Replies to post #615922 on Fannie Mae-No Politics (FNMA)

[JoEy D BuLL]

ok so u bought after the conservatorship. why the shares don't carry the rights with them in the transfer of ownership? the shares r of the same company.. the shares existed how can u treat 1 share different than another?

if somebody sold their shares that should mean they passed along any right to compensation. it should follow the share. a share is a share, the company owner is the company owner..

the same shares could have changed hands everyday.. so according to u nothing needs to be rewarded equally to all commons?? makes no sense

[kthomp19]

1) The FHFA put FnF into conservatorship on agreed consent, then the liquidation preference should be paid down but the companies are not allowed to do so per contract.

Where is this part alleged? Which case and which page number of the complaint?

The succession act is under fire

Only by Washington Federal, and a win by the plaintiffs in that case will only result in money damages to the named plaintiffs (and other shareholders of record as of September 5 2008 if they succeed in gaining class certification).

as HERA itself contains a lot of conflicts

Like what? And where are they challenged?

[Guido2]

Thanks for pointing out the distinction between pre and post conservatorship stock purchases. I urge everyone who owns pre- conservatorship shares to hold on to them. Despite what Glen and others say, statutes of limitations doesn't apply during conservatorship. We can always bring action when released.

[FFFacts]

The lawsuits Challenge a list of several pages and almost everything is covered we can think of right now

1) The FHFA put FnF into conservatorship on agreed consent, then the liquidation preference should be paid down but the companies are not allowed to do so per contract.
2) The FHFA acted as Receiver but their statute was conservatorship (see 5th circuit en banc)
3) 5 U.S.C. § 706(2)(C), (D), affords relief because FHFA exceeded its statutory conservator authority under 12 U.S.C. § 4617(b)(2)(D).
Etc etc etc

These are all matters that have to be proven in court and adjudicated and remdeied accordingly. Admin action can moot the cases or plaintiffs can voluntary dismiss if they feel the remedy offered through administrative action would outweigh the remedy offered in court.