On December 14, 2012, DZ Bank, a German lender based in Frankfurt, filed a summons with notice against Bank of America Corp. in New York Supreme Court related to DZ Bank’s alleged purchase of over $546 million in RMBS. DZ Bank alleges that the offering documents for the securities contained material misrepresentations and omissions regarding the underwriting standards for the mortgage loans underlying the securities, the transfer of those loans to the issuing trusts, the validity of the trusts, and the statistical characteristics of the mortgage loans, including loan-to-value ratios and the percentage of owner-occupied properties. DZ Bank asserts causes of action for common-law fraud, fraudulent inducement, negligent misrepresentation, aiding and abetting fraud, declaratory judgment, rescission, restitution, and mutual mistake. Summons.
DZ Bank
DZ Bank Files Lawsuit Against Morgan Stanley Over $694M in RMBS
On November 21, Deutsche Zentral-Genossenschaftsbank AG (DZ Bank) filed a summons with notice in Supreme Court for the State of New York against Morgan Stanley in connection with the German bank’s alleged purchase of $694 million in RMBS. DZ Bank alleges that the offering materials for the RMBS contained material misrepresentations and omissions regarding the characteristics of the mortgage loans underlying the securities and the underwriting standards used to issue the mortgage loans. DZ Bank raises common-law fraud, aiding and abetting fraud, negligent misrepresentation, breach of contract, and declaratory judgment claims. It seeks over $694 million in damages or rescission. Summons with Notice.
DZ Bank AG Sues UBS in New York State Court In Connection With $160 Million of RMBS
On July 25, Deutsche Zentral-Genossenschaftsbank AG (“DZ Bank”) filed a summons with notice against several UBS entities in the Supreme Court of the State of New York. DZ Bank alleges that UBS misrepresented the underwriting standards used to originate mortgage loans underlying RMBS that DZ Bank purchased for more than $160 million. DZ Bank also alleges that UBS’s offering materials misrepresented information about the legal validity of the trusts and the transfer of loans into the trusts. DZ Bank brings claims for common-law fraud, fraudulent inducement, negligent misrepresentation, aiding and abetting fraud, declaratory judgment, and contract claims, including rescission, restitution, and mutual mistake. Summons with Notice.