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The SEC is currently “pushing hard” against issuers of mortgage backed securities, according to the Wall Street Journal.

How maddening can claim filing get?  Extremely.  Here's a gem from one of 2010's CCC newsletters.

On Tuesday, May 3, the DOJ filed a $1 billon fraud suit against Deutsche Bank.

After the Bay of Pigs Invasion, President Kennedy famously observed that while victory has a thousand fathers, failure is an orphan.  This adage applies quite well to the Great Recession and how it’s playing out in the courts. 

Remember Option Backdating?  Ah, simpler times.  Today credit crisis cases are all the rage, but there are still some option backdating litigations to follow.

On April 15, 2001, Assured Guaranty reached a $1.1 billion settlement agreement with Bank of America over B of A’s residential mortgage backed securities (RMBS).  Assured Guaranty had insured them, and suffered losses when they went bad.  (You did hear that the RMBS market didn't do too well lately, yes?)

Cornerstone Research, one of America’s foremost financial and legal analysis firms, ran the numbers for Credit Crisis Settlements, and the results are impressive: they are over three times the size of traditional settlements.

Average Credit-Crisis-Settlement: $103.1

Average Non-Credit-Crisis-Settlement: $31.6

Over 200 credit-case suits have been filed, and close to 150 of those are still pending. The majority will settle.

Today, WestLaw is reporting that a federal judge in the Southern District of New York has named three pensions funds as lead plaintiffs in a suit against Goldman Sachs over Abacus, a 2007 collateralized debt obligation transaction.

James Tharin, CEO - Chicago Clearing Corporation

Today it’s just a few ripples—a drop here, a drop there—far across the financial ocean. But these ripples will build and multiply until, suddenly, waves of securities class action claim forms will swamp your desk.

If you act now, you will find safe harbor. If not, you will be overwhelmed and at risk.