Posts tagged ‘NCUA vs US Bank National Association’

Legislature Breaks for the Summer; NCUA Moves Closer to Getting More Money for the Industry

The New York State Legislature adjourned yesterday, ending a bizarre hybrid session in which a spattering of members spoke from the floor while others participated via Zoom.  It was almost as strange as watching homerun balls landing into empty seats.  The legislature is not committed to coming back, but with the continuing uncertainty surrounding the state’s finances, no one would be surprised to see it reconvene later this fall.  Against that backdrop, here are a few key bills I want to tell you about today; we will provide you with a more detailed list early next week.

A bill to make remote notarization a permanent part of New York State law passed the Senate but has yet to be acted on in the Assembly.  This is important progress and yours truly remains optimistic that remote notarization will become part of New York State’s law.  The current Executive Order 202.53 authorizing remote notarization expires on August 20th.

As tough as New York’s existing forbearance requirements are, they stood to become a lot worse.  A pair of bills, A10532-A and A10544, would have extended New York’s COVID-19 forbearance requirements to commercial rentals and retail space.  These provisions would have only applied to state chartered institutions. Fortunately, neither of these bills was passed.

Finally, in a recent blog, I analyzed bill A5630A which would make major revisions to New York’s Power Of Attorney laws.  This bill has been passed by the Legislature but now must be sent to the Governor for his consideration.  If it is signed, your credit union will have six months to prepare for many of the changes.

NCUA Corporate Litigation Can Go Forward

A New York federal judge yesterday refused to dismiss a lawsuit brought by NCUA against U.S. Bank National Association.  The lawsuit claims, among other things,  that the bank, which was responsible for overseeing the trusts in which many of the Residential Mortgage Backed Securities purchased by the corporates were held, breached its contract with the corporates by failing to take action against  originators who provided mortgages that didn’t meet the appropriate underwriting standards.  By defeating this motion, the likelihood increases that NCUA will recover more money on behalf of the share insurance fund.

NCUA vs US Bank National Association

July 24, 2020 at 10:05 am Leave a comment

Authored By:

Henry Meier, Esq., Senior Vice President, General Counsel, New York Credit Union Association.

The views Henry expresses are Henry’s alone and do not necessarily reflect the views of the Association. In addition, although Henry strives to give his readers useful and accurate information on a broad range of subjects, many of which involve legal disputes, his views are not a substitute for legal advise from retained counsel.

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