BSF Secures Dismissal of Complaint against BNP Paribas and Expands Case against Bank of America
Boies, Schiller & Flexner has scored another significant victory for BNP Paribas in its securities negligence suit against Bank of America.
BNP Paribas has alleged that Bank of America failed in its duty to safeguard more than $480.7 million of cash and mortgages securing BNP Paribas’s investment in Ocala Funding, LLC, a mortgage warehousing facility.
Bank of America attempted to shift blame for BNP Paribas’s loss to the securities unit of BNP Paribas; this complaint was dismissed in a 39-page opinion by Judge Robert W. Sweet of the U.S. District Court in Manhattan on June 5, 2012.
The Court also granted BNP Paribas permission to expand its existing lawsuit -- already in discovery -- to pursue additional claims against Bank of America for its role in the loss of collateral intended to secure BNP Paribas’ investment.
This case is being handled by partners Robin Henry, Motty Shulman and Jack Wilson along with associates Paul Fattaruso, Nathan Holcomb and James Ostaszewski.