On August 24,  two summonses with notice were filed in New York state court against DB Structured Products, Inc. (DBSP).  Both lawsuits allege that DB breached certain representations and warranties concerning the characteristics of a pool of mortgages which backed the ACE 2006-FM1 securitization (the “Trust”).  The first suit, filed by the Federal Housing Finance Agency as conservator for the Federal Home Loan Mortgage Corporation, seeks to enforce DBSP’s alleged contractual obligation to repurchase loans from the Trust where representations and warranties have been breached.  The FHFA alleges that the representations that were breached relate to compliance with loan underwriting standards, the absence of error or fraud in the origination of a loan, the accuracy of data provided to rating agencies, the practices followed during the servicing of the loans, the absence of high cost loans, and the appraisals of the properties underlying the loans.  The second suit, filed by Freedom Trust 2011-12, an investor purporting to sue on behalf of the Trust, seeks an order demanding the repurchase of the loans, or in the alternative compensatory damages.  Freedom Trust alleges that the representations were breached due the following categories of alleged misstatements: i) the misstatement of a borrower’s existing debt, ii) the misstatement of a borrower’s intention to occupy the property, iii) the misstatement of a borrower’s debt-to-income ratio, iv) the misstatement of a borrower’s income and/or employment, and v) the misstatement that a particular loan’s underwriting process complied with an originator’s stated underwriting guidelines.  FHFA Summons. Freedom Trust Summons.