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My position wasn't suggesting that the motion required a delay on ruling on summary judgment. On the contrary, I stated that I believe a favorable ruling granting summary judgment will come before the December omnibus when the FDIC's motion is scheduled to be heard - and that the FDIC's motion will be rendered moot as a result. Moreover, I am very much aware that the FDIC's motion should be stricken because of the fact that it was untimely filed - but as prior motions and appeals have shown us, it is unlikely that she will strike anything regardless of how justified she would be for taking such action.
It can come at any time and I am largely divided as to when it will come in relation to a decision on the FDIC's Motion to Modify the Stay. The optimistic side of me takes the position that the Judge will be issuing a decision soon - prior to the December omnibus hearing - and the adjournment of the FDIC's motion will render it moot if summary judgment is granted beforehand. The cynical side of me takes the position that the Judge will deny the FDIC's Motion at the December omnibus and then issue a decision granting summary judgment thereafter.
I'm feeling optimistic but the truth is that you really never know what the judge is thinking or why she is thinking it. The wait is killing all of us but alot of people seem to be losing their grasp with reality. Almost all of the decisions and appearances to date - including the recent hearing in D.C. - have been favorable to WMI. Moreover, it is beyond obvious that WMI has a solid case and position against JPM and the FDIC. Either the parties are going to settle the litigation with WMI and significant value will flow down to the commons or WMI will prevail against JPM and the FDIC in what is sure to become one of the largest bankruptcy cases of the 21st century.
IMO, 2010 is going to be a wonderful year. 'nuff said.
Thats correct. It means the reorganization plan may not be adjourned any further. Of course, the court can always modify or amend the hard deadline, lol.
I believe we will hear details about the reorganization plan within a month or two after the $4B is awarded to WMI on summary judgment.
I took a quick look at the agenda filed on PACER earlier this morning and it seems rather uneventful as many items are being adjourned to the December 18th omnibus hearing. Notably, the oral argument on the FDIC's Motion for an Order Modifying the Automatic Stay is adjourned.
Excellent analogy.
Wow, thats interesting. Good catch, Godfather. Notice the lack of "failed bank" language as well. It seems like the media is finally starting to acknowledge that there may be more beneath the surface of this mess.
As for Judge Walrath, I highly doubt she is taking her time in issuing a decision simply to deny WMI's Motion for Summary Judgment. She is, IMO, either (1.) drafting a bulletproof opinion and order that will withstand any/all appeals filed by JPM/FDIC; or (2.) holding off on issuing her decision pursuant to closed door settlement negotiations.
Given the circus antics we've all seen from JPM and the FDIC in delaying these proceedings, I think it is the former of the two possibilities which only means we have more time before a settlement is announced. But then again, who knows?
Thank you kindly for the writeup and opinion, Dan. It was very much appreciated.
Excellent post, Fish. I think you may have put the majority of this puzzle together..
Every cent counts in this game.
Yeah, he did. The guy is a trooper.
I might take you up on that, Yanik. I'm in Hoboken.
Brembo is also a fellow tri-stater.
Excellent post. Member mark for your thoughts.
Based on that article, it seems to me as JPM now has an agency relationship with FBRC just as it has with NITE.
Heres the connection, Fish:
http://www.finalternatives.com/node/8953
It is overwhelmingly clear that JPM is behind this.
Jerle, this was your best post yet. Bravo!
Jerle, I don't see how you interpret her statement to mean that her "advisement will probably start next month." I think you're over-reaching. If she said she will rule ASAP, she will issue a decision ASAP. Stick to the facts and don't try to extrapolate some story behind them.
Anytime, Doc.
I've learned quite a bit from this experience and reinforced alot of the material I've covered in some of my classes. Interestingly enough, this case tested my beliefs and faith in our judicial system and in spite of all of the procedural advantages (delays) afforded to JPM/FDIC, I still remain ever so confident in Judge Walrath and our great nation's system of adjudication.
Thanks Doc!
Its good to hear that your daughter is considering law school. Regardless of what path she chooses, a J.D. will always be of significant value. Let me know if she has any questions and I would be happy to address them.
I addressed this earlier. See post #114352.
http://investorshub.advfn.com/boards/read_msg.aspx?message_id=42931830
Decisions aren't announced by the court, we are noticed when they're filed on PACER. This is mere pumper conjecture.
Any stockbroker you talk to would say you're crazy for investing in WAMUQ or any other pennystock for that matter. See how smart they feel when settlement proceeds flow to the commmons.
Being a carpenter doesn't make you stupid, my friend.
Thats because there is nothing significant on the schedule for this omnibus. The only thing we're waiting on is a decision on our summary judgment motion and that can come at any time. MMs are picking shares up on the cheapside right now because they can -- because people are losing faith over the fact that the Judge did not issue a decision on the spot last week.
I would rather see Judge Walrath take longer and issue a concrete, favorable decision than to see her render a unsubstantiated, quick favorable decision only for it to get reversed and/or remanded back by the appellate court after an appeal is filed to contest her findings. This is classic tortoise v. hare stuff here.
Anytime Climber!
Mordicai is right. The bankruptcy court will apply equitable principles in this particular case to make the determination on the $4B if this goes on to trial. This is something Judge Walrath may do simply by assuming the role of factfinder in trial.
I don't think Judge Walrath was bothered by the FDIC's presence. Remember, she already limited the FDIC's role in the matter several months ago. I believe she might have felt compelled to account for the FDIC's recent threat in drafting her decision and order. They made an empty threat, but it was a statement challenging her authority nonetheless. She is likely going to have her Clerk research the FDIC's scope of authority as well as subsequent case law on the issue before issuing a decision to avoid the likelihood of turnover on appeal and/or the FDIC undermining her ability to decide the issue at hand.
As I stated last week, I was not expecting a decision to come down the day/night of the summary judgment hearing -- and no one should have expected it. If we are lucky, we will see a decision granting summary judgment by the weekend. The MMs are taking advantage of everyone's misguided expectations and the doubts raised after the Judge left the matter under advisement. Our Judge has been extremely fair and has gone so far as to acknowledge that JPM/FDIC's arguments are frivolous. She knows she has exclusive authority over these proceedings and will not tolerate defiance lightly. Keep your focus forward and your eyes on the prize and all will be well in time.
My last post had broken/incomplete links. See below for the complete links and the original thread on Yahoo!
-------------
Posted by JCL58 on Yahoo!
Here is a link to the CNBC story BEFORE WAMU was closed. It was posted at 7:42 EDT (4:42 PDT)
http://www.creditwritedowns.com/2008/09/jp-morgan-chase-buys-wamu-out.html
Included CNBC video broadcast before bank was closed reporting that FDIC will be closing wamu later in the day.
Here is the JPM presentation produced for the 9:15 PM EDT conference call on 09-25-09. It has loads of data that must have taken a month to produce.
http://files.shareholder.com/downloads/ONE/757475362x0x236634/b5a3d70a-28ac-4148-8966-71b18408c8c3/JPM_WManalystpresentation.pdf
Here is proof positive that the imminent closure of WAMU was leaked. Check out the time stamp of the message post:
Thu Sep 25, 2008 at 05:32:41 PM PDT
http://www.mothertalkers.com/story/2008/9/25/4236/-FDIC-to-Seize-WaMu-and-Sell-Deposits-to-JPMorgan
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FDIC to Seize WaMu and Sell Deposits to JPMorgan
By Anne W
Thu Sep 25, 2008 at 05:32:41 PM PDT
FDIC to Seize WaMu and Sell Deposits to JPMorgan
As I shared here a couple of weeks ago, the FDIC has moved tonight to seize Washington Mutual. The FDIC has arranged a sale of the 2239 branches and their deposits to JP Morgan Chase.
The FDIC does not believe any FDIC funds will be necessary.
Welcome to JP Morgan Chase!
-------------
Posted by WAMUQD on Yahoo!
It's up on youtube now. Lets remind people that prior to the propaganda machine being flipped on, CNBC was already asking questions before they had many, if any facts.
Climber, thats odd, they were up earlier today.
Try this:
Pre-Seizure Media Coverage - Excellent Read!
Courtesy of JCL58 on Yahoo!
Here is a link to the CNBC story BEFORE WAMU was closed. It was posted at 7:42 EDT (4:42 PDT)
http://www.creditwritedowns.com/2008/09/...
Included CNBC video broadcast before bank was closed reporting that FDIC will be closing wamu later in the day.
Here is the JPM presentation produced for the 9:15 PM EDT conference call on 09-25-09. It has loads of data that must have taken a month to produce.
http://files.shareholder.com/downloads/O...
Here is proof positive that the imminent closure of WAMU was leaked. Check out the time stamp of the message post:
Thu Sep 25, 2008 at 05:32:41 PM PDT
http://www.mothertalkers.com/story/2008/...
FDIC to Seize WaMu and Sell Deposits to JPMorgan
by Anne W
::
Thu Sep 25, 2008 at 05:32:41 PM PDT
FDIC to Seize WaMu and Sell Deposits to JPMorgan
As I shared here a couple of weeks ago, the FDIC has moved tonight to seize Washington Mutual. The FDIC has arranged a sale of the 2239 branches and their deposits to JP Morgan Chase.
The FDIC does not believe any FDIC funds will be necessary.
Welcome to JP Morgan Chase!
• Anne W's diary :: ::
http://messages.finance.yahoo.com/Stocks_%28A_to_Z%29/Stocks_W/threadview?m=tm&bn=86316&tid=270466&mid=270466&tof=9&rt=2&frt=2&off=1
Good job, Fish!
I don't think anyone is saying that she can't or won't. Diamond claimed that she had to issue a decision tomorrow and I simply responded by saying she was not required to. Judge Walrath may very well issue a decision tomorrow - and I hope she does - but I am not going to expect her to.
The $4B is almost here. My ears will be set to tomorrow's oral argument while my eyes remain fixed on next week's omnibus hearing and the weekend thereafter. I have a feeling JPM will either be signing a $4B check or a $52B settlement agreement soon enough.
My fingers are crossed. Lets get paid.
Yes, she would have to write one (with an opinion). However, she may issue a decision (i.e., saying she is granting summary judgment motion, etc.) from the bench and follow up with a decision and order (i.e., so ordered document filed on the docket sheet) shortly after. In the alternative, she can take the matter "under advisement" and issue a decision and order later -- hopefully on or by the omnibus hearing next week.
I still have to read your article, lol. It sounds interesting.
I have and neither the minutes on the docket sheet, parties' motion briefs, nor the agenda say anything about a decision coming down on the matter tomorrow.
It is certainly a possibility that she will issue a decision, but its not a requirement. The only thing we know for certain is that she will hear oral argument on the motion tomorrow. Thats it.
I agree. Tomorrow's hearing should be fairly straightforward as we all seem to know what to expect. Moreover, JPM/FDIC's latest efforts to delay will be quelled by WMI before we even get to oral argument on the summary judgment motion, so I'm not too worried about any more delays.
As for Judge Sleet, I thought the parties were scheduled for a hearing on the 29th. My date may be wrong, but either way, I haven't heard anything and nothing has been posted on the docket sheet.
I took a look at the document you posted and it seems as though WMI employed STB in October of 2008 (see document #62 within the same index number) as special counsel to provide services for pending civil litigation; federal or state investigatory matters arising out of or relating to such litigation; and certain non-bankruptcy corporate, M&A, securities, regulatory and relates services and advice in coordination with Weil (see page 4 of above-referenced document). I'm not sure what work is being performed for the WaMu Executives or who is performing them.
Exactly. Don't forget JPM recently filed a motion to admit two declarations in further opposition to WMI's motion for summary judgment. Our objection to that motion was brilliant, but Judge Walrath still needs to decide whether to admit them and if so, whether the new "evidence" will create a question of fact sufficient to deny WMI's motion for summary judgment.
I would rather she cover her bases and give JPM an adequate opportunity to be heard so any avenues for appeal can be promptly extinguished.
I disagree. It shouldn't affect the stock at all.
Now, an unfavorable decision denying our motion for summary judgment might affect us, but even that shouldn't affect us too much since it would not mean the $4B isn't ours -- it would just mean that issues of fact need to be decided in trial.
Thank you, JohnnyWinter. My sentiments exactly.
How are you concluding that she must issue a decision tomorrow?
The summary judgment motion is scheduled to be heard tomorrow -- although this presents the possibility that she may issue a bench decision, it does not guarantee that she will. What is your source that she is not only hearing the motion but deciding on it as well?
She is hearing oral argument on the motion tomorrow. I don't remember reading that she has to issue a decision by tomorrow though. I highly doubt she would agree to that.