Cities’ ‘Public Nuisance’ Suits v. Wall Street Show Mixed Results
September 14, 2009
Lawsuits in which municipalities sought compensation or reimbursement from subprime originators and securitizers for foreclosure-related costs have taken different turns, raising doubts as to the effectiveness of the strategy. Baltimore City and Wells Fargo are now engaged in discovery after a federal judge in July denied the lender’s motion to dismiss the city’s suit alleging...