Freddie Mac-No Politics (FMCC)

[Ace Trader]

Everyone has to understand HERA
Quote:
The NWS was fully legal. The Supreme Court said so. Lamberth echoed that here, saying that the NWS was authorized by statute. The distinction he made in that sentence is that FHFA can commit a legal act ("statutorily authorized", in his terms) but still be liable for damages.
End Quote:

SCOTUS only ruled that the FHFA was following the law set out in HERA! It did not rule that the NWS was legal. When the FHFA installed the NWS, it did hurt investors and that comes under the relum of acting in bad faith and fair dealing. A jury found that to be true. HERA is the law and what's in HERA lays out what the FHFA can do ! Why ?

Now that's the end of it. This case cannot be used to remove the NWS and make it illegal in the future.Because the NWS is legal because it's in the realms of what the FHFA can do. But the effect of what the NWS did to investors is what the jury found to be ( acting in bad faith and fear dealing ) to investors.