Plaintiffs in Calif. Mortgage Reinsurance Kickback Action Permitted to File Document Under Seal

SACRAMENTO, Calif. — A California federal judge has allowed the plaintiffs in a mortgage reinsurance kickback action to file under seal a document produced by a non-party mortgage reinsurance provider, concluding that it constitutes “trade secrets.”

On Nov. 14, Judge Dale Drozd of the U.S. District Court for the Eastern District of California found the document includes Radian Guaranty Inc.’s confidential financial projections for its product captive mortgage reinsurance, and therefore it should be filed under seal.

In June 2008, a group of individuals brought a class action against PHH Corp. and its captive reinsurer, Atrium Insurance Corp., accusing …