Contact Us Today! 202-349-9836

Bank Receivership Law

We have significant trial and appellate experience litigating claims arising from FDIC's role as the receiver for failed banks and thrifts (banks). When a bank becomes insolvent or is in unsafe-or-unsound condition, it is closed by its state or federal chartering agency and the FDIC is appointed its receiver. As receiver, FDIC steps into the shoes of the bank and liquidates the failed bank's assets and liabilities under a comprehensive statutory scheme established in the Financial Institutions Reform, Recovery and Enforcement Act (FIRREA). FDIC, as the insurer of deposits, takes action immediately to protect the depositors of the failed bank, typically by transferring their accounts to a healthy bank in a three party contract (P&A Agreement) between FDIC as the insurer of deposits, FDIC as receiver for the failed bank, and the acquiring institution.

FLAGLER INVESTMENT MARIETTA

Flagler Investment Marietta, LLC v. Multibank 2009—1 CRE Venture, LLC, 663 Fed. Appx. 747 (11th Cir. 2015) (lead counsel for FDIC) (in a suit brought by Flagler against Integrity Bank for breach of a loan agreement regarding a loan made by a failed bank that was transferred by FDIC as receiver to Integrity, the district […]

... [Read more...]

FDIC V. FIRST AMERICAN TITLE INS. CO.

FDIC v. First American Title Ins. Co., 611 Fed. Appx. 522 (11th Cir. 2015) (argued for FDIC) (holding that (i) FDIC, as receiver, retained under the terms of the purchase and assumption agreement (P&A Agreement) all claims related to acts or omissions that caused a loss to the bank, (ii) FDIC could bring a breach-of-contract […]

... [Read more...]

JPMORGAN CHASE BANK, N.A. V. FIRST AMERICAN TITLE INS. CO.

JPMorgan Chase Bank, N.A. v. First American Title Ins. Co., 750 F.3d 573 (6th Cir. 2014) (argued for FDIC) (holding that FDIC, as receiver, could bring a breach-of-contract action against a title insurance company based upon the terms of a closing protection letter (CPL) issued by the company whereby it agreed to indemnify the bank […]

... [Read more...]

FDIC, AS RECEIVER FOR STRATEGIC CAPITAL BANK V. COUNTRYWIDE FINANCIAL CORP.

FDIC, as receiver for Strategic Capital Bank v. Countrywide Financial Corp., No. 12-57299 (9th Cir.) (lead counsel for FDIC) (arguing that a claim brought under the Securities Act of 1933 by FDIC as receiver for a failed bank that purchased residential mortgage-backed securities (RMBS) issued by Bank of America (BOA), or its subsidiary Countrywide, and […]

... [Read more...]

DEUTSCHE BANK NAT'L TRUST CO. V. FDIC

Deutsche Bank Nat'l Trust Co. v. FDIC, 717 F.3d 189 (D.C. Cir. 2013) (argued for FDIC) (holding that bondholders of Washington Mutual Bank (WaMu) possessing $6 billion in allowed claims against the WaMu receivership lacked Article III and prudential standing to intervene in a contract dispute between FDIC and JPMorgan Chase Bank, N.A., about whether […]

... [Read more...]

FOREMAN V. FDIC

Foreman v. FDIC, 481 Fed. Appx. 424 (9th Cir. 2012) (lead counsel for FDIC) (affirming dismissal of a claim for wrongful foreclosure).

... [Read more...]

BRANCH V. FDIC

Branch v. FDIC, 475 Fed. Appx. 745 (11th Cir. 2012) (lead counsel for FDIC) (summarily reversed based upon North Savannah).

... [Read more...]

RATCHFORD V. FIRST SOUTHERN BANCORP

Ratchford v. First Southern Bancorp, No. 12–10492, 2012 WL 10478553 (11th Cir. Oct. 3, 2012) (same).

... [Read more...]

FDIC V. NORTH SAVANNAH PROPERTIES

FDIC v. North Savannah Properties, LLC, 686 F.3d 1254 (11th Cir. 2012) (argued for FDIC) (reversing the decision of the district court to remand a case removed by FDIC after it became the receiver for a failed bank that was sued in state court before it failed, rejecting the district court's conclusion that FDIC must […]

... [Read more...]

NATIONAL UNION FIRE INS. CO. OF PITTSBURGH V. FDIC

National Union Fire Ins. Co. of Pittsburgh v. FDIC, 264 Kansas 733 (1998) (on the brief for FDIC) (reversing the entry of summary judgment in declaratory judgment action for the insurer, holding that failure by insured to provide a proof of loss within the time limit provided by a fidelity-discovery bond will not justify denial […]

... [Read more...]

ATHERTON V. FDIC

Atherton v. FDIC, 519 U.S. 213 (1997) (on brief for FDIC) (holding that a federal common-law rule providing for bank director-and-officer liability based upon simple negligence was displaced by the Erie Doctrine, but agreeing with FDIC that 12 U.S.C. § 1821(k) (i) displaces state law to the extent it requires proof of intentional misconduct and […]

... [Read more...]

TRI-STATE HOTELS, INC. V. FDIC

Tri-State Hotels, Inc. v. FDIC, 79 F.3d 707 (8th Cir. 1996) (acting senior counsel for FDIC) (affirming district court's judgment that a debtor of the bank had to comply with FDIC's administrative claims process in FIRREA before the court would have subject matter jurisdiction of a suit against FDIC as receiver).

... [Read more...]

FDIC V. O'MELVENY & MYERS

FDIC v. O'Melveny & Myers, 61 F.3d 17 (9th Cir. 1995) (argued for FDIC) (on remand from the Supreme Court, holding under California law that FDIC as receiver was not subject to equitable defenses that could have been raised by the bank's law firm in a legal malpractice suit filed by the bank before failure—including […]

... [Read more...]

FDIC V. WENTZ

FDIC v. Wentz, 55 F.3d 905 (3d Cir. 1995) (argued for FDIC) (holding that FDIC established the necessary “reasonable need” to gain access to the personal records of former directors of a failed bank to determine whether the directors improperly channeled bank funds to others for their personal benefit before the bank failed).

... [Read more...]

O'MELVENY & MYERS V. FDIC

O'Melveny & Myers v. FDIC, 512 U.S. 79 (1994) (on brief for FDIC) (holding that, absent a special rule provided by Congress in FIRREA, FDIC, as receiver, stands in the shoes of a failed bank unless state receivership law provides it with greater rights and, therefore, declining to adopt a federal common-law rule providing that—even […]

... [Read more...]

LAWSON V. FDIC

Lawson v. FDIC, 3 F.3d 11 (1st Cir. 1993) (argued for FDIC) (holding that the FDIC implicitly repudiated the above-market interest rates in a failed bank's certificates of deposit (CDs) when it transferred the CDs to the acquiring bank under the terms of a P&A Agreement which empowered the acquiring bank to substitute the prevailing […]

... [Read more...]

GWN PETROLEUM CORP. V. OK-TEX OIL & GAS, INC.

GWN Petroleum Corp. v. OK-Tex Oil & Gas, Inc., 998 F.2d 853 (10th Cir. 1993) (argued for FDIC) (holding that a garnishment action was barred by 12 U.S.C. § 1825(b)(2) which precludes liens from attaching to property of FDIC held either in its corporate or receivership capacity).

... [Read more...]

NAT'L TRUST FOR HISTORIC PRES. V. FDIC

Nat'l Trust for Historic Pres. v. FDIC, 995 F.2d 238, 240 (D.C. Cir. 1993) (lead counsel for FDIC), vacated, 5 F.3d 567 (D.C. Cir. 1993), reinstated in relevant part, 21 F.3d 469 (D.C. Cir. 1994), cert. denied, 513 U.S. 1065 (1994) (argued for FDIC) (holding that state and federal courts lack subject matter jurisdiction to […]

... [Read more...]

FDIC V. ROYAL PARK NO. 14

FDIC v. Royal Park No. 14, Ltd., 2 F.3d 637 (5th Cir. 1993) (argued for FDIC) (holding that reliance upon oral representations of a government official was unreasonable as matter of law whether the representation was of fact or law).

... [Read more...]

SIERRA CLUB, LONE STAR CHAPTER V. FDIC

Sierra Club, Lone Star Chapter v. FDIC, 992 F.2d 545 (5th Cir. 1993) (argued for FDIC) (reversing judgment against FDIC and holding that an injunction would be vacated and remanded for further consideration where plaintiffs had not shown they were entitled to injunctive relief and where the district court did not enter findings of fact […]

... [Read more...]

PEOPLES WESTCHESTER SAV. BANK V. FDIC

Peoples Westchester Sav. Bank v. FDIC, 961 F.2d 327 (2d Cir. 1992) (argued for FDIC) (holding that (i) an interest on lawyers account (IOLA) is a general deposit—not a special account—and clients of an attorney with money in an IOLA when a bank fails are entitled to federal deposit insurance only up to the insured […]

... [Read more...]

FDIC V. MMAHAT

FDIC v. Mmahat, 907 F.2d 546 (5th Cir. 1990) (on brief for United States) (holding that (i) a bank's general counsel's debt was non-dischargeable on the basis of fraud or defalcation while acting in a fiduciary capacity, and (ii) a legal malpractice claim by FDIC was tolled under the Louisiana doctrine of adverse domination until […]

... [Read more...]

Menu