Principals Courtney Statfeld, Robert Scheef and Associate Daniel Hendler have secured another monumental win for RMBS investors. Hon. Andrew Borrok of the New York Civil Court has delivered a resounding judgment that compels the recalculation of the trust servicers' termination price concerning the "clean-up call" provision. Trust investors sought to recalculate the call price, as they argued that the trusts that had previously been terminated at a termination price did not include deferred payments. Yesterday, Hon. Andrew Borrok ordered that the Petitioners “are instructed that the calculation of the Termination Threshold and Termination Price for each Trust should include Deferred Principal Balances,” thus canceling today’s scheduled oral arguments.
Media coverage includes:
- “NY Judge: Buyers Must Pay Deferred Principal in RMBS Transactions” New York Law Journal October 4, 2023
- “The Litigator of the Week Runner-Up and a Bunch of Shout Outs" AmLaw Litigation Daily October 6, 2023
- “New York Court Ruling Impacts MBS Clean-Up Call Practices” Inside Mortgage Finance October 12, 2023