LexisNexis%20Financial%20Serv.%20Lit.%20Rep.%2010%20(2014)&view=full&ORIGINATION_CODE=00144 target='_blank' WASHINGTON, D.C. - A federal judge did not err in dismissing a securities lawsuit against an investment corporation and others because shareholders failed to plead a material misrepresentation, a District of Columbia Circuit U.S. Court of Appeals panel ruled May 20 (D.J. Wu, et al. v. John Crumpton Stomber, et al., No. 12-7088, D.C. Cir.; 2014 U.S. App. LEXIS 9292). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=6-4%20LexisNexis%20Financial%20Serv.%20Lit.%20Rep.%2011%20(2014)&view=full&ORIGINATION_CODE=00144 target='_blank' NEW YORK - A federal judge in New York on May 27 dismissed shareholders' claims that Morgan Stanley & Co. and others violated provisions of the federal securities laws by misrepresenting the investment quality of the securities they sold, ruling that the claims of certain new plaintiffs were untimely (In re Morgan Stanley Mortgage Pass-Through Certificates Litigation, No. 09-2137, S.D. N.Y.; 2014 U.S. Dist. LEXIS 72702). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=6-4%20LexisNexis%20Financial%20Serv.%20Lit.%20Rep.%2012%20(2014)&view=full&ORIGINATION_CODE=00144 target='_blank' WASHINGTON, D.C. - The U.S. Supreme Court on June 9 granted a stipulation of dismissal of claims against JPMorgan Chase & Co. Inc. and certain of its subsidiaries in a securities lawsuit filed by the trustee of Bernard L. Madoff Investment Securities (BLMIS) against a number of parties that failed to properly investigate Madoff's massive Ponzi scheme (Irving H. Picard v. JPMorgan Chase & Co., et al., No. 13-448, U.S. Sup.; See January 2014, Page 5). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=6-4%20LexisNexis%20Financial%20Serv.%20Lit.%20Rep.%2013%20(2014)&view=full&ORIGINATION_CODE=00144 target='_blank' NEW YORK - Finding the U.S. Supreme Court's ruling in Chadbourne & Park LLP v. Troice to confirm both the "logic and holding" of a Second Circuit U.S. Court of Appeals' ruling in an Bernard L. Madoff Investment Securities LLC (Madoff Securities) feeder fund lawsuit, a Second Circuit panel on May 28 declined to granted investors' motions for rehearing and rehearing en banc (In re: Herald, Primeo and Thema, Nos. 12-156 and 12-162, 2nd Cir.). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=6-4%20LexisNexis%20Financial%20Serv.%20Lit.%20Rep.%2014%20(2014)&view=full&ORIGINATION_CODE=00144 target='_blank' WASHINGTON, D.C. - The U.S. Supreme Court on June 16 declined to review a Second Circuit U.S. Court of Appeals' ruling upholding the conviction of hedge fund founder Raj Rajaratnam on claims that he violated federal securities law for his role in a massive insider trading scheme (Raj Rajaratnam v. United States of America, No. 13-1001, U.S. Sup.; See May 2014, Page 22). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=6-4%20LexisNexis%20Financial%20Serv.%20Lit.%20Rep.%2015%20(2014)&view=full&ORIGINATION_CODE=00144 target='_blank' DENVER - A federal district court did not err in dismissing a consumer's Fair Debt Collection Practices Act (FDCPA) lawsuit because the consumer failed to show that "lawful actions to collect judgment were within the reach of the statute," a 10th Circuit U.S. Court of Appeals panel ruled June 6 (James T. Davis v. Nebraska Furniture Mart Inc., et al., No. 13-3214, 10th Cir.; 2014 U.S. App. LEXIS 10546). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=6-4%20LexisNexis%20Financial%20Serv.%20Lit.%20Rep.%2016%20(2014)&view=full&ORIGINATION_CODE=00144 target='_blank' BROOKLYN, N.Y. - A debt collector's letter to a consumer seeking to settle a debt did not violate provisions of the Fair Debt Collection Practices Act (FDCPA) because its reference to "savings" that would result from the offered settlement was not misleading or deceptive, a federal judge in New York ruled June 11 (Isaac Altman v. J.C. Christensen & Associates Inc., No. 13-6502, E.D. N.Y.; 2014 U.S. Dist. LEXIS 79621). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=6-4%20LexisNexis%20Financial%20Serv.%20Lit.%20Rep.%2017%20(2014)&view=full&ORIGINATION_CODE=00144 target='_blank' ST. LOUIS - A federal judge in Missouri on June 13 granted in part and denied in part a motion to dismiss filed by a successor trustee in a lawsuit regarding the allegedly improper foreclosure on real property, ruling that although consumers adequately pleaded their Fair Debt Collection Practices Act (FDCPA), they have failed to plead claims under the Real Estate Settlement Procedures Act and a claim for negligence (John Stricklin v. Litton Loan Servicing L.P., et al., No. 13-1354, E.D. Mo.; 2014 U.S. Dist. LEXIS 80670). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=6-4%20LexisNexis%20Financial%20Serv.%20Lit.%20Rep.%2018%20(2014)&view=full&ORIGINATION_CODE=00144 target='_blank' FRESNO, Calif. - A federal magistrate judge in California on June 16 dismissed a consumer's Fair Debt Collection Practices Act (FDPCA) complaint against a debt collector, ruling that the consumer failed to properly state a claim for relief (Evelyn Chavez v. Access Capital Services Inc., No. 13-1037, E.D. Calif.; 2014 U.S. Dist. LEXIS 81626). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=6-4%20LexisNexis%20Financial%20Serv.%20Lit.%20Rep.%2019%20(2014)&view=full&ORIGINATION_CODE=00144 target='_blank' OCALA, Fla. - Dismissal of a consumer's state and federal debt collection law claims is warranted because they are time-barred under the statute of limitations, a Florida federal judge ruled June 11 (Gregory M. Crossman v. Asset Acceptance LLC, No. 14-115, M.D. Fla.; 2014 U.S. Dist. LEXIS 79529). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=6-4%20LexisNexis%20Financial%20Serv.%20Lit.%20Rep.%2020%20(2014)&view=full&ORIGINATION_CODE=00144 target='_blank' ATLANTA - A federal district court did not err in granting partial summary judgment in a Telephone Consumer Protection Act (TCPA) lawsuit against Wells Fargo Bank N.A. because the bank violated provisions of the act when it contacted a consumer to collect on a debt using an autodialing system without the consent of the "called party," an 11th Circuit U.S. Court of Appeals panel ruled in a June 5 opinion (Lynn Breslow v. Wells Fargo Bank N.A., doing business as Wachovia Bank N.A., No. 12-14565, 11th Cir.; 2014 U.S. App. LEXIS 10457). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=6-4%20LexisNexis%20Financial%20Serv.%20Lit.%20Rep.%2021%20(2014)&view=full&ORIGINATION_CODE=00144 target='_blank' ATLANTA - Federal law preempts claims that Regions Bank violated state law by charging out-of-state check-cashing fees, the 11th Circuit U.S. Court of Appeals ruled May 30, affirming a federal court's dismissal of a putative class action (Derek Pereira, et al. v. Regions Bank, No. 13-10458, 11th Cir.; 2014 U.S. App. LEXIS 10040). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=6-4%20LexisNexis%20Financial%20Serv.%20Lit.%20Rep.%2022%20(2014)&view=full&ORIGINATION_CODE=00144 target='_blank' ATLANTA - The 11th Circuit U.S. Court of Appeals on June 2 affirmed a federal court's award of nearly $1 million to the receiver of hedge funds operated as a Ponzi scheme by Arthur Nadel but reversed its denial of prejudgment interest, finding that a magistrate judge abused his discretion in making the recommendation (Burton Wiand v. Vernon Lee, et al., No. 13-10448, 11th Cir.; 2014 U.S. App. LEXIS 10154) http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=6-4%20LexisNexis%20Financial%20Serv.%20Lit.%20Rep.%2023%20(2014)&view=full&ORIGINATION_CODE=00144 target='_blank' NEW YORK - Independent outside auditor Ernst & Young LLP (E&Y) has agreed to settle claims that it violated federal securities law by misrepresenting the business and financial condition at Lehman Brothers Holdings Inc., according to court documents filed May 1 in New York federal court (In re Lehman Brothers Securities & ERISA Litigation, No. 09-md-2017; $(California Public Employees Retirement System v. Richard S. Fuld Jr., et al., No. 11-1281$) S.D. N.Y.). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=6-4%20LexisNexis%20Financial%20Serv.%20Lit.%20Rep.%2024%20(2014)&view=full&ORIGINATION_CODE=00144 target='_blank' KANSAS CITY, Kan. - A Kansas federal judge on June 6 mostly denied a motion to dismiss by a maker of bitcoin miners, finding that a customer had sufficiently alleged fraud, negligent misrepresentation and consumer protection violations to survive dismissal (Martin Meissner v. BF Labs Inc., No. 2:13-cv-02617, D. Kan.; 2014 U.S. Dist. LEXIS 77135). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=6-4%20LexisNexis%20Financial%20Serv.%20Lit.%20Rep.%2025%20(2014)&view=full&ORIGINATION_CODE=00144 target='_blank' HONOLULU - A federal judge in Hawaii on June 16 dismissed an amended complaint filed by consumers who alleged that a credit card company and credit ratings agencies violated provisions of the Fair Credit Reporting Act (FCRA) by failing to correct their credit reports to show that timely payments had been made on a credit card, ruling that the consumers failed to state a claim against certain defendants (Norman Katz, et al. v. American Express Co., et al., No. 14-0084, D. Hawaii; 2014 U.S. Dist. LEXIS 82204). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=6-4%20LexisNexis%20Financial%20Serv.%20Lit.%20Rep.%2026%20(2014)&view=full&ORIGINATION_CODE=00144 target='_blank' SALT LAKE CITY - A federal judge in Utah on May 23 granted eBay Inc. and PayPal Inc. affiliate Bill Me Later's (BML) motion to dismiss a putative class action in which a consumer alleges that the interest rates charged to him on a computer purchase were illegal, finding that he inadequately attempted to identify BML as the true lender or real party in interest (Kyle Sawyer v. Bill Me Later, et al., No. 11-0988, D. Utah; 2014 U.S. Dist. LEXIS 71261). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=6-4%20LexisNexis%20Financial%20Serv.%20Lit.%20Rep.%2027%20(2014)&view=full&ORIGINATION_CODE=00144 target='_blank' DALLAS - A Texas appeals court on May 23 rejected payday lending companies' challenge to restrictions the City of Dallas placed on credit access businesses' (CABs) short-term loans, finding that a trial court did not err in holding that it did not have equity jurisdiction or subject matter jurisdiction over the claims (Consumer Service Alliance of Texas Inc., et al. v. City of Dallas, Texas, No. 05-13-00255, Texas App., 5th Dist.). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=6-4%20LexisNexis%20Financial%20Serv.%20Lit.%20Rep.%2028%20(2014)&view=full&ORIGINATION_CODE=00144 target='_blank' SAN FRANCISCO - A California federal judge on May 29 dismissed a suit alleging that credit reporting agency DataX Ltd. provided reports to scam operators, finding that a consumer has not shown that the agency furnished a report about him to anyone connected to the scam (David Karrigan v. DataX Ltd., et al., No. 13-2995, N.D. Calif.; 2014 U.S. Dist. LEXIS 74094). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=6-4%20LexisNexis%20Financial%20Serv.%20Lit.%20Rep.%2029%20(2014)&view=full&ORIGINATION_CODE=00144 target='_blank' WILMINGTON, Del. - The Delaware Supreme Court on May 28 found that a suit the Washington Mutual Inc. (WMI) liquidating trust filed seeking coverage from directors and officers insurers is not yet ripe for adjudication and reversed a lower court's ruling (XL Specialty Insurance Co., et al. v. WMI Liquidating Trust, No. 499, 2013, Del. Sup.; 2014 Del. LEXIS 230). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=6-4%20LexisNexis%20Financial%20Serv.%20Lit.%20Rep.%2030%20(2014)&view=full&ORIGINATION_CODE=00144 target='_blank' SAN ANTONIO - A federal judge in Texas on June 11 dismissed a suit alleging breach of contract and other claims against the failed First National Bank,as the manager of an apartment complex, finding that the plaintiffs' failure to file a claim with the Federal Deposit Insurance Corp. bars the court's jurisdiction over the case (Jimmy Mack, et al. v. First National Bank, et al., No. 13-1104, W.D. Texas; 2014 U.S. Dist. LEXIS 79583). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=6-4%20LexisNexis%20Financial%20Serv.%20Lit.%20Rep.%2031%20(2014)&view=full&ORIGINATION_CODE=00144 target='_blank' OPELIKA, Ala. - A federal judge in Alabama on June 13 dismissed a landlord's complaint alleging that he did not receive rent payments from a tenant in a building mortgaged to the failed Frontier Bank but denied the Federal Deposit Insurance Corp.'s motion to pay interpleaded funds (Wayne Ray v. Federal Deposit Insurance Corp., et al., No. 13-0375, M.D. Ala.; 2014 U.S. Dist. LEXIS 81465). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=6-4%20LexisNexis%20Financial%20Serv.%20Lit.%20Rep.%2032%20(2014)&view=full&ORIGINATION_CODE=00144 target='_blank' ST. PAUL, Minn. - A federal judge in Minnesota on June 10 certified a class of plaintiffs in a suit in which an ATM operator is alleged to have violated the Electronic Fund Transfer Act (EFTA) by not placing a prominent fee notice on its machine and denied the operator's motion to dismiss, finding that the pre-amendment version of the EFTA applies to the plaintiffs' claim (Margaret Gawarecki, et al. v. ATM Network Inc., No. 11-1923, D. Minn.; 2014 U.S. Dist. LEXIS 78735). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=6-4%20LexisNexis%20Financial%20Serv.%20Lit.%20Rep.%2033%20(2014)&view=full&ORIGINATION_CODE=00144 target='_blank' HOUSTON - A Texas appeals panel on June 12 denied an insurer's motion to reconsider its March 11 ruling that an ATM operator suffered a covered loss under its insurance policy when an armored truck company stole $16 million (Certain Underwriters at Lloyd's of London subscribing to policy number: FINFR0901509 v. Cardtronics Inc., No. 13-0165, Texas App., 1st Dist.; 2014 Tex. App. LEXIS 6398). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=6-3%20LexisNexis%20Financial%20Serv.%20Lit.%20Rep.%201%20(2014)&view=full&ORIGINATION_CODE=00144 target='_blank' CENTRAL ISLIP, N.Y. - A federal judge in New York on May 2 granted preliminary approval of a $280 million securities class action settlement between investors and J.P. Morgan Corp. affiliates and certain of their officers and directors for misrepresenting the investment quality of certain residential mortgage-backed securities the defendants sold in violation of federal securities laws (Plumbers' and Pipefitters' Local #562 Supplemental Plan and Trust, et al. v. J.P. Morgan Corp. I, et al., No. 08-1713, E.D. N.Y.). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=6-3%20LexisNexis%20Financial%20Serv.%20Lit.%20Rep.%202%20(2014)&view=full&ORIGINATION_CODE=00144 target='_blank' NEW YORK - First Horizon National Corp., certain of its subsidiaries and others will pay $110 million to settle claims that they violated state and federal securities laws in misrepresenting the investment quality of nearly $883 million in residential mortgage-backed securities that were sold to Fannie Mae and Freddie Mac (collectively, government-sponsored agencies or GSEs), the Federal Housing Finance Agency (FHFA) announced April 29 (Federal Housing Finance Agency v. First Horizon National Corp., No. 11-6193, S.D. N.Y.). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=6-3%20LexisNexis%20Financial%20Serv.%20Lit.%20Rep.%203%20(2014)&view=full&ORIGINATION_CODE=00144 target='_blank' NEW YORK - A federal district court did not err in dismissing a federal securities class action lawsuit, a Second Circuit U.S. Court of Appeals panel ruled May 6, because, among other things, the shareholders' claims were precluded under the U.S. Supreme Court's ruling in Morrison v. National Australia Bank, Ltd. (City of Pontiac Policemen's and Firemen's Retirement System, et al. v. UBS AG, et al., No. 12-4355, 2nd Cir.; 2014 U.S. App. LEXIS 8533). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=6-3%20LexisNexis%20Financial%20Serv.%20Lit.%20Rep.%204%20(2014)&view=full&ORIGINATION_CODE=00144 target='_blank' PASADENA, Calif. - A federal district court did not err in dismissing a shareholder's securities class action complaint against outside auditor Ernst & Young LLP (E&Y) because the shareholder failed to state a claim for relief, a Ninth Circuit U.S. Court of Appeals panel ruled April 24 (Michael B. Coady, et al. v. IndyMac Bancorp Inc., et al., No. 12-56216, 9th Cir.; 2014 U.S. App. LEXIS 7711). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=6-3%20LexisNexis%20Financial%20Serv.%20Lit.%20Rep.%205%20(2014)&view=full&ORIGINATION_CODE=00144 target='_blank' CHICAGO - The federal judge presiding over the putative investor class action against bitcoin exchange operator MtGox Inc. in the U.S. District Court for the Northern District of Illinois on May 9 issued an order staying the proceedings and granting a stipulated settlement between the class and principals of MtGox (Gregory Greene v. MtGox Inc., et al., No. 14-01437, N.D. Ill.). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=6-3%20LexisNexis%20Financial%20Serv.%20Lit.%20Rep.%206%20(2014)&view=full&ORIGINATION_CODE=00144 target='_blank' CHICAGO - The putative class of investors suing bankrupt bitcoin exchange operator MtGox Inc. alleging civil conspiracy on April 28 moved in the U.S. District Court for the Northern District of Illinois for approval of a settlement in which the company would immediately distribute to members of the exchange $116 million and would establish a new exchange in which members of the old exchange would receive a 16.5 percent interest (Gregory Greene v. MtGox, et al., No. 14-01437, N.D. Ill.). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=6-3%20LexisNexis%20Financial%20Serv.%20Lit.%20Rep.%207%20(2014)&view=full&ORIGINATION_CODE=00144 target='_blank' WASHINGTON, D.C. - A certain level of risk is associated with investing in bitcoin and other forms of virtual currency of which investors must be aware, the Securities and Exchange Commission reported in an investor alert issued May 8. http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=6-3%20LexisNexis%20Financial%20Serv.%20Lit.%20Rep.%208%20(2014)&view=full&ORIGINATION_CODE=00144 target='_blank' NEW YORK - Independent outside auditor Ernst & Young LLP (E&Y) has agreed to settle claims that it violated federal securities law by misrepresenting the business and financial condition at Lehman Brothers Holdings Inc., according to court documents filed May 1 in New York federal court (In re Lehman Brothers Securities & ERISA Litigation, No. 09-md-2017; $(California Public Employees Retirement System v. Richard S. Fuld Jr., et al., No. 11-1281$) S.D. N.Y.). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=6-3%20LexisNexis%20Financial%20Serv.%20Lit.%20Rep.%209%20(2014)&view=full&ORIGINATION_CODE=00144 target='_blank' ATLANTA - The 11th Circuit U.S. Court of Appeals on May 6 disagreed with a district court's ruling that amendment of a complaint alleging that Wells Fargo Bank N.A. aided and abetted a Ponzi scheme would be futile, vacating the lower court's decision (Jonathan E. Perlman v. Wells Fargo Bank N.A., No. 12-14345, 11th Cir.; See August 2012, Page 80). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=6-3%20LexisNexis%20Financial%20Serv.%20Lit.%20Rep.%2010%20(2014)&view=full&ORIGINATION_CODE=00144 target='_blank' NEW YORK - OneBeacon Midwest Insurance Co. did not breach a bank's professional liability insurance policy since claims made by the Federal Deposit Insurance Corp. against the bank's former directors are not "Interrelated Wrongful Acts," a federal judge in New York ruled May 8 (Donald G. Glascoff Jr., et al., v. OneBeacon Midwest Insurance Co., et al., No. 13-1013, S.D. N.Y.; 2014 U.S. Dist. LEXIS 64858). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=6-3%20LexisNexis%20Financial%20Serv.%20Lit.%20Rep.%2011%20(2014)&view=full&ORIGINATION_CODE=00144 target='_blank' LAS VEGAS - Progressive Casualty Insurance Co. must produce certain documents but may apply "privilege filters" to and withhold certain documents, a federal magistrate judge in Nevada ruled May 20 in a suit in which Progressive seeks a declaration that its directors and officers (D&I) policy does not provide coverage for suits the Federal Deposit Insurance Co (FDIC-R)., as the receiver for failed banks, has brought against the former directors and officers of those banks (Progressive Casualty Insurance Co. v. Jackie K. Delaney, et al., No. 11-0678, D. Nev.; 2014 U.S. Dist. LEXIS 69166). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=6-3%20LexisNexis%20Financial%20Serv.%20Lit.%20Rep.%2012%20(2014)&view=full&ORIGINATION_CODE=00144 target='_blank' KANSAS CITY, Mo. - A federal judge in Missouri on March 29 dismissed the Federal Deposit Insurance Corp. from a suit filed by an investor in a golf course development, finding that the investor would not receive monetary relief even if it prevailed on its breach of contract claim against the FDIC, as the receiver for the failed Hillcrest Bank (Quintero Community Association Inc., et al. v. Federal Deposit Insurance Corp., et al., No. 11-0893, W.D. Mo.; 2014 U.S. Dist. LEXIS 58934). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=6-3%20LexisNexis%20Financial%20Serv.%20Lit.%20Rep.%2013%20(2014)&view=full&ORIGINATION_CODE=00144 target='_blank' DENVER - A federal judge on May 15 denied a special district's motion to file an amended complaint against U.S. Bank National Association, which it alleges failed to pay a shortfall amount related to property the bank acquired after the failure of another bank, holding that amending would be "untimely, prejudicial, and futile" (MidCities Metropolitan District No. 1 v. U.S. Bank National Association, No. 12-3322, D. Colo.; 2014 U.S. Dist. LEXIS 66978). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=6-3%20LexisNexis%20Financial%20Serv.%20Lit.%20Rep.%2014%20(2014)&view=full&ORIGINATION_CODE=00144 target='_blank' SPOKANE, Wash. - A federal judge in Washington on May 16 denied a motion to reconsider his summary judgment award to the Federal Deposit Insurance Corp. in a suit arising from property leased by a bank that failed, reiterating that under the Financial Institutions Reform, Recovery and Enforcement Act of 1989 (FIRREA), the FDIC has the authority to repudiate contracts and leases (BKWSPOKANE LLC v. Federal Deposit Insurance Corp., et al., No. 12-0521, E.D. Wash.; 2014 U.S. Dist. LEXIS 67967). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=6-3%20LexisNexis%20Financial%20Serv.%20Lit.%20Rep.%2015%20(2014)&view=full&ORIGINATION_CODE=00144 target='_blank' ORLANDO, Fla. - A federal judge in Florida on May 16 denied a motion to dismiss a counterclaim against Branch Banking & Trust Co. (BB&T) in a suit arising from a loan BB&T acquired after the failure of Colonial Bank, finding that Colonial's business recommendations and the financial benefit Colonial received are both sufficiently alleged (Branch Banking and Trust Company v. National Financial Services LLC, et al., No. 13-1983, M.D. Fla.; 2014 U.S. Dist. LEXIS 67554). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=6-3%20LexisNexis%20Financial%20Serv.%20Lit.%20Rep.%2016%20(2014)&view=full&ORIGINATION_CODE=00144 target='_blank' BALTIMORE - A federal judge in Maryland on May 9 granted a debt collector's motion to compel arbitration in a Fair Debt Collection Practices Act (FDCPA) lawsuit, ruling that the claims brought are subject to an arbitration agreement between a consumer and AT&T Wireless (Luciena S. Grant-Fletcher v. Collecto Inc., No. 13-3505, D. Md.; 2014 U.S. Dist. LEXIS 64163). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=6-3%20LexisNexis%20Financial%20Serv.%20Lit.%20Rep.%2017%20(2014)&view=full&ORIGINATION_CODE=00144 target='_blank' DETROIT - A federal judge in Michigan on May 15 granted in part and denied in part a consumer's motion to amend his complaint against a debt collector to add claims and defendants in a lawsuit alleging that the debt collector violated provisions of the Fair Debt Collection Practices Act (FDCPA) (Michael Litt v. Midland Credit Management Inc., No. 13-12393, E.D. Mich.; 2014 U.S. Dist. LEXIS 66658). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=6-3%20LexisNexis%20Financial%20Serv.%20Lit.%20Rep.%2018%20(2014)&view=full&ORIGINATION_CODE=00144 target='_blank' BUFFALO, N.Y. - A federal magistrate judge in New York on May 13 denied a consumer's request to file a third amended complaint against debt collectors for alleged violations of federal debt collection laws, ruling that the consumer's amendments are futile because they don't provide any new claims for relief (Michael Hallmark v. Cohen & Slamowitz LLP, et al., No. 11-0842, W.D. N.Y.; 2014 U.S. Dist. LEXIS 68797). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=6-3%20LexisNexis%20Financial%20Serv.%20Lit.%20Rep.%2019%20(2014)&view=full&ORIGINATION_CODE=00144 target='_blank' INDIANAPOLIS - A federal judge in Indiana on May 19 dismissed a consumer's Fair Debt Collection Practices Act (FDCPA) lawsuit against a debt collector, ruling that the consumer failed to state a claim for relief (Patricia Whitlow v. FMS Inc., No. 13-1507, S.D. Ind.; 2014 U.S. Dist. LEXIS 68413). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=6-3%20LexisNexis%20Financial%20Serv.%20Lit.%20Rep.%2020%20(2014)&view=full&ORIGINATION_CODE=00144 target='_blank' PHOENIX - A federal judge in Arizona on May 19 ruled that a debt collector is not entitled to sanctions against an attorney representing plaintiffs in an action against it because the debt collector has failed to show that it is entitled to any sanctions (Michael A. Collier, et al. v. Gurstel Chargo PA, No. 12-2161, D. Ariz.; 2014 U.S. Dist. LEXIS 68452). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=6-3%20LexisNexis%20Financial%20Serv.%20Lit.%20Rep.%2021%20(2014)&view=full&ORIGINATION_CODE=00144 target='_blank' ST. LOUIS - A federal judge in Missouri on May 16 granted a debt collector's motion for summary judgment, ruling that a consumer failed to show that debt collector's actions in attempting to collect on a debt violated provisions of the Fair Debt Collection Practices Act (FDCPA) (Donna J. May v. NCEP LLC, No. 13-1583, E.D. Mo.; 2014 U.S. Dist. LEXIS 67514). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=6-3%20LexisNexis%20Financial%20Serv.%20Lit.%20Rep.%2022%20(2014)&view=full&ORIGINATION_CODE=00144 target='_blank' NASHVILLE, Tenn. - A federal judge in Tennessee on May 16 dismissed a consumer's Fair Debt Collection Practices Act (FDCPA) lawsuit against several debt collectors and certain of their agents, ruling that the consumer failed to state a claim for relief (Kimberly Weatherford v. LVNV Funding LLC, et al., No. 13-0885, M.D. Tenn.; 2014 U.S. Dist. LEXIS 67671). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=6-3%20LexisNexis%20Financial%20Serv.%20Lit.%20Rep.%2023%20(2014)&view=full&ORIGINATION_CODE=00144 target='_blank' GREENBELT, Md. - A federal judge in Maryland on May 14 granted a law firm's motion to dismiss a debt collection lawsuit filed by a property owner, ruling that the property owner has failed to state a claim for relief (Dawud Best v. Samuel I. White P.C., No. 13-3164, D. Md.; 2014 U.S. Dist. LEXIS 66458). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=6-3%20LexisNexis%20Financial%20Serv.%20Lit.%20Rep.%2024%20(2014)&view=full&ORIGINATION_CODE=00144 target='_blank' KANSAS CITY, Kan. - A federal magistrate judge in Kansas on May 14 stayed a consumer lawsuit against a debt collector for alleged violations of the Telephone Consumer Protection Act (TCPA), ruling that the instant action must be stayed under the primary jurisdiction doctrine until the Federal Communications Commission has a chance to make rulings on the issue present in the action (Tamara L. Higgenbotham v. Diversified Consultants Inc., No. 13-2624, D. Kan.; 2014 U.S. Dist. LEXIS 65915). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=6-3%20LexisNexis%20Financial%20Serv.%20Lit.%20Rep.%2025%20(2014)&view=full&ORIGINATION_CODE=00144 target='_blank' FORT LAUDERDALE, Fla. - A consumer filed a class action complaint against a mortgage lender on May 11 in Florida federal court, alleging that the mortgage lender violated provisions of the Telephone Consumer Protection Act (TCPA) in attempting to solicit its products (Christopher Legg v. Quicken Loans Inc., No. 14-61116, S.D. Fla.). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=6-3%20LexisNexis%20Financial%20Serv.%20Lit.%20Rep.%2026%20(2014)&view=full&ORIGINATION_CODE=00144 target='_blank' ATLANTA - A federal district court erred in dismissing an investor lawsuit against their investment advisers for negligently investing in a feeder fund for Bernard L. Madoff's massive Ponzi scheme because the district court erred in applying the inquiry notice standard in its dismissal, an 11th Circuit U.S. Court of Appeals panel ruled April 28 (Quentin Walter, et al. v. Frank J. Avellino, et al., No. 13-13081, 11th Cir.; 2014 U.S. App. LEXIS 7901). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=6-3%20LexisNexis%20Financial%20Serv.%20Lit.%20Rep.%2027%20(2014)&view=full&ORIGINATION_CODE=00144 target='_blank' NEW YORK - American Express Co. and American Express Travel Related Services Co. Inc. (collectively, Amex) are not entitled to summary judgment on claims by the United States and 17 states that their rules preventing merchants from steering customers toward the use of another credit card violate federal antitrust law, a federal judge in New York ruled May 7 in denying Amex's motion for summary judgment (United States of America, et al. v. American Express Co., et al., No. 10-cv-4496, E.D. N.Y.; 2014 U.S. Dist. LEXIS 63169). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=6-3%20LexisNexis%20Financial%20Serv.%20Lit.%20Rep.%2028%20(2014)&view=full&ORIGINATION_CODE=00144 target='_blank' NEW YORK - Credit cardholders who claimed that credit-card issuers collusively adopted arbitration clauses barring class actions in violation of the Sherman Act failed to establish antitrust standing, a federal judge in New York ruled April 10 in dismissing the plaintiffs' claims for injunctive relief (Robert Ross, et al. v. American Express Company, et al., Nos. 04-5723, 05-7116, S.D. N.Y.; 2014 U.S. Dist. LEXIS 505502). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=6-3%20LexisNexis%20Financial%20Serv.%20Lit.%20Rep.%2029%20(2014)&view=full&ORIGINATION_CODE=00144 target='_blank' NEW YORK - The Second Circuit U.S. Court of Appeals on April 25 affirmed in part and vacated in part a federal court's dismissal of a putative securities fraud class action alleging that Barclays Bank PLC and its affiliates (collectively, Barclays) and former officers willfully misrepresented the bank's borrowing costs and knowingly submitted false London Interbank Offered Rate (Libor) information (Carpenters Pension Trust Fund, et al. v. Barclays PLC, et al., No. 13-2678, 2nd Cir.). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=6-3%20LexisNexis%20Financial%20Serv.%20Lit.%20Rep.%2030%20(2014)&view=full&ORIGINATION_CODE=00144 target='_blank' MEMPHIS, Tenn. - Wal-Mart Stores Inc. and an ATM operator have satisfied the safe harbor requirements of the Electronic Fund Transfer Act (EFTA), a federal judge in Tennessee ruled April 28, granting Wal-Mart and the operator's motions for summary judgment in a multidistrict litigation alleging that they violated the statute's ATM fee-notice provisions (In re: Wal-Mart ATM Fee Notice Litigation, No. 11-2234, W.D. Tenn.). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=6-3%20LexisNexis%20Financial%20Serv.%20Lit.%20Rep.%2031%20(2014)&view=full&ORIGINATION_CODE=00144 target='_blank' PROVIDENCE, R.I. - Progressive Casualty Insurance Co. owes a duty to defend a suit filed against Bank of Rhode Island (BankRI) pursuant to the bank's directors and officers (D&O) policy, a federal judge in Rhode Island ruled May 15 (Bank of Rhode Island v. Progressive Casualty Insurance Co., No. 13-0164, D. Rhode Island; 2014 U.S. Dist. LEXIS 67865). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=6-3%20LexisNexis%20Financial%20Serv.%20Lit.%20Rep.%2032%20(2014)&view=full&ORIGINATION_CODE=00144 target='_blank' ST. LOUIS - A federal judge in Missouri on May 20 upheld the Federal Deposit Insurance Corp.'s decision that breach of contract damages a former bank executive seeks would constitute a golden parachute payment requiring prior written approval from the FDIC (Jerry Von Rohr v. Reliance Bank, et al., No. 13-0232, E.D. Mo.; 2014 U.S. Dist. LEXIS 68904). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=6-3%20LexisNexis%20Financial%20Serv.%20Lit.%20Rep.%2033%20(2014)&view=full&ORIGINATION_CODE=00144 target='_blank' CHICAGO - A federal judge in Illinois on May 8 dismissed third-party claims in a class action suit alleging that a business violated the Fair and Accurate Transaction Act (FACTA) by printing credit and debit card information on customer receipts (Victoria Radaviciute v. S & K Lim Cleaners Inc., No. 12-6420, N.D. Ill.; 2014 U.S. Dist. LEXIS 63527). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=6-3%20LexisNexis%20Financial%20Serv.%20Lit.%20Rep.%2034%20(2014)&view=full&ORIGINATION_CODE=00144 target='_blank' NEW ORLEANS - A Louisiana federal judge on May 2 declined to certify a class of grocery store consumers suing over the chain's failure to truncate credit card expiration dates on receipts after determining that a class action is not a superior method to adjudicate the case (Robert Ticknor, et al. v. Rouse's Enterprises, LLC, No. 12-1151, E.D. La.; 2014 U.S. Dist. LEXIS 61371). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=6-3%20LexisNexis%20Financial%20Serv.%20Lit.%20Rep.%2035%20(2014)&view=full&ORIGINATION_CODE=00144 target='_blank' GREENBELT, Md. - A federal judge in Maryland on May 6 dismissed and refused to remand a suit seeking reimbursement from M&T Bank on a line of credit and alleging that the bank violated the False Claims Act, finding that the pro se plaintiffs failed to allege that M&T engaged in fraud against the federal government (Michael Haddad, et al. v. M&T Bank, No. 13-3542, D. Md.; 2014 U.S. Dist. LEXIS 63260). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=6-3%20LexisNexis%20Financial%20Serv.%20Lit.%20Rep.%2036%20(2014)&view=full&ORIGINATION_CODE=00144 target='_blank' OAKLAND, Calif. - An arbitrator must decide whether a consumer's California unfair competition law (UCL) class claims alleging deceptive lending practices should be arbitrated, based on the broad language of the loan agreement in question, a federal judge held May 7 (Paula Bernal v. Southwestern & Pacific Specialty Finance, Inc., d/b/a Check 'N Go, No. 12-05797, N.D. Calif.; 2014 U.S. Dist. LEXIS 63338). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=6-3%20LexisNexis%20Financial%20Serv.%20Lit.%20Rep.%2037%20(2014)&view=full&ORIGINATION_CODE=00144 target='_blank' CHICAGO - The U.S. Commodities Futures Trading Commission (CFTC) on April 16 filed a brief in the U.S. District Court for the Northern District of Illinois seeking a $645 million penalty against bankrupt Peregrine Financial Group Inc. for what it calls "blatant fraud" related to when Peregrine's leader misappropriated in excess of $210 million customer funds and made false statements to the CFTC (U.S. Commodities Futures Trading Commission v. Peregrine Financial Group Inc., et al., No. 12-05383, N.D. Ill.). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=6-3%20LexisNexis%20Financial%20Serv.%20Lit.%20Rep.%2038%20(2014)&view=full&ORIGINATION_CODE=00144 target='_blank' NEW YORK - The ResCap Liquidating Trust, as successor to Residential Funding Co. (RFC), an affiliate of bankrupt Residential Capital LLC (ResCap), on May 13 filed an adversary complaint against Bank of America and another bank in the U.S. Bankruptcy Court for the Southern District of New York, seeking to recover money connected to what it says are "defective" residential mortgage loans Bank of America sold to RFC (In Re: Residential Capital LLC, No. 12-12020, Chapter 11, S.D. N.Y. Bkcy.). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=6-3%20LexisNexis%20Financial%20Serv.%20Lit.%20Rep.%2039%20(2014)&view=full&ORIGINATION_CODE=00144 target='_blank' LOS ANGELES - Even though the number of accounting class action filings remained "relatively consistent" at 47 filings in 2013, market capitalization losses associated with such cases saw a rise over 2012, according to a report issued April 29 by economic and financial consulting firm Cornerstone Research. http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=6-2%20LexisNexis%20Financial%20Serv.%20Lit.%20Rep.%201%20(2014)&view=full&ORIGINATION_CODE=00144 target='_blank' WASHINGTON, D.C. - Fifth Third Bank and its employee stock ownership plan (ESOP) trustees in oral arguments on April 2 urged the U.S. Supreme Court to find that the Sixth Circuit U.S. Court of Appeals erred by holding that participants in the ESOP were not required to allege that the ESOP fiduciaries abused their discretion by remaining invested in employer stock to overcome the presumption that the trustees' decision to invest in employer stock was reasonable under the Employee Retirement Income Security Act (Fifth Third Bancorp, et al. v. John Dudenhoeffer, et al., No. 12-751, U.S. Sup.). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=6-2%20LexisNexis%20Financial%20Serv.%20Lit.%20Rep.%202%20(2014)&view=full&ORIGINATION_CODE=00144 target='_blank' WASHINGTON, D.C. - Bank of America Corp. on March 26 agreed to pay $9.3 billion to settle claims in four separate lawsuits that it, as well as Merrill Lynch & Co. and Countrywide Financial Corp., sold toxic, private-label, residential mortgage-backed securities (RMBS) to Fannie Mae and Freddie Mac in violation of state and federal securities laws, according to a press release issued by the Federal Housing Finance Agency (FHFA), as conservator for Fannie Mae and Freddie Mac (Federal Housing Finance Agency v. Bank of America Corp., et al., No. 11-6195, S.D. N.Y.; Federal Housing Finance Agency v. Countrywide Financial Corp., et al., No. 12-1059, C.D. Calif.; Federal Housing Finance Agency v. Merrill Lynch & Co., Inc., et al., No. 11-6202, S.D. N.Y.; and Federal Housing Finance Agency v. First Horizon National Corp., No. 11-6193, S.D. N.Y.). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=6-2%20LexisNexis%20Financial%20Serv.%20Lit.%20Rep.%203%20(2014)&view=full&ORIGINATION_CODE=00144 target='_blank' WASHINGTON, D.C. - Credit Suisse Holdings (USA) Inc., certain related companies and others have agreed to pay $885 million to settle claims that they violated state and federal securities laws in their offer and sale of mortgage-backed securities that were purchased by Fannie Mae and Freddie Mac, according to a press release issued by the Federal Housing Finance Agency (FHFA) on March 21 (Federal Housing Finance Agency v. Credit Suisse Holdings $(USA$) Inc., et al., No. 11-6200, S.D. N.Y.; and Federal Housing Finance Agency, as Conservator for the Federal Home Loan Mortgage Corp. v. Ally Financial Inc., et al., No. 11-7010, S.D. N.Y.). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=6-2%20LexisNexis%20Financial%20Serv.%20Lit.%20Rep.%204%20(2014)&view=full&ORIGINATION_CODE=00144 target='_blank' NEW YORK - Barclays Bank PLC and certain of its affiliates will pay $280 million to settle claims with the Federal Housing Finance Agency (FHFA) in two related lawsuits alleging that Barclays and its affiliates misrepresented the investment quality of certain residential mortgage-backed securities they sold to Fannie Mae and Freddie Mac in violation of state and federal securities laws, according to court documents released on April 24 (Federal Housing Finance Agency v. Barclays Bank PLC, et al., No. 11-6190, S.D. N.Y.; See November 2012, Page 38; and Federal Housing Finance Agency v. Ally Financial Inc., No. 11-7010, S.D. N.Y.; See December 2011, Page 46). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=6-2%20LexisNexis%20Financial%20Serv.%20Lit.%20Rep.%205%20(2014)&view=full&ORIGINATION_CODE=00144 target='_blank' KANSAS CITY, Kan. - A federal judge in Kansas on April 21 dismissed the National Credit Union Administration Board's remaining claims in a federal securities lawsuit, ruling that those claims are time-barred and not entitled to equitable tolling (National Credit Union Administration Board v. UBS Securities LLC, No. 12-2591, D. Kan.). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=6-2%20LexisNexis%20Financial%20Serv.%20Lit.%20Rep.%206%20(2014)&view=full&ORIGINATION_CODE=00144 target='_blank' WASHINGTON, D.C. - Bank of America N.A. and FIA Card Services N.A. on April 9 agreed to a Consumer Financial Protection Bureau consent order which requires them to pay approximately $727 million to consumers who were allegedly harmed by the bank illegally charging them for credit card "add-on" products (In the Matter of: Bank of America N.A., et al., No. 2014-CFPB-0004, CFPB). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=6-2%20LexisNexis%20Financial%20Serv.%20Lit.%20Rep.%207%20(2014)&view=full&ORIGINATION_CODE=00144 target='_blank' WASHINGTON, D.C. - The U.S. Supreme Court on April 21 denied a petition for writ of certiorari filed by a consumer to appeal the dismissal of her putative class complaint alleging that Target National Bank committed usury by charging more than the 7 percent maximum interest rate found in the National Banking Act (NBA) (Marie T. Giannangeli v. Target National Bank, No. 13-966, U.S. Sup.; 2014 U.S. LEXIS 2628). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=6-2%20LexisNexis%20Financial%20Serv.%20Lit.%20Rep.%208%20(2014)&view=full&ORIGINATION_CODE=00144 target='_blank' WASHINGTON, D.C. - The District of Columbia Circuit U.S. Court of Appeals on March 21 found that the Federal Reserve reasonably interpreted a Dodd-Frank Wall Street Reform and Consumer Protection Act amendment when it finalized rules limiting the fees debit card issuers could pass to retailers, known as "swipe fees," reversing a federal court's summary judgment in favor of merchants (NACS, et al. v. Board of Governors of the Federal Reserve System, No. 13-5270, D.C. Cir.; 2014 U.S. App. LEXIS 5299). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=6-2%20LexisNexis%20Financial%20Serv.%20Lit.%20Rep.%209%20(2014)&view=full&ORIGINATION_CODE=00144 target='_blank' CHICAGO - Following the largest retail data breach in U.S. history, a pair of banks on March 24 filed a putative class action in an Illinois federal court against Target Corp. and information security company Trustwave Holdings Inc., alleging that they failed to properly secure data (Trustmark National Bank, et al. v. Trustwave Holdings Inc., et al., No. 14-2069, N.D. Ill.). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=6-2%20LexisNexis%20Financial%20Serv.%20Lit.%20Rep.%2010%20(2014)&view=full&ORIGINATION_CODE=00144 target='_blank' FAYETTEVILLE, Ark. - Wal-Mart Stores Inc. and other retailers filed a complaint on March 25 in an Arkansas federal court against Visa U.S.A. Inc., alleging that Visa worked with banks to illegally inflate the "swipe fees" retailers pay for Visa transactions and requesting more than $5 billion in damages (Wal-Mart Stores Inc., et al. v. Visa U.S.A. Inc., et al., No. 14-5101, W.D. Ark.). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=6-2%20LexisNexis%20Financial%20Serv.%20Lit.%20Rep.%2011%20(2014)&view=full&ORIGINATION_CODE=00144 target='_blank' NEW YORK - A federal judge in New York on April 16 granted final judgment to a consolidated investor class action settlement against JPMorgan Chase & Co. and certain of its subsidiaries for their role in aiding Bernard L. Madoff's massive Ponzi scheme while acting as Madoff's primary banker (Paul Shapiro v. JPMorgan Chase & Co., et al., No. 11-8331, S.D. N.Y.; and Stephen and Leyla Hill v. JPMorgan Chase & Co., No. 11-7961, S.D. N.Y.). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=6-2%20LexisNexis%20Financial%20Serv.%20Lit.%20Rep.%2012%20(2014)&view=full&ORIGINATION_CODE=00144 target='_blank' NEW YORK - A federal jury on March 24 convicted five former employees of Bernard L. Madoff Investment Securities LLC (BLMIS) for their roles in perpetrating Madoff's massive Ponzi scheme (U.S. v. O'Hara, et al., No. 10-cr-0228, S.D. N.Y.). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=6-2%20LexisNexis%20Financial%20Serv.%20Lit.%20Rep.%2013%20(2014)&view=full&ORIGINATION_CODE=00144 target='_blank' NEW YORK - Bank of America Corp. and its former CEO have agreed to pay $25 million to settle claims that they and others misrepresented the financial state of Merrill Lynch & Co. Inc. before merging with the financial giant in violation of New York state law, according to a press release issued March 26 by New York State Attorney General Eric T. Schneiderman (The People of the State of New York by Eric T. Schneiderman, Attorney General of the State of New York, v. Bank of America Corp., et al., No. 450115/2010, N.Y. Sup., New York Co.). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=6-2%20LexisNexis%20Financial%20Serv.%20Lit.%20Rep.%2014%20(2014)&view=full&ORIGINATION_CODE=00144 target='_blank' WASHINGTON, D.C. - A South Dakota payday lender will pay $967,740 to the U.S. Treasury to settle the Federal Trade Commission's charges that it used unfair and deceptive tactics to collect on payday loans and forced debt-burdened consumers to travel to South Dakota and appear before a tribal court that did not have jurisdiction over their cases, the FTC announced April 11 (Federal Trade Commission v. Payday Financial LLC, et al., No. 11-3017, D. S.D.). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=6-2%20LexisNexis%20Financial%20Serv.%20Lit.%20Rep.%2015%20(2014)&view=full&ORIGINATION_CODE=00144 target='_blank' WASHINGTON, D.C. - Plaintiffs from a multidistrict litigation alleging that several banks rigged the London Interbank Offered Rate (Libor) on March 26 filed a petition for writ of certiorari in the U.S. Supreme Court, requesting that the high court decide whether a dismissed suit in a consolidated action can be immediately appealed, regardless of whether claims remain the consolidated action (Ellen Gelboim, et al. v. Credit Suisse Group AG, et al., No. 13-1174, U.S. Sup.). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=6-2%20LexisNexis%20Financial%20Serv.%20Lit.%20Rep.%2016%20(2014)&view=full&ORIGINATION_CODE=00144 target='_blank' SAN FRANCISCO - The Ninth Circuit U.S. of Appeals on March 27 reversed parts of a district court's decision that a mortgage borrower lacked standing to bring a suit alleging that Deutsche Bank National Trust and Barclays Bank manipulated London Interbank Offered Rate (Libor) to drive up mortgage rates, holding that the borrower did suffer injury from the alleged manipulation (Helen Galope v. Deutsche Bank National Trust, et al., No. 12-56892, 9th Cir.; 2014 U.S. App. LEXIS 5686). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=6-2%20LexisNexis%20Financial%20Serv.%20Lit.%20Rep.%2017%20(2014)&view=full&ORIGINATION_CODE=00144 target='_blank' WASHINGTON, D.C. - The U.S. Supreme Court on March 31 denied a borrower's petition for a writ of certiorari that sought review of a Third Circuit U.S. Court of Appeals' ruling affirming the dismissal of his lawsuit claiming that his mortgage lender failed to provide him with disclosures regarding the nature of his adjustable-rate mortgage (ARM) loan in violation of the Truth in Lending Act (TILA) and Real Estate Settlement Procedures Act (RESPA) (Kenneth J. Taggart v. Norwest Mortgage Inc., et al., No. 13-984, U.S. Sup.). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=6-2%20LexisNexis%20Financial%20Serv.%20Lit.%20Rep.%2018%20(2014)&view=full&ORIGINATION_CODE=00144 target='_blank' SAN JOSE, Calif. - A federal judge in California on March 24 dismissed a virtual currency provider's complaint against a number of its competitors, ruling that the provider lacks standing to bring its claims because it is not a competitor of the defendants and could not suffer a competitive disadvantage (Think Computer Corp. v. Dwolla Inc., et al., No. 13-2054, N.D. Calif.; 2014 U.S. Dist. LEXIS 38758). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=6-2%20LexisNexis%20Financial%20Serv.%20Lit.%20Rep.%2019%20(2014)&view=full&ORIGINATION_CODE=00144 target='_blank' PHILADELPHIA - Consumers filed a class action lawsuit against sellers of a virtual currency mining device seller and its founders on April 2 in Pennsylvania federal court, arguing that the defendants failed to provide the consumers with the devices they purchased (Craig Lenell, et al. v. Advanced Mining Technology Inc., et al., No. 14-1924, E.D. Pa.). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=6-2%20LexisNexis%20Financial%20Serv.%20Lit.%20Rep.%2020%20(2014)&view=full&ORIGINATION_CODE=00144 target='_blank' DALLAS - Bankrupt bitcoin exchange operator MtGox Co. Ltd. on March 20 issued a statement on its website saying that an investigation discovered 200,000 missing bitcoins in digital accounts that the company thought were empty (In Re: MtGox Co. Ltd., No. 14-31229, Chapter 15, N.D. Texas Bkcy.). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=6-2%20LexisNexis%20Financial%20Serv.%20Lit.%20Rep.%2021%20(2014)&view=full&ORIGINATION_CODE=00144 target='_blank' DALLAS - The federal bankruptcy judge presiding over the Chapter 11 case of bitcoin exchange operator MtGox Co. Ltd. on April 3 ordered the company's CEO to fly to the United States from Japan to be deposed, a source told the LexisNexis Bankruptcy Report (In Re: MtGox Co. Ltd., No. 14-31229, Chapter 15, N.D. Texas Bkcy.; See related stories in this issue). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=6-2%20LexisNexis%20Financial%20Serv.%20Lit.%20Rep.%2022%20(2014)&view=full&ORIGINATION_CODE=00144 target='_blank' DALLAS - The federal bankruptcy judge in the U.S. Bankruptcy Court for the Northern District of Texas presiding over the Chapter 11 case of bitcoin exchange operator MtGox Co. Ltd. on April 16 issued an order postponing the deposition of MtGox CEO Mark Karpeles until an undetermined date. Meanwhile, the provisional administrator in Japan issued a statement on April 16 saying the Tokyo District Court dismissed MtGox's application for commencement of civil rehabilitation proceedings (In Re: MtGox Co. Ltd., No. 14-31229, Chapter 15, N.D. Texas Bkcy.; See related stories in this issue). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=6-2%20LexisNexis%20Financial%20Serv.%20Lit.%20Rep.%2023%20(2014)&view=full&ORIGINATION_CODE=00144 target='_blank' CHICAGO - The putative class of investors who sued bankrupt bitcoin exchange operator MtGox Inc. alleging civil conspiracy on April 8 moved in the U.S. District Court for the Northern District of Illinois seeking a preliminary injunction freezing the company's assets in the United States, granting class certification and allowing expedited discovery (Gregory Greene v. MtGox, et al., No. 14-01437, N.D. Ill.; See related story in this issue). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=6-2%20LexisNexis%20Financial%20Serv.%20Lit.%20Rep.%2024%20(2014)&view=full&ORIGINATION_CODE=00144 target='_blank' CHICAGO - The investors who filed a putative class action against bankrupt Bitcoin exchange operator MtGox Co. Ltd. on April 7 moved in the U.S. District Court for the Northern District of Illinois for approval to use alternate means to serve notice on company CEO Mark Karpeles on grounds that they have attempted service through various means to no avail and that federal courts "routinely" permit alternate service when dealing with foreign defendants (Gregory Greene, et al. v. MtGox Inc., No. 14-01437, N.D. Ill.; See related story in this issue). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=6-2%20LexisNexis%20Financial%20Serv.%20Lit.%20Rep.%2025%20(2014)&view=full&ORIGINATION_CODE=00144 target='_blank' DALLAS - CoinLab Inc., a creditor in the Chapter 15 bankruptcy of bitcoin exchange operator MtGox Co. Ltd., on April 1 moved in the U.S. Bankruptcy Court for the Northern District of Texas to join a group of investors who seek to compel deposition testimony in the United States of MtGox's foreign representative (In Re: MtGox Co. Ltd.,. No. 14-31229, Chapter 15, N.D. Texas Bkcy.; See related stories in this issue). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=6-2%20LexisNexis%20Financial%20Serv.%20Lit.%20Rep.%2026%20(2014)&view=full&ORIGINATION_CODE=00144 target='_blank' DALLAS - Coinlab Inc., a creditor in the Chapter 15 bankruptcy of bitcoin exchange operator MtGox Co. Ltd., on April 15 filed a brief in the U.S. Bankruptcy Court for the Northern District of Texas opposing a motion filed by the company seeking to delay the deposition of MtGox CEO Mark Karpeles, arguing that the debtor has failed to show why a continuance is warranted, particularly in light of the fact that MtGox is "already well aware of issues concerning" federal agencies regarding homeland security and financial crimes (In Re: MtGox Co. Ltd.,. No. 14-31229, Chapter 15, N.D. Texas Bkcy.; See related stories in this issue). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=6-2%20LexisNexis%20Financial%20Serv.%20Lit.%20Rep.%2027%20(2014)&view=full&ORIGINATION_CODE=00144 target='_blank' BOSTON - Chartis Insurance Co. must advance defense costs to the former officers and directors of the Westernbank of Puerto Rico, the First Circuit U.S. Court of Appeals affirmed March 31, explaining that the former directors and officers must show only a "likelihood" of a "remote possibility" of coverage (W Holding Company Inc., et al. v. AIG Insurance Co. - Puerto Rico, et al., No. 12-2008, 1st Cir.; 2014 U.S. App. LEXIS 5943; See December 2013, Page 27). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=6-2%20LexisNexis%20Financial%20Serv.%20Lit.%20Rep.%2028%20(2014)&view=full&ORIGINATION_CODE=00144 target='_blank' SAN FRANCISCO - The Ninth Circuit U.S. Court of Appeals on April 14 affirmed the dismissal of a limited liability corporation's suit alleging that a bank and the Federal Deposit Insurance Corp., as its receiver, breached a construction loan contract, ruling that the corporation's failure to exhaust its administrative remedies cannot be excused by the FDIC's failure to mail notice or publish in newspapers information about the administrative claims deadline (Westwind Meranto LLC v. Federal Deposit Insurance Corp., No. 12-15962, 9th Cir.; 2014 U.S. App. LEXIS 6885). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=6-2%20LexisNexis%20Financial%20Serv.%20Lit.%20Rep.%2029%20(2014)&view=full&ORIGINATION_CODE=00144 target='_blank' SAN FRANCISCO - A federal court properly dismissed claims that Deutsche Bank National Trust Co. (Deutsche Bank) filed, as the trustee for certain IndyMac Bank FSB mortgage securitization trusts, against the Federal Deposit Insurance Corp., as the receiver for IndyMac (FDIC-R), because Deutsche Bank's claims were third-tier general unsecured liabilities and the district court correctly held that the claims were prudentially moot, the Ninth Circuit U.S. Court of Appeals found March 11 (Deutsche Bank National Trust Co. v. Federal Deposit Insurance Corp., et al., No. 11-56339, 9th Cir.; 2014 U.S. App. LEXIS 4536). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=6-2%20LexisNexis%20Financial%20Serv.%20Lit.%20Rep.%2030%20(2014)&view=full&ORIGINATION_CODE=00144 target='_blank' NEW ORLEANS - The Fifth Circuit U.S. Court of Appeals on April 24 denied JP Morgan Chase Bank NA's (Chase) motion to rehear the appellate court's upholding of a federal court's summary judgment award to bank landlords who sued Chase and the Federal Deposit Insurance Corp. for breach of contract after Chase acquired the assets of Washington Mutual Bank (WaMu) and the FDIC repudiated leases (Excel Willowbrook LLC, et al. v. JP Morgan Chase NA, et al., No. 12-20367, MR/VM Partners Ltd. v. JPMorgan Chase Bank NA, et al., No. 12-20375, Southside/3500 Ltd. v. JPMorgan Chase Bank NA, et al., No. 12-20376, ORTB Wayside Ltd. v. JPMorgan Chase Bank NA, et al., No. 12-20377, Excel Little York Ltd. v. JPMorgan Chase Bank NA, et al., No. 12-20378, 3300 Sage Ltd. v. JPMorgan Chase bank NA, et al., No. 12-20381, FL Westheimer Wilchrest Ltd., et al. v. JPMorgan Chase Bank NA, et al., No. 12-20382, Weichsel Farm Limited Partnership v. JP Morgan Chase Bank NA, et al., No. 12-10784, 5th Cir; 2014 U.S. App. LEXIS 7726; See January 2014, Page 19). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=6-2%20LexisNexis%20Financial%20Serv.%20Lit.%20Rep.%2031%20(2014)&view=full&ORIGINATION_CODE=00144 target='_blank' CENTRAL ISLIP, N.Y. - A federal judge in New York on March 25 granted default judgment to the Federal Deposit Insurance Corp. in its suit arising from the failed AmTrust Bank F.S.B.'s losses resulting from loans involving the use of inaccurate title commitments, unauthorized "flip" transactions and unauthorized disbursements of loan funds (Federal Deposit Insurance Corp. v. Gary A. Horn, et al., No 12-5958, E.D. N.Y.; 2014 U.S. Dist. LEXIS 39595). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=6-2%20LexisNexis%20Financial%20Serv.%20Lit.%20Rep.%2032%20(2014)&view=full&ORIGINATION_CODE=00144 target='_blank' CHICAGO - A federal judge in Illinois on March 31 denied One Beacon Midwest Insurance Corp.'s motion for summary judgment in a suit in which the Federal Deposit Insurance Corp., as the receiver for the failed Wheatland Bank, alleges that the insurer wrongly denied payment to the bank under a fidelity bond (Federal Deposit Insurance Corp. v. OneBeacon Midwest Insurance Co., No.11-3972, N.D. Ill.; 2014 U.S. Dist. LEXIS 43025; See May 2013, Page 26). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=6-2%20LexisNexis%20Financial%20Serv.%20Lit.%20Rep.%2033%20(2014)&view=full&ORIGINATION_CODE=00144 target='_blank' DALLAS - A federal judge in Texas on April 11 dismissed a False Claims Act (FCA) complaint filed on behalf of the U.S. government by the bidder on a promissory note that passed to Branch Banking and Trust Co. (BB&T) after the failure of Colonial BancGroup Inc., finding that he failed to adequately allege a "false" or "fraudulent" claim (United States of America ex rel. Mark Wismer v. Branch Banking and Trust Co., No. 12-1894, N.D. Texas; 2014 U.S. Dist. LEXIS 50217; See November 2013, Page 29). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=6-2%20LexisNexis%20Financial%20Serv.%20Lit.%20Rep.%2034%20(2014)&view=full&ORIGINATION_CODE=00144 target='_blank' MINNEAPOLIS - Law firm Jackson Walker LLP must return to the Federal Deposit Insurance Corp. the remaining amount of a retainer Home Savings Back on America (HSOA) paid it before the bank's collapse, a federal judge in Minnesota ruled April 16, granting the FDIC's counterclaim and finding that the firm did not have a secured interest in the retainer fee (Jackson Walker LLP v. Federal Deposit Insurance Corp., No. 12-2839, D. Minn.; 2014 U.S. Dist. LEXIS 52373). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=6-2%20LexisNexis%20Financial%20Serv.%20Lit.%20Rep.%2035%20(2014)&view=full&ORIGINATION_CODE=00144 target='_blank' NEW ORLEANS - A federal judge in Louisiana on April 9 denied a consumer's motion to reconsider the dismissal of a suit alleging that the Federal Deposit Insurance Corp. and others caused him to lose $84,000 by allowing funds to be fraudulently transferred from his account, finding that he "presents no new evidence or change in law" (Joseph Grubaugh v. Central Progressive Bank, et al., No. 13-3045, E.D. La.; 2014 U.S. Dist. LEXIS 49077; See March 2014, Page 26). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=6-2%20LexisNexis%20Financial%20Serv.%20Lit.%20Rep.%2036%20(2014)&view=full&ORIGINATION_CODE=00144 target='_blank' NEW ORLEANS - Dismissal of an investor lawsuit against the Securities and Exchange Commission was proper, a Fifth Circuit U.S. Court of Appeals panel ruled April 14, because the investors' claims fall under the discretionary function exception of the Federal Tort Claims Act (FTCA) (Reuel Anderson, et al. v. United States of America, No. 13-30897, 5th Cir.). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=6-2%20LexisNexis%20Financial%20Serv.%20Lit.%20Rep.%2037%20(2014)&view=full&ORIGINATION_CODE=00144 target='_blank' NEWARK, N.J. - A federal judge in New Jersey dismissed a consumer's lawsuit against a debt collector for alleged violations of the Fair Credit Reporting Act (FCRA) on April 21, ruling that the debt collector's report was accurate (Mohammad Babar v. Screening Reports Inc., No. 14-1310, D. N.J.; 2014 U.S. Dist. LEXIS 54915). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=6-2%20LexisNexis%20Financial%20Serv.%20Lit.%20Rep.%2038%20(2014)&view=full&ORIGINATION_CODE=00144 target='_blank' SEATTLE - A federal judge in Washington on April 23 denied a consumer reporting agency's motion to reconsider the judge's earlier ruling substantially denying dismissal of a Fair Credit Reporting Act (FCRA) lawsuit because no manifest error occurred in making the initial ruling (Heather Haley v. TalentWise Inc., No. 13-1915, W.D. Wash.; 2014 U.S. Dist. LEXIS 56844). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=6-2%20LexisNexis%20Financial%20Serv.%20Lit.%20Rep.%2039%20(2014)&view=full&ORIGINATION_CODE=00144 target='_blank' SAN DIEGO - A federal judge in California on April 17 granted summary judgment in a consumer lawsuit against a debt collector for alleged violations of the Fair Credit Reporting Act (FCRA), ruling that the consumer failed to show that the debt collector's accessing of her credit report was not for a permissible purpose (Toni Russell v. RJM Acquisitions, No. 12-2763, S.D. Calif.; 2014 U.S. Dist. LEXIS 54383). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=6-2%20LexisNexis%20Financial%20Serv.%20Lit.%20Rep.%2040%20(2014)&view=full&ORIGINATION_CODE=00144 target='_blank' SAN FRANCISCO - In a split opinion, a Ninth Circuit U.S. Court of Appeals panel on March 31 reversed and remanded a federal district court's ruling that a city's filing of claims against its underwriter of auction-rate securities (ARSs) with the Financial Industry Regulatory Authority (FINRA) was appropriate, ruling that the forum selection clauses located in the parties' broker-dealer agreements supersede "any right to FINRA arbitration" (Goldman, Sachs & Co. v. City of Reno, No. 13-15445, 9th Cir.; 2014 U.S. App. LEXIS 5894). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=6-2%20LexisNexis%20Financial%20Serv.%20Lit.%20Rep.%2041%20(2014)&view=full&ORIGINATION_CODE=00144 target='_blank' ATLANTA - The 11th Circuit U.S. Court of Appeals on March 28 affirmed in part, reversed in part and remanded a suit in which Bank of America NA was alleged to have aided and abetted a Ponzi scheme (Jonathan Perlman, et al. v. Bank of America NA, Nos. 12-13436, 12-14073, 11th Cir.; 2014 U.S. App. LEXIS 5791). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=6-2%20LexisNexis%20Financial%20Serv.%20Lit.%20Rep.%2042%20(2014)&view=full&ORIGINATION_CODE=00144 target='_blank' CAMDEN, N.J. - A federal judge in New Jersey on April 15 granted a motion to remand to a state court a consumers' suit alleging that TD Bank NA's negligence caused them to lose approximately $1.5 million via a Ponzi scheme, finding that the claims are not federal (Oleg Shtutman, et al. v. TD Bank NA, et al., No. 14-0792, D. N.J.; 2014 U.S. Dist. LEXIS 51576). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=6-2%20LexisNexis%20Financial%20Serv.%20Lit.%20Rep.%2043%20(2014)&view=full&ORIGINATION_CODE=00144 target='_blank' SALT LAKE CITY - A federal judge in Utah on April 23 denied a debt collector's motion for an award of attorney fees against a consumer, ruling that the consumer's claims were not brought in bad faith (Amanda Philhower v. Express Recovery Services Inc., et al., No. 12-1193, D. Utah; 2014 U.S. Dist. LEXIS 57262). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=6-2%20LexisNexis%20Financial%20Serv.%20Lit.%20Rep.%2044%20(2014)&view=full&ORIGINATION_CODE=00144 target='_blank' PHILADELPHIA - A federal judge in Pennsylvania on April 17 quashed a consumer's service of process on a defendant in a Fair Debt Collection Practices Act (FDCPA) lawsuit, ruling that the service was improper (Meribeth Ghost v. Victory Recovery Service Inc., et al., No. 14-215, E.D. Pa.; 2014 U.S. Dist. LEXIS 54013). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=6-2%20LexisNexis%20Financial%20Serv.%20Lit.%20Rep.%2045%20(2014)&view=full&ORIGINATION_CODE=00144 target='_blank' NEW HAVEN, Conn. - A federal judge in Connecticut on April 15 trimmed a number of claims from a consumer's Fair Debt Collection Practices Act (FDCPA) lawsuit against a debt collector, ruling, in particular, that the debt collector never sought to collect the debt from the consumer (Ray Tedeschi v. Kason Credit Corp., No. 10-0612, D. Conn.; 2014 U.S. Dist. LEXIS 51806). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=6-2%20LexisNexis%20Financial%20Serv.%20Lit.%20Rep.%2046%20(2014)&view=full&ORIGINATION_CODE=00144 target='_blank' NEW YORK - A New York appeals panel on April 16 found that a consumer did not properly allege that a bank illegally charged overdraft fees, affirming the dismissal of the consumer's suit (Dovid Feld v. Apple Bank For Savings, No. 651565/11, N.Y. Sup., App. Div., 1st Dept.). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=6-2%20LexisNexis%20Financial%20Serv.%20Lit.%20Rep.%2047%20(2014)&view=full&ORIGINATION_CODE=00144 target='_blank' CENTRAL ISLIP, N.Y. - A federal judge in New York on April 21 reinstated certain claims in a multidistrict litigation alleging that HSBC Bank USA NA improperly charged overdraft fees to debit card customers (In Re: HSBC Bank USA N.A. Debit Card Overdraft Fee Litigation, No. 13-2451, E.D. N.Y.; 2014 U.S. Dist. LEXIS 55201; See March 2013, Page 44). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=6-2%20LexisNexis%20Financial%20Serv.%20Lit.%20Rep.%2048%20(2014)&view=full&ORIGINATION_CODE=00144 target='_blank' SAN FRANCISCO - A federal magistrate judge in California on March 24 denied class certification in a suit alleging that Sallie Mae Inc. illegally charged them late fees or excessive interest, finding that "$(t$)he proposed class definitions are circular and render the classes unascertainable" (Tina M. Ubaldi v. SLM Corp., No. 11-1320, N.D. Calif.; 2014 U.S. Dist. LEXIS 38587). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=6-2%20LexisNexis%20Financial%20Serv.%20Lit.%20Rep.%2049%20(2014)&view=full&ORIGINATION_CODE=00144 target='_blank' HACKENSACK, N.J. - A judge in New Jersey on April 16 dismissed a businessman's suit targeting TD Bank NA for allowing a disbarred attorney to deposit stolen money into a TD account, saying the businessman failed to show that TD violated the Uniform Commercial Code (UCC) (Custom Travel Incentives & Promotions Inc. v. Bank Of America, et al., No. BER-L-2714-12, N.J. Super.). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=6-2%20LexisNexis%20Financial%20Serv.%20Lit.%20Rep.%2050%20(2014)&view=full&ORIGINATION_CODE=00144 target='_blank' BROOKLYN, N.Y. - A federal judge in New York on April 18 refused to grant a motion to amend filed by consumers in a Telephone Consumer Protection Act (TCPA) lawsuit, ruling that dismissal of the consumers' claims was with prejudice (Baranski v. NCO Financial Systems Inc., No. 13-6349, E.D. N.Y.; 2014 U.S. Dist. LEXIS 54321). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=6-2%20LexisNexis%20Financial%20Serv.%20Lit.%20Rep.%2051%20(2014)&view=full&ORIGINATION_CODE=00144 target='_blank' SAN FRANCISCO - A federal judge in California on March 31 denied an auto loan borrower's motion to vacate an arbitration award entered against her, finding that her motion is "an attempt to seek reconsideration of the order compelling arbitration, where no viable grounds to do so exist" (Gloria Villegas v. US Bancorp, et al., No. 10-1762, N.D. Calif.; 2014 U.S. Dist. LEXIS 44895). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=6-2%20LexisNexis%20Financial%20Serv.%20Lit.%20Rep.%2052%20(2014)&view=full&ORIGINATION_CODE=00144 target='_blank' NEW YORK - The superintendent of Financial Services of the State of New York (the department) on April 23 filed a complaint in New York federal court alleging that a finance company that acquires and services subprime auto loans has wrongfully retained customers' positive credit balances and concealed the balances from customers and regulators, among other allegations (Benjamin M. Lawsky v. Condor Capital Corp., et al., No. 14-2863, S.D. N.Y.). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=6-2%20LexisNexis%20Financial%20Serv.%20Lit.%20Rep.%2053%20(2014)&view=full&ORIGINATION_CODE=00144 target='_blank' PITTSBURGH - A judge on April 1 transferred from the U.S. District Court for the Western District of Pennsylvania to the Eastern District of Pennsylvania a suit in which a consumer alleges that Republic Bank wrongly made wire transfers from her accounts, wrongly made charges to her accounts and discriminated against her by denying a loan (Pearlina Story v. Republic Bank, No. 13-1429, W.D. Pa.; 2014 U.S. Dist. LEXIS 44210). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=6-2%20LexisNexis%20Financial%20Serv.%20Lit.%20Rep.%2054%20(2014)&view=full&ORIGINATION_CODE=00144 target='_blank' NEW YORK - A federal judge in New York on April 21 denied the objections of principals of bankrupt MF Global Inc. (MFGI) pertaining to the distribution of funds to individual investment customers and concluded that the trustee for MFGI under the Securities Investor Protection Act (SIPA) could administer the money (PricewaterhouseCoopers v. James B. Giddens $(In Re: MF Global Inc.$), No. 13-8893, Chapter 11, S.D. N.Y.). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=6-2%20LexisNexis%20Financial%20Serv.%20Lit.%20Rep.%2055%20(2014)&view=full&ORIGINATION_CODE=00144 target='_blank' NEW YORK - The Second Circuit U.S. Court of Appeals on March 27 in an unpublished order affirmed the dismissal of claims that JPMorgan violated federal antitrust law by participating in a conspiracy to manipulate market prices for silver futures (In re: Commodity Exchange, Inc. Silver Futures and Options Trading Litigation $(Brian J. Beatty, et al. v. JP Morgan Chase & Co., et al.$), No. 13-1416, 2nd Cir.; 2014 U.S. App. LEXIS 5597). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=6-2%20LexisNexis%20Financial%20Serv.%20Lit.%20Rep.%2056%20(2014)&view=full&ORIGINATION_CODE=00144 target='_blank' MONTGOMERY, Ala. - Dismissal of federal securities act claims against auditor PricewaterhouseCoopers LLP (PwC) is proper because lead plaintiffs failed to plead a material misrepresentation, scienter or loss causation in making their claims, a federal judge in Alabama ruled March 27 in dismissing the securities class action complaint for failure to state a claim (In re Colonial BancGroup, Inc. Securities Litigation, No. 09-0104, M.D. Ala.; 2014 U.S. Dist. LEXIS 40808). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=6-2%20LexisNexis%20Financial%20Serv.%20Lit.%20Rep.%2057%20(2014)&view=full&ORIGINATION_CODE=00144 target='_blank' NEW YORK - A Second Circuit U.S. Court of Appeals panel on March 25 affirmed a federal district court's conviction of former Goldman Sachs Group Inc. Board of Directors member Rajat K. Gupta, ruling that Gupta's arguments on appeal lack merit (United States of America v. Rajat K. Gupta, No. 12-4448, 2nd Cir.; 2014 U.S. App. LEXIS 5452). http://www.lexis.com/research/xlink?canceldest=form&keyenum=25271&keytnum=0&searchtype=get&search=6-2%20LexisNexis%20Financial%20Serv.%20Lit.%20Rep.%2058%20(2014)&view=full&ORIGINATION_CODE=00144 target='_blank' NEW YORK - A federal judge in New York on March 31 granted in part and denied in part a motion to dismiss filed by JPMorgan Chase & Co. and certain of its current and former executive officers, ruling that lead plaintiffs have properly pleaded scienter and a material misrepresentation against certain defendants, but not others (In re JPMorgan Chase & Co. Securities Litigation, No. 12-3852, S.D. N.Y.; 2014 U.S. Dist. LEXIS 44050).