FIRREA Claims Against Financial Institutions Revived

On May 24, 2013, David Smith and Theresa E. Loscalzo authored “FIRREA Claims Against Financial Institutions Revived” in The Legal Intelligencer. Their article spotlights the U.S. Department of Justice’s cases against financial institutions using the Financial Institutions Reform, Recovery, and Enforcement Act of 1989 (FIRREA). While many legal pundits felt this use of the Act was unlikely to survive legal scrutiny, two recent decisions by respected jurists have allowed FIRREA claims to proceed against significant financial institutions.