United States Federal Circuit

In a Winstar-related case arising from the enactment of the Financial Institutions Reform, Recovery, and Enforcement Act of 1989 (FIRREA), a judgment against the government is affirmed as to liability, but affirmed-in-part, reversed-in-part, vacated-in-part, and remanded as to damages where:: 1) the trial court properly awarded the actual costs plaintiffs paid to capital providers to maintain regulatory capital compliance as a result of the elimination of a Note Forbearance by the enactment of FIRREA; 2) the offset calculation methodology applied by the trial court was proper; 3) plaintiffs did not show that the contract was divisible, and the lower court erred in awarding partial restitution relating to a Warrant Forbearance.

Appellate Information

• Decided 03/06/2008
• Published 03/06/2008

Judges

• PROST, Circuit Judge., Before MICHEL, Chief Judge, NEWMAN and PROST, Circuit Judges.

Court

• United States Federal Circuit

Counsel

• For Appellees:
  
• Kent A. Yalowitz, Arnold & Porter LLP, of New York, NY, argued for plaintiffs-appellees.   With him on the brief were Melvin C. Garbow, Howard N. Cayne, Michael A. Johnson, Joshua P. Wilson, and Alexea R. Juliano, of Washington, DC., Kenneth M. Dintzer, Assistant Director, Commercial Litigation Branch, Civil Division, United States Department of Justice, of Washington, DC, argued for defendant-appellant.   With him on the brief were Michael F. Hertz, Deputy Assistant Attorney General, Jeanne F. Davidson, Director and Sameer Yerawadekar, Trial Attorney.