A New York Supreme Court judge has ruled in favor of MBIA, allowing the bond insurer to gain more footing in its suit against Bank of America's Countrywide.

This week's ruling by New York Supreme Court Justice Eileen Bransten said MBIA doesn't have to establish the direct connection between Countrywide's alleged misrepresentations and MBIA's claims payments. The judgment said that MBIA need only to establish that a loan breached reps or warranty in a way that materially affects the bond insurer's interests.

Subscribe Now

Access to a full range of industry content, analysis and expert commentary.

30-Day Free Trial

No credit card required. Access coverage of the securitization marketplace, including breaking news updated throughout the day.