Update: FHLB of Pgh. v. J P Morgan et al.

Posted By Cliff Tuttle | January 7, 2011

No. 560

Federal Home Loan Bank of Pittsburgh v. J P Morgan Securities, LLC, J P Morgan Acquisitions Corp., J P Morgan Mortgage Acceptance Corporation I, Chase Home Finance LLC, Chase Mortgage Finance Corporation, JPMorgan Chase & Co, Moody’s Corporation, Moody’s Investor s Services, Inc., The McGraw-Hill Companies, Inc and Fitch, Inc.

No. GD09-016892

On December 13, 2010, PLBT reported on the decision by Judge Wettick regarding the suit by the Federal Home Loan Bank of Pittsburgh against various J P Morgan companies and other defendants regarding certain mortgaged backed securities, which the Plaintiff says Morgan knew were not investment grade.  Wettick granted partial summary judgment, but left enough defendants and causes of action standing to keep the action going.

Since then, the parties have filed a stipulation giving the Defendants until January 28 to file answers.  Whether joint or separate answers will be filed remains to be seen.

Meanwhile, Bloomberg reports that JPM has been paying record counsel fees — over 5 Billion in the first three quarter of 2010 and counting.  This has resulted in a severe impact on earnings.  It seems that everybody wants to sue JPM/Chase, including mortgage foreclosure victims and nine Federal Home Loan Banks.

CLT

Welcome

CLIFF TUTTLE has been a Pennsylvania lawyer for over 45 years and (inter alia) is a real estate litigator and legal writer. The posts in this blog are intended to provide general information about legal topics of interest to lawyers and consumers with a Pittsburgh and Western Pennsylvania focus. However, this information does not constitute legal advice and there is no lawyer-client relationship created when you read this blog. You are encouraged to leave comments but be aware that posted comments can be read by others. If you wish to contact me in privacy, please use the Contact Form located immediately below this message. I will reply promptly and in strict confidence.

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