Shareholder Appeal In Freddie Mac Stock-Drop Suit Allowed To Proceed

Mealey's (January 11, 2022, 11:39 AM EST) -- CINCINNATI — In a divided opinion, a Sixth Circuit U.S. Court of Appeals panel on Jan. 6 declined to dismiss an appeal of an adverse class action ruling in a securities class action lawsuit against Federal Home Loan Mortgage Corp. (Freddie Mac) over its failure to disclose its exposure to the subprime mortgage lending crisis, ruling that a federal district court’s sua sponte grant of summary judgment in favor of Freddie Mac and others did not amount to “manufactured finality” that is prohibited by the U.S. Supreme Court’s ruling in Microsoft Corp. v. Baker....