RBF Law Case Discussed in Law360 Article “Lehman Puts Finishing Touch on MBS Claims Estimation Trial”

Attorneys for Lehman Brothers Holdings Inc. held firm in closing arguments Thursday that trustees accusing the defunct investment bank of selling toxic mortgage-backed securities have failed to show damages claims in excess of the $2.4 billion Lehman will accept.

A New York bankruptcy court-assisted process to evaluate claims against Lehman for allegedly selling billions of dollars’ worth of misrepresented home equity loans before its 2008 collapse is coming to a close this week, after 23 days of trial. Over that time, the plan administrator for the former financial behemoth has argued that the trusts holding the residential mortgage-backed securities should be entitled to a maximum claim against the estate for $2.38 billion, while the trustees have contended that there is strong evidence Lehman repeatedly breached its contracts on tens of thousands of loans, entitling them to a claim of approximately $11.4 billion.

Read the full article here.

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