This is the property of the Daily Journal Corporation and fully protected by copyright. It is made available only to Daily Journal subscribers for personal or collaborative purposes and may not be distributed, reproduced, modified, stored or transferred without written permission. Please click "Reprint" to order presentation-ready copies to distribute to clients or use in commercial marketing materials or for permission to post on a website. and copyright (showing year of publication) at the bottom.
Subscribe to the Daily Journal for access to Daily Appellate Reports, Verdicts, Judicial Profiles and more...


Apr. 1, 2024

Judge refuses to dismiss lawsuits over banks’ robo-resetting

The dispute stems from the state of California’s hiring of the banks as remarketing agents, where they were accused of widespread fraud and collusion in the fees they charge and interest rates they set for variable rate, tax-exempt bonds.

A judge declined Friday to dismiss a motion for summary adjudication from eight of the nation’s biggest banks after attorneys from an ex rel plaintiff suing on behalf of the state of California argued that the statute of limitations did not expire on the claims that the financial institutions operated “robo-resetting” scheme.

During Friday’s hearing, Superior Court Judge Ethan P. Schulman disagreed with the attorneys for Edelweiss Fund LLC,...

To continue reading, please subscribe.

Already a subscriber?

Or access this article for $45
(Purchase provides 7-day access to this article. Printing, posting or downloading is not allowed.)