Keller Rohrback is uniquely positioned to be an effective advocate for investors on claims involving PLMBS. Based on the firm’s extensive experience in securities fraud and other litigation involving mortgage-backed securities and subprime lending, firm attorneys and legal staff are experienced and ready to identify, review, and vigorously pursue their investors’ strongest claims. Keller Rohrback regularly represents plaintiffs—including both institutions and individuals—in complex and class action cases. 

The principal claims arising out of investment in PLMBS and investment instruments related to PLMBS, such as credit default swaps (“CDS”) and collateralized debt obligations (“CDO”), involve misleading statements and omissions made in connection with the sales of the securities in offering documents. These claims are most often based on violation of the applicable state securities blue sky laws, federal securities laws, and common law. Defendants include the issuers of the securities, underwriters, control persons, and other persons directly or indirectly involved in the sales (including, for example, credit rating agencies whose ratings misrepresented the credit quality of the securities). Depending on the location of the parties involved in the sale of securities, additional claims for fraud, negligence, breach of contract, unjust enrichment, unfair competition, or interference with contract or prospective economic advantage may also exist under the laws of multiple states. 

The law varies significantly with respect to the conduct on which a claim may be based, the remedies available, persons who may be liable, and statutes of limitation. As a general matter state blue sky laws offer robust remedies (including rescission) and a reasonably generous statute of limitations. Determining whether claims may be asserted under the state blue sky laws and/or other potentially applicable laws is highly fact-specific and requires a careful analysis of, among other things, the applicable disclosure documents. Keller Rohrback is available to review the materials provided to investors in connection with the sale of each relevant security, to consult with personnel who are familiar with the investments in those securities, and to prepare a detailed analysis with a careful assessment of investors’ rights and potential remedies. 

Keller Rohrback represented the Federal Home Loan Banks of Boston, Chicago, and Indianapolis (“FHLBs”) in litigation against dozens of issuers, underwriters, and sponsors of PLMBS. The relief sought by the FHLBs included rescission and damages under state blue sky laws and the federal securities laws, negligent misrepresentation, interest, and attorneys’ fees and costs. The complaints named over 120 defendants and involved over 200 securities with an original face value of $13 billion.

Keller Rohrback enjoys a national reputation for excellence in prosecuting securities claims on behalf of injured shareholders. These cases typically assert claims against at least one corporate defendant, its officers and directors, its underwriters, and/or its auditors. The firm relies upon the strong business and financial background of its attorneys. This expertise, along with the use of knowledgeable experts and state-of-the-art technology, contributes to Keller Rohrback’s successful securities fraud practice.

In recognition of Keller Rohrback’s strong performance, courts have appointed the firm to leadership positions in a number of cases and firm attorneys consistently strive to achieve outstanding results. For example, in the IKON securities litigation, Keller Rohrback, as co-lead counsel, was instrumental in negotiating a partial settlement of $111 million. Additional securities cases in which Keller Rohrback has played or continues to play a leadership role include the 2TheMart.com, Inc., Adams Golf, Inc., Anicom, Inc., Scientific Atlanta, Inc., and United Companies Financial Corporation litigations, in which shareholders allege the purchase or acquisition of shares at artificially inflated prices.