Replies to post #686736 on Fannie Mae-No Politics (FNMA)

[kthomp19]

you think the 5B set aside for settlement and september date from LA have any relevancy to anything at this point?

It was certainly relevant to Calabria and Mnuchin, but I don't know how much Biden (and thus Yellen and Biden's FHFA director pick) will care about it.

The Collins decision certainly looks like it kills off all injunctive relief cases. All that's left are cases over damages, and in all the USCFC cases it's Treasury that is liable and thus would care about limiting its liability. Presumably, capital could be raised with one or more of these cases outstanding because the new investors wouldn't care about Treasury's liabilities.

The Perry case is the outlier here, and is scheduled for trial in July 2022. The main thing that makes it different is that Fannie and Freddie themselves are named defendants, which really would prevent capital from being raised while the case continues.

I don't see the September date in the January letter agreement as being relevant. It was only a "deadline" for FHFA and Treasury to report to Congress, not to actually do anything, and Biden's pick should be in office before then, meaning that pick and Yellen can amend the September deadline out.