Judge in Article 77 Case Promoted Likely to Rule Soon on Bank of America 8.5B Settlement
Reuters reports, Justice Barbara Kapnick of the New York State Supreme Court in Manhattan was appointed to the state’s Appellate Division, an intermediate appeals court, by Governor Andrew Cuomo. Justice Kapnick had been presiding over the Article 77 case on whether to accept an $8.5B settlement to resolve claims over roughly $174 billion of mortgage-backed securities issued by the former Countrywide, which Bank of America purchased during the financial crisis.
New York State allows promoted judges to decide cases they were already handling and which were ready for rulings. This settlement would resolve much of the outstanding claims related to the liability from Countrywide and has the support of 22 institutions. AIG is one of the lone objectors remaining and has sued Bank of America for $10B in a separate case.