Tag: Bank of America

Bank of America agrees to pay $500 million to settle mortgage backed securities class action

April 19, 2013 by

This class action arose out of mortgage backed securities that were downgraded to junk.  The accord will end a class action, or group lawsuit, led by the Iowa Public Retirement System.  The settlement, which couldn’t immediately be verified in court records, requires a judge’s approval, North Carolina-based Bank of America said in a filing with the

Merrill Lynch settles overtime class action

February 27, 2013 by

Merrill Lynch has agreed to create a $12 million fund to settle a class action lawsuit alleging it didn’t properly pay overtime to employees who provide support services for brokers.  The court for the Southern District of New York must still approve the settlement, which was announced in a filing Friday. Merrill Lynch is the

Bank of America settles securities class action regarding acquisition of Merrill Lynch

October 12, 2012 by

According to The New York Times, the price being paid by Bank of America for its missteps during the financial crisis rose sharply on Friday as the bank announced a $2.43 billion deal to settle accusations that it misled investors about the acquisition of Merrill Lynch.  It is the largest securities class-action lawsuit settlement yet

Bank of America settles class action alleging useless credit protection service

August 14, 2012 by

Bank of America customers won preliminary court approval of a $20 million settlement over claims the bank signed up and charged credit card customers for a useless credit protection service. Credit card customers had filed a class action accusing the bank of signing them for its Credit Protection Plus service without their permission or through

Forced place flood insurance class action against Bank of America can proceed

August 3, 2012 by

On July 11, 2012, Judge Michael Simon of the United States District Court for the District of Oregon issued a ruling that permitted the plaintiffs’ breach of contract claims to proceed in a nationwide class action alleging that Bank of America improperly force-placed high-premium flood insurance policies on homeowners across the United States. In their

Bank of America settles discrimination suit brought by US Dept of Justice

January 10, 2012 by

Bank of America Corp. (BAC) will pay a record $335 million to compensate Countrywide Financial Corp. borrowers who were charged more for home loans based on race and national origin. Countrywide, acquired by Bank of America in 2008, assessed higher fees and interest rates to more than 200,000 black and Hispanic borrowers, the U.S. Department of Justice

Bank of America settles mortgage securities class action

December 30, 2011 by

In early December, 2011, Bank of America Corp. (BAC) reached a $315 million settlement with a group of investors who sued its Merrill Lynch unit claiming they were misled about mortgage-backed securities, according to a court filing. Holders of the asset-backed certificates sued Merrill Lynch starting in December 2008 for alleged “false and misleading” prospectus

Class Action filed against Bank of America for Forced Place Flood Insurance

November 29, 2011 by

A federal class action filed in Oregon claims Bank of America forces home-buyers to buy more flood insurance than required by law, in violation of loan documents, through a former subsidiary that pays B of A kickbacks.  A copy of the Complaint in Arnett, et ux. v. Bank of America, N.A., et al., Case No. 11-cv-01372 (D. Ore.), is available

If class actions are certified, banks may pay more to resolve mortgage backed securities class actions

September 26, 2011 by

Bank of America Corp., JPMorgan Chase & Co. and other banks may pay more to resolve claims over their alleged roles in the collapse of a $2.3 trillion mortgage-backed securities market if sophisticated investors are allowed to sue as a group with less savvy ones. Class action status allows investors to pool financial and legal

Bank of America – Countrywide suit removed to Federal Court

September 15, 2011 by

There is never a dull moment in Bank of America’s attempt to resolve its Countrywide mortgage-backed securities liability.  In a stunning move on August 26, the law firm leading the fight against Bank of America’s proposed $8.5 billion settlement with Countrywide MBS noteholders removed the case from New York State Supreme Court to  federal court. 

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