Mortgage Reinsurance Defendants May Not Move for Summary Judgment on Standing Issue, Judge Rules

SACRAMENTO, Calif. – A California federal judge has refused to allow PHH Corp. and Atrium Reinsurance Co. to file a renewed motion for summary judgment on the issue of Article III standing in a class action accusing them of entering fraudulent captive reinsurance arrangements.

In a May 12 order, Judge Dale Drozd of the U.S. District Court for the Eastern District of California said defendants’ retention of new counsel, alone, is insufficient to support a finding of diligence and that they failed to explain why they did not raise the standing issue at the September 2020 status conference.

In …