$FNMA #FANNIEGATE

A notation on the docket sheet in Jacobs v. FHFA made today says:

Minute Entry for proceedings held before Judge Gregory M. Sleet -- Telephone Conference held on 3/28/2016.  Discussion regarding the recent MDL-related filings and how to proceed with the pending motions to dismiss.  The Court will stay the case until the MDL Panel rules on the pending motion to transfer.  Defendant Federal Housing Finance Agency is directed to file a form of order staying this case, and the recently filed related case once it is assigned to Judge Sleet.

The "recently filed related case" refers to Pagliara v. FNMA filed in the Delaware Chancery Court.  Fannie Mae has exercised its right to remove that case from the state court to the U.S. District Court.

Fannie Mae exercised its right today to remove Pagliara v. Fannie Mae16-00193-0001 from the Delaware Chancery Court to the U.S. District Court for the District of Delaware, and a copy of the removal notice (excluding the exhibits we've already seen) is attached to this e-mail message.

We should anticipate seeing Mr. Pagliara file a motion to remand the case from federal court back to state court where it belongs and Fannie Mae's arguments about why the case should stay in federal court and be dismissed.

Interestingly, Fannie Mae is represented by lawyers at O'Melveny & Myers in this proceeding rather than the team of lawyers at Bancroft we've seen to date in litigation challenging the Third Amendment.16-00193-0001

FHFA's lawyers at Arnold & Porter entered their appearances in Roberts v. FHFA today, and copies of their notices of appearance are attached to this e-mail message.16-02107-001716-02107-001816-02107-001916-02107-0016

FHFA filed a Notice today with the Judicial Panel on Multidistrict Litigation pulling Pagliara v. Fannie Mae and Pagliara v. Freddie Mac into its request for transfer and consolidation, and a copy of that Notice is attached to this e-mail message.MDL 2713-0009

Freddie Mac exercised its right today to remove Pagliara v. Freddie Mac from the Virginia Circuit Court to the U.S. District Court for the Eastern District of Virginia, and a copy of the removal notice (excluding the exhibits we've already seen) is attached to this e-mail message.

We should anticipate seeing Mr. Pagliara file a motion to remand the case from federal court back to state court where it belongs and Freddie Mac's arguments about why the case should stay in federal court and be dismissed.16-00337-0001