Mr Cooper Group Inc (COOP)

[WaS]

If JPM or anyone else acquires WMI via stock swap, then anyone holding shares now would be part of such a deal.

Investors that sold their shares would have to sue JPM for compensation.

Any deal involving the ownership of WMI would only involve those that currently own shares because technically, they own part of the company.

Preferred shares would absorbed or paid off just as any other obligation.

Your "bandwagon" theory would only come into play if there was a class action lawsuit brought against WMI or JPM. If WMI's assertions are correct, then such a suit would have to be brought against JPM.

The NOLs are tied into current ownership. If these shares are simply worth worthless "bandwagon" shares as your "potentially dumb question" would present, then the NOLs wouldn't be reliant upon current ownership and there wouldn't be a court order limiting said ownership of shares.

It's not a dumb question, but it's one that's been brought up time and time again. A quick board search would have revealed this information. Likewise, although it's not a dumb question, it's one used time and time again in an attempt to shake people of their (non) "bandwagon" shares.