Mortgage-Backed Securities Investors Seek High Court Review

Investors claiming that Bank of America Corp. omitted material facts in the offering materials for certain mortgage-backed securities in the run-up to the financial crisis are asking the U.S. Supreme Court to review a federal appeals court decision affirming the dismissal of their allegations as untimely (NECA-IBEW Pension Trust Fund v. Lewis, U.S., 15-562, review sought 10/29/15).

The investors said that while the appeals court’s ruling was limitations-based, their complaint would have been timely if the court had applied last term’s Omnicare decision governing 1933 Securities Act Section 11 omissions liability.

In Omnicare Inc. v. Laborers ...