Banking Law

BigLaw Seeks ‘Globally Minded’ Attorneys

When Natasha Hsieh sought a summer associate position at DLA Piper, she found that her experience growing up in Taiwan, as well as California, was a big advantage for her in applying to the major international law firm. “They specifically were looking for people willing to go abroad, especially Asia,…

Oct 28, 2008 6:55 PM CDT

Interpreting Bailout the New Client Mandate

For those in regulatory, banking and capital market practices, explaining the pros and cons of the $700 million bailout is priority No. 1. The Emergency Economic Stabilization Act has unleashed a flood of questions from clients wondering about their options regarding the new capital, short-term debt and asset relief programs,…

Oct 23, 2008 7:40 PM CDT

Citigroup Awarded $364M in Parmalat Accounting Fraud Case

Citigroup has been awarded $364.2 million for its counterclaim against Parmalat claiming the Italian dairy producer defrauded the financial services firm in an accounting scandal. The verdict by a New Jersey jury is the fifth-largest so far this year, the American Lawyer reports. Citigroup was represented by lawyers from Paul,…

Oct 21, 2008 1:58 PM CDT

Foreclosure Activity Free-Falls in Calif. Because of New Notice Law

Foreclosure activity in California plummeted in September, largely because of a new state law that requires lenders to contact homeowners in advance of foreclosure filings. So dramatic is the drop in activity—down 61.8 percent from August levels—that monthly foreclosure stats are worthless as barometers of housing market conditions, according to…

Oct 20, 2008 4:50 PM CDT

Simpson Thacher Charging Only $300K to Advise Treasury on Bailout

Simpson Thacher will collect only $300,000 over the next six months for advising the Treasury Department on its bailout of financial institutions, a total based on slashed legal fees. The American Lawyer puts the average hourly rate charged by the firm at $79 an hour when legal assistants are included…

Oct 20, 2008 11:05 AM CDT

3 Fed’l Grand Juries Probe Lehman Bros.

Three grand jury investigations have been launched against Lehman Brothers Holdings Inc., in the wake of the investment bank’s bankruptcy last month. The probes, launched “by New York U.S. attorneys in Brooklyn and Manhattan as well as in Newark, New Jersey. They are focusing in part on Lehman’s role in…

Oct 17, 2008 5:51 PM CDT

Reversing Course, Illinois Sheriff Will Evict Residents of Foreclosures

After making media waves throughout the country with an unusual refusal to enforce court eviction orders in mortgage foreclosure cases last week, the sheriff of Cook County, Illinois, has backed down. Assured that new procedures would be implemented to protect innocent tenants from being evicted because their landlord hadn’t paid…

Oct 16, 2008 10:57 PM CDT

WaMu is Being Investigated by FBI

Add Washington Mutual Bank to a list of major corporate failures that are being investigated by the FBI. The FBI had been secretly looking into the bank’s operations for months. However, it went public yesterday with the investigation because WaMu depositors, having already seen the institution become the biggest bank…

Oct 16, 2008 9:12 PM CDT

Lawyers Hope Bailout Bill ‘a Full Employment Act’ for Law Firms

Law firms gearing up to offer advice on the $700 billion bailout bill hope to help clients—as well as their own bottom lines. Law firm marketing consultant Peter Zeughauser told the Wall Street Journal (sub. req.) why lawyers are so eager to counsel clients about the bill, known as the…

Oct 15, 2008 1:27 PM CDT

Third Law Firm that Turned Down Treasury Role Identified

Four law firms declined to pursue work as the Treasury Department’s adviser on acquiring ownership stakes in banks, and now three have been identified. The latest firm to confirm it opted to pass up a chance to do the work is Cleary Gottlieb Steen & Hamilton, the American Lawyer reports.…

Oct 15, 2008 11:46 AM CDT

Two Law Firms that Passed Up Treasury Request: Davis Polk, Wachtell Lipton

Updated: Before the Treasury Department chose Simpson Thacher on Friday to provide advice on acquiring ownership stakes in banks, it asked six law firms for proposals. Only two, including Simpson Thacher, provided them. Two of the four law firms that didn’t respond were Davis Polk & Wardwell and Wachtell, Lipton,…

Oct 14, 2008 11:16 AM CDT

Law Students Pursue Securities Cases for Small Investors

With an expected surge in civil and criminal fraud cases on the horizon over questions about the conduct of those involved in making mortgage loans blamed for a worldwide credit crisis, several law schools will soon be graduating a new crop of students who already have trial experience in the…

Oct 13, 2008 7:04 PM CDT

Simpson Thacher Advising U.S. on Acquiring Bank Ownership Stakes

The Treasury Department is relying on the law firm Simpson Thacher & Bartlett to help it boost the economy. Simpson Thacher will advise the department on how to take ownership stakes in banks, a Treasury official said in a speech today. Neel Kashkari, assistant secretary for financial stability, told an…

Oct 13, 2008 1:15 PM CDT

We Won’t Evict Unless You Do Your Job, Illinois Sheriff Tells Lenders

In an unusual act of rebellion against an apparent defect in a number of foreclosure cases, the sheriff of Cook County has made national headlines this week by saying his officers wouldn’t enforce court orders and evict occupants of foreclosed homes in and around Chicago until lenders could prove that…

Oct 10, 2008 4:42 PM CDT

Citigroup Abandons Wachovia Bid, but not its Lawsuit

Citigroup has given up its bid for Wachovia, but it hasn’t abandoned a state court lawsuit over what it contends is a violation of an exclusivity agreement it had with the bank as it worked out details of its $2.2 billion buyout offer. Citigroup plans to seek $60 billion in…

Oct 10, 2008 1:59 PM CDT