Banking Law

China Law Firms Open US Offices

The globalization of law practice is a two-way street, and, just as U.S. law firms are seeking to establish a presence in China, Chinese law firms are looking to set up offices here. Among the Chinese law office leaders planting the law firm flag on American soil are Jun He,…

Dec 19, 2007 7:04 PM CST

Fed Seeks to Restrict Subprime Lending

After a national foreclosure crisis, the Federal Reserve has introduced proposed new regulations that, if adopted, would restrict subprime mortgage lending and essentially require lenders not to give borrowers mortgages that they clearly can’t afford to repay. The proposed regulations require more disclosure from lenders, define specific practices as misleading…

Dec 18, 2007 4:31 PM CST

Mortgage Mess Gets Messier

Despite cleanup efforts, the mortgage mess continues. The Bush administration announced today a plan to freeze the interest rate on some subprime mortgages for five years, which could help more than a million homeowners. As an article on the CNN Money.com website details, the plan would grant those current on…

Dec 6, 2007 8:24 PM CST

Seniors, Good Credit Risks Targeted By Lenders; Mortgage Solution Sought

It isn’t just people with poor credit who are now suffering in the aftermath of a subprime lending spree. And, although a federal government plan is supposed to be announced later this week to help financially struggling homeowners, it appears unlikely to do much to rescue many of those now…

Dec 3, 2007 10:16 PM CST

Judges Crack Down on Law Firm ‘Foreclosure Mills’

Judges across the country are noticing deficiencies in foreclosure suits, some of them filed by law firms that handle thousands of cases a year. Such high-volume “foreclosure mills” typically receive a set amount for each case; the pay in Ohio, for example, is $1,000 a case, the Wall Street Journal…

Nov 30, 2007 2:51 PM CST

Bills Would Allow Bankruptcy Judges to Modify Home Loans

Legislation pending in Congress would allow bankruptcy judges to help stave off foreclosures on primary homes by adjusting the mortgage terms and even forgiving part of the debt. The bills would allow judges to reduce the principal debt to the property’s fair market value, lower the mortgage interest rate, or…

Nov 20, 2007 12:57 PM CST

Mortgage Protection Bill Passes House

The U.S. House has passed a bill that helps protect homeowners from risky home loans, but the legislation faces some opposition in the Senate. The bill would fine lenders who steer borrowers to risky loans when other financing is available, the Associated Press reports. It would also bar excessive fees…

Nov 16, 2007 3:41 PM CST

‘Law School 101’ Could Help Struggling Homeowners

The requirements of legal standing could help homeowners facing foreclosure on their homes. A federal judge in Cleveland recently tossed 14 foreclosure cases because Deutsche Bank National Trust Co. could not prove ownership of the properties, the New York Times reports. The bank is trustee for investors in pools of…

Nov 15, 2007 3:36 PM CST

More Law Firms Seek to Sue Banks

After the subprime mortgage meltdown in the U.S. and a resulting worldwide credit crunch worsens, a traditional law firm taboo against suing banks has been relaxed as related litigation looms. A growing number of well-known law firms in the U.S. and U.K. are now ready to take such cases despite…

Nov 14, 2007 7:52 PM CST

Fla. Mortgage Fraud Monolith: Building Had Most Bad Deals

Although there has been an explosion of mortgage foreclosures throughout the country during the past year, one 43-story building in Miami’s international banking district is at what could be considered ground zero in this real estate debacle. It is, reports Reuters, perhaps the most mortgage fraud-riddled residential building in the…

Nov 13, 2007 4:03 PM CST

Are New U.S. Accounting Rules Bad News for Banks?

The last few months have not been good ones for the global banking industry, as rapidly rising mortgage defaults sparked a credit crisis. But the situation may get even worse before it gets better. And, if so, new U.S. accounting standards may be one big reason why, a British columnist…

Nov 12, 2007 8:10 PM CST

Ace Private Equity Attorney: Super-Smarts Aren’t a Job Requirement

Charlie Geffen readily admits he’s something of a workaholic. But, the British lawyer says, it doesn’t take an academic whiz to be one of the world’s most successful private equity practitioners. Instead, diligently learning the rules is what it takes to get through law school, and, especially in his practice…

Nov 9, 2007 4:58 PM CST

N.Y. Mortgage Appraisal Probe Spotlights Fannie Mae & Freddie Mac

Updated: New York’s top law enforcement officer obviously isn’t afraid to take on the big guys. Having filed suit last week against one of the nation’s biggest mortgage lenders over an alleged scheme to promote inflated appraisals, in alleged violation of lending regulations, state Attorney General Andrew Cuomo is now…

Nov 7, 2007 9:12 PM CST

Borrowers Facing Foreclosure Often Overpay, Study Finds

Bankruptcy court filings indicate that some lenders and loan servicers foreclosing on properties are charging questionable fees and misstating outstanding balances. University of Iowa law professor Katherine Porter analyzed more than 1,700 Chapter 13 filings from April 2006 and found that questionable fees were tacked on to more than half…

Nov 6, 2007 12:00 PM CST

BigLaw Relaxing Bank Suit Standards?

As the subprime mortgage meltdown and a resulting global credit crunch have created a surge of litigation against lenders, some of the world’s major law firms are caught in a quandary. Traditionally, they have represented banks. But now that litigating against banks is a hot practice area, many are relaxing,…

Nov 5, 2007 11:18 PM CST