Conversation Between Judge Bransten and BAC's Attorney.
I highly recommend reading the court transcripts. During the summary judgement proceeding, this exchange took place between Judge Bransten and BAC's attorney, Mr. Wells. I think Judge Bransten makes it pretty obvious who she's siding with during this exchange and her sarcasm at the end says it all.
JUDGE BRANSTEN: I think we can agree that MBIA had said, and no one seems to argue against it, that they've paid -- MBIA has paid around three billion dollars as of now for loans that have gone under. And they then made demands to have them repurchased etcetera etcetera. And that hasn't happened. Am I correct on that Mr. Wells?
MR. WELLS: You're, correct that MBIA -- I forget exactly how much it is. It's billions.
JUDGE BRANSTEN: Those loans that were demanded to be repurchased have not been repurchased; is that correct?
MR. WELLS: Only 70 million dollars have been repurchased.
JUDGE BRANSTEN: That's a slight difference. I pay out three billion. That's a figure, I think they told me X billion and you give me seventy million. That's a great remedy.
The reversal was not a big deal at all, especially considering the court essentially gave Judge Bransten the green light to award MBIA the $3 billion they're requesting. That's assuming BAC doesn't settle.