Monday October 15 2018
New filing in Fannie/Freddie Consolidated Class Action, click here to view.
Peter Chapman writes, “Judge Lamberth placed his stamp of approval on the parties’ scheduling request. FHFA, Fannie and Freddie’s answers to the litigating shareholders’ complaints are due by Dec. 11, 2018.”
Friday October 12 2018
New filing in Jacobs vs. FHFA, click here to view.
Peter Chapman writes, “In a letter dated October 10, a copy of which is attached to this e-mail message, Messrs. Jacobs and Hindes tell the Third Circuit Judge Lamberth is confused about the applicability of Delaware and Virginia corporate law to the GSEs. Fannie and Freddie’s charters specify the terms and conditions for issuing preferred stock (e.g., consideration, conditions precedent, vesting) and declarations of discretionary dividends, but applicable state law dictate the rights, powers, and preferences of the preferred stock itself, including mandatory dividends. And, Messrs. Jacobs and Hindes add, of course Judge Lamberth couldn’t find any case law on this issue; “There is no directly analogous case because the Net Worth Sweep is an absurdity without precedent,” they say.”
New updates in Fairholme vs. U.S.
Peter Chapman writes, “At page 22 (PDF page 45) of its amended omnibus motion to dismiss (Doc. 421) filed in Fairholme v. U.S. on Oct. 1, 2018, the government provides Judge Sweeney with a long list of cases saying Fannie, Freddie and FHFA are not government actors. As you’ve likely read in the past couple of weeks, that uniform holding was disrupted by a decision in a foreclosure-related lawsuit in Rhode Island in August.
FHFA wants the U.S. Court of Read More