Fannie Mae-No Politics (FNMA)

[Guido2]

Mnuchin did us two great favors. 1) He asked SCOTUS to rule on whether shareholders could bring lawsuits against FHFA while they were in conservatorship. Lower courts had ruled that during conservatorship only FHFA could bring lawsuits against itself based on HERA. SCOTUS ruled that every citizen has the constitutional right to sue for takings. Constitution trumps HERA. 2) He sent the January letter agreement to SCOTUS. Based on that, SCOTUS said they did not have to rule on prospective relief as NWS has ended. FHFA and Treasury cannot restart NWS.

Thanks Mnuchin.