Sunday, October 20, 2013
JP Morgan Approaches $13 Billion Deal With Government To Settle Civil Suits
This article describes numerous lawsuits that JP Morgan is facing in relation to the financial crisis. Some of the suits originated from its purchase of Bear Sterns and Washington Mutual which were also involved in the securitization and sale of mortgage products. The deal with the government would result in fines amounting to $13 billion. JP Morgan has also allocated $9.2 billion to pay for legal fees that have been mounting steadily. The law firms that handle these kinds of deals are as expensive as the investment banks that they are defending. Whats bad for JP Morgan is a boom for the law firms that provide legal services to the Wall Street banks.