Professor David Reiss Featured as Leading Commentator in Media
Among the most dominant issues in any news cycle are housing policy, real estate finance, and consumer protection. As a leading authority in these and other areas, Professor David Reiss is regularly called upon to share his expertise, appearing in approximately 70 prominent news stories in the past year.
Professor David Reiss Sought After By Media for Real Estate/Consumer Finance Law Expertise
Professor David Reiss continues to be highly sought-after for his expertise in real estate, real estate finance law, and consumer financial services law. Among the numerous media outlets to recently feature his commentary are ABC News, Mainstreet.com, and Nation Swell.
Professor David Reiss Comments on Credit Suisse Case in Bloomberg Article
Professor David Reiss was quoted extensively in today’s Bloomberg article on Credit Suisse, the current target of New York Attorney General Eric Schneiderman in his pursuit of Wall Street banks for mortgage fraud. Credit Suisse asked a Manhattan judge in December to dismiss the case, as well as Schneiderman's demand for as much as $11.2 billion in damages. If the bank wins, Schneiderman will face a new roadblock as he considers similar multibillion-dollar claims against a dozen other Wall Street firms.
Professor David Reiss on Mortgage Bonds in Reuters
A prominent expert in real estate and finance law, Professor David Reiss recently spoke to Reuters
about the Federal Reserve’s newest promise to maintain low interest rates on investments. This pledge impacts investors who may be concerned about the safety of their bonds, especially mortgage-backed securities issued by Fannie Mae and Freddie Mac, whose futures remain unclear.
Professor David Reiss Comments on JPMorgan Settlement in Christian Science Monitor, Appears on High-Profile Panel
In a lead story in the Christian Science Monitor
, Professor David Reiss commented on JPMorgan’s $13 billion civil settlement with the Justice Department – the largest such settlement ever reached between the government and a corporation. The agreement follows months of negotiations, stemming from JPMorgan’s sale of mortgage-backed securities that led to the economic crash in 2008.
Professor David Reiss Discusses the Problems of Vacated Buildings in The Herald-News
Professor David Reiss spoke to The Herald-News about uses for the shuttered Joliet Correctional Center in Joliet, IL. City leaders are struggling with the building's vacancy, due to its age, size, and historical value. Professor Reiss compared Joliet's looming problem with solutions New York developed for dealing with vacant buildings.
Professor David Reiss on Lowering Fannie Mae and Freddie Mac Loans
Professor David Reiss spoke to Law360 about the Federal Housing Finance Agency's proposal to limit the size of Fannie Mae and Freddie Mac loans. Although some experts see the decision as a step backward in the recovery of the housing market, Professor Reiss argued that the limits are necessary for relieving government support on the mortgage market.
Professor David Reiss Comments on Modern Myths About Home Buying
In a recent article by TheStreet.com, Professor David Reiss commented on the modern myth that fixed rate mortgages are the best option when buying a home. He encouraged home buyers to make honest assessments about how long they plan on owning a particular property before choosing a 30-year fixed rate mortgage, which have typically higher interest rates than short-term adjustable rate mortgages.
Professors Brad Borden and David Reiss Discuss Foreclosure Commentary in New Thomson Reuters Interview
In an interview with Thomson Reuters
, Professors Brad Borden and David Reiss discussed their recent commentary “Show Me the Note!” (Westlaw Journal Bank & Lender Liability
, 2013) – the title of which references a defense used to forestall or prevent a foreclosure.
Professor David Reiss on the Continued Success of FIRREA
In a recent Law360 article, Professor David Reiss commented on the continued success of the Financial Institutions Reform, Recovery and Enforcement Act (FIRREA), in particular, the prosecution of credit agency Standard & Poor's over fraudulent ratings.
Professor David Reiss Comments on Renewed Trend of Low Credit Card Rates
Professor David Reiss recently spoke about the renewed trend of low-interest credit cards. Many consumers are wary of financing deals after 0% periods end, but Professor Reiss assures that the Credit CARD Act of 2009 protects against underhanded credit lenders.
Professor David Reiss Comments on Beltway’s “Top Complainers” Status in Baltimore Sun
Professor David Reiss was quoted in a Baltimore Sun article about Maryland’s No. 2 ranking in grievances to the Consumer Financial Protection Bureau. Second only to New Hampshire in mortgage complaints per capita, the state is also ranked third for complaints about credit cards and fifth for gripes about banks and service.
Professor David Reiss Discusses Possible Threats to the Housing Recovery on CBS News
While signs show that the housing market is finally in recovery, Professor David Reiss spoke to CBS News about several factors that may delay a full comeback. In particular, he comments on the changing role of the government in the mortgage market.
Professor David Reiss Comments on the Possible Empire State Building IPO in Bloomberg
In Bloomberg, Professor David Reiss commented on this week's vote that effectively ensures a forthcoming IPO for the Empire State Building.
Professor David Reiss on the Success of FIRREA
Professor David Reiss spoke to Law360 about recent civil cases that demonstrate the broad interpretation of the Financial Institutions Reform Recovery Enforcement Act (FIRREA). Following successful suits against Bank of America and Bank of New York Mellon Corp, Professor Reiss notes, “There seems to be a greater interest now in pursuing financial wrong doing. With FIRREA, it’s a whole new game.”
Professor David Reiss Comments on Empire State Building IPO
In television and print interviews, Professor David Reiss commented on today’s ruling to allow the public to buy shares in the Empire State Building. The court rejected arguments by a small group of current investors that the initial public offering of stock would violate state law.
Professor David Reiss Discusses Loan Ramifications of Cherryland Case
In a new Law360 article, Professor Davis Reiss commented on the latest in Wells Fargo’s loan default fight with Michigan’s Cherryland Center mall, a case that attorneys say could complicate loan negotiations and jeopardize deals in other states.
Professor David Reiss Featured as Frequent Media Commentator on the CFPB
Professor David Reiss, an expert in real estate and consumer finance law, has been a frequent commentator on issues concerning the Consumer Financial Protection Bureau (CFPB).
Professor David Reiss Discusses Leadership Changes in the Federal Housing Finance Agency
Professor David Reiss spoke to Law360 about the call by nine state attorney generals for the replacement of Federal Housing Finance Agency acting director Edward DeMarco over his handling of Fannie Mae and Freddie Mac.
Professors Brad Borden and David Reiss Launch REFinblog.com with Focus on Real Estate Finance
Brooklyn Law School is pleased to announce the launch of REFinblog.com, a collaborative effort between Professors Brad Borden and David Reiss and law students, focused on tracking the latest law and practice developments in the rapidly changing field of real estate finance.
Professor David Reiss Comments on Upcoming Changes to Multifamily Finance Operations
Professor David Reiss recently spoke to GlobeSt.com about the Federal Housing Finance Agency’s new plans for Fannie Mae and Freddie Mac multifamily finance operations. Some experts worry that the FHFA’s proposals to scale back financial support will have a negative impact.
Professor David Reiss Discusses Florida Robosigning Crisis
Professor David Reiss spoke to Law 360 about the robosigning crisis that was recently overlooked by the Florida Supreme Court. The high court’s ruling on Pino v. Bank of New York failed to address sanctions against banks for potentially fraudulent foreclosure proceedings, surprising many legal experts.
Professor David Reiss Speaks about Tactics in the S&P Federal Lawsuit
Professor David Reiss commented on the Justice Department's lawsuit against credit ratings giant Standard & Poor's. He explained that if the Justice Department chooses to rely on the 1989 Financial Institutions Reform, Recovery, and Enforcement Act in its prosecution, they will be extending the statute of limitations for financial crisis cases by five years.
Professor David Reiss Comments on CFPB’s Broad Document Request
Professor David Reiss commented on the Consumer Financial Protection Bureau (CFPB)’s approach to investigations of companies. Experts argue that its strategy is an attempt to show that the fledgling agency is willing to be aggressive and stand up to large corporations.
Professor David Reiss on Eminent Domain in National Law Journal Op-Ed
Professor David Reiss discussed new mortgage plans being implemented by local governments across the country in a recent op-ed for the National Law Journal. He supports the proposals, which restructure “underwater” mortgages, calling them “constitutional, beneficial, and administratively feasible.”
Thompson Reuters Features Excerpt from Forthcoming Study by Professors Bradley Borden and David Reiss
featured an excerpt from a forthcoming study by Professors Bradley Borden and David Reiss about mortgage securities investors facing huge tax losses and the so-called “Wall Street Rule.”
Professor David Reiss Discusses on the CFPB’s Regulation of Mortgage Insurers
In an article for Law360, Professor David Reiss discussed the Consumer Financial Protection Bureau’s (CFPB) recent inquiries into mortgage insurance companies.
Professor David Reiss Comments on Morgan Stanley Ratings Fraud Case in Bloomberg
Professor David Reiss spoke to Bloomberg about a recent lawsuit against Morgan Stanley, claiming that the company was given unwarranted investment grade ratings. The ratings agencies, including Standard & Poor’s and Moody’s, not only deny the allegations, but have also historically had similar charges against them dropped.
Professor David Reiss Comments on Obsolete City Reports
Professor David Reiss recently spoke to Channel 13 News about New York's plan to overhaul obscure committees and reports that no longer hold any purpose. The new Report and Advisory Board Review Commission will assess bureaucratic groups to determine whether they have become obsolete.
Professor David Reiss Comments on Foreclosure Settlements on American Public Media's Marketplace Economy
On American Public Media's Marketplace Economy, Professor David Reiss calls the $25 billion settlement among banks and victims of foreclosure fraud insufficient.
Professor David Reiss on Fannie Mae and Freddie Mac in Law360
In the wake of the U.S. financial crisis, the Obama administration is following calls by critics to wind down mortgage giants Fannie Mae and Freddie Mac. One proposed option, supported by many industry experts, allows the government to absorb securitized mortgage risk with an insurance fee. However, Professor David Reiss, who specializes in real estate and finance law, told Law360 that this proposal might not be a drastic enough shift from other current loan models.
Professor David Reiss Discusses State and Local Government Debt on American Public Media
In an interview for American Public Media's Marketplace, Professor David Reiss spoke about growing fears among state and local governments that budgets will not be able to cover rising pensions and health care costs.
Professor David Reiss Comments on Dodd-Frank Matchmaking Ratings Board in Bloomberg Law Reports
Investor advocates and Congress members who favor stricter financial regulation are internally clashing over a proposed addition to the Dodd-Frank Act that would create a board that matched ratings with ratings jobs. Opponents of the proposal, such as Professor David Reiss, claim it is too narrow and does not allow for alternatives.
Professor David Reiss Comments on the Rise of Credit Card Usage in Forbes
Although major banks are pleased with the renewed trend of credit card usage over debit cards, the Consumer Finance Protection Board (CFPB) seeks to educate consumers on the potential dangers of high credit card balances. Professor David Reiss, an expert on consumer finance law, spoke to Forbes
about the CFPB's upcoming "Know Before You Owe" consumer outreach project. "It can seek to provide financial literacy training to a broad swath of the population,” he said. “It can require even clearer disclosures by credit card companies and it can regulate the types of products that credit card companies issue to ensure more standardized product offerings across the industry."
Professor David Reiss Comments on High Fannie Mae and Freddie Mac Executive Salaries in the International Business Times
One day after Congress suspended the compensation packages of top executives at companies that received federal bailout funds, representatives from Fannie Mae and Freddie Mac defended their high salaries. Top officials from the mortgage giants argued that their compensation packages were necessary for maintaining specialized and experienced employees in a difficult economy. While many lawmakers and experts were shocked by Fannie Mae and Freddie Mac's audacity in face of high unemployment throughout the nation, Professor David Reiss told the International Business Times
that Congress was not yet focusing on the bigger issue.
Professor David Reiss Comments on the Influence of Wall Street on Municipal Bankruptcies
Professor David Reiss, an expert on real estate and consumer finance law who has extensively covered the nation's mortgage crisis, commented on a recent article in the Atlanta Journal-Constitution comparing the Wall Street-backed water and sewer upgrades in Atlanta and Birmingham. Birmingham residents are blaming city officials for "falling for Wall Street's financial schemes" after the county filed for bankruptcy. “Local officials are tempted by apparently easy money cloaked in newfangled terms,” he said. “They sometimes willingly suspend their disbelief in things that are too good to be true. And investment bankers remain true to their timeless temptation: profits and bonuses, pushing products that may be inappropriate on local officials, some of whom bite."
Professor David Reiss Discusses Disputes Between Fannie Mae, Freddie Mac, and Wall Street in the National Law Journal
The ongoing battle of Fannie Mae and Freddie Mac against Wall Street banks continues as the Federal Housing Finance Agency (FHFA) files 18 lawsuits against financial institutions that sold $200 billion worth of securities to the two mortgage giants. While the FHFA argues that Fannie and Freddie were misled, investment banks claim everyone involved in the transactions were aware of the risks. Professor David Reiss commented on the topic to the National Law Journal. "Although the argument that 'it's hypocritical to claim you were deceived if you deceived people, too' may be good politics for the banks," he explained, "It may be legally irrelevant. They're two different things."
Professor David Reiss Discusses the History of Finance in a Westlaw Journal Op-Ed
In an op-ed for the Westlaw Journal Expert Commentary Series
, Professor David Reiss discusses the recent history of American finance, which he argues many politicians and Wall Street figures forget when negotiating policies. He explains how critics of the Consumer Financial Protection Bureau in particular often disregard events of the past decade, including the subprime boom in the early 2000s and the former banking positions of current CFPB leaders.
Professor David Reiss Quoted on GSEs in The New American
In a recent article on the federal government's plan to help struggling homeowners, The New American
discusses the problems with government-sponsored enterprises (GSEs) that privatize profits and socialize losses. The magazine quotes Professor David Reiss' piece in Policy Analysis
, "Fannie Mae, Freddie Mac, and the Future of Federal Housing Finance Policy," which explains that a lack of regulation "is at least as bad for the federal government."
Professor David Reiss Comments on the Future of Ratings Agencies
As experts continue to point fingers in the wake of the economic recession, Risk Management Magazine
explores the potential futures of ratings agencies. The magazine spoke with Professor David Reiss on "the perfect storm" of risk management departments overly dependent on credit agency monopolies. "This raises the issue of regulatory privilege," he commented. "Why should a select group of rating agencies be effectively given a monopoly over this risk assessment process? And more importantly, their many failures over the years raises the question of whether this system actually works."
Professor David Reiss Proposes New Organizational Structure for Federal Housing Agencies
Professor David Reiss, a leading expert on federal housing policy, credit rating agencies, and real estate law, has written two recent white papers about Fannie Mae, Freddie Mac and the future of federal housing finance policy. He recommends a series of reform proposals including eliminating any future federal bailouts of Fannie and Freddie. He recently explained the reasoning for these proposals in a BLS Podcast.
Professor David Reiss to Speak at the American Credit Union Mortgage Association 2011 Fall Conference
Professor Davis Reiss will be a featured speaker at the American Credit Union Mortgage Association's 2011 Fall Conference. The conference is held annually for ACUMA members and will discuss changes brought about by evolving technology, new regulations, and consumer social trends.
Policy Analysis by Professor David Reiss Published by the Cato Institute
Professor David Reiss' policy analysis, "Fannie Mae, Freddie Mac, and the Future of Federal Housing Finance Policy: A Study of Regulatory Privelege," was published by the Cato Institute. In the article, Professor Reiss assesses Fannie Mae and Freddie Mac's roles in the context of regulatory theory. He argues that ultimately the mortgage giants should be privatized so as to better compete with other lenders, while its public functions should be absorbed by the government.
Professor David Reiss on Freddie Mac’s Warning to Mortgage Lenders in Bloomberg
In Bloomberg, Professor David Reiss discussed a warning recently made by government-owned Freddie Mac and Fannie Mae concerning the lending industry. Although the rule has been long-standing, the mortgage lender giants stated that they will be strictly requiring lenders and loan insurers to disclose cash-for-permanent-policy deals. Commenting about the announcement, Professor Reiss said, “For insurers, a settlement means they’re getting some certainty on potential liabilities.”
Professor David Reiss' Speaks with Filene Research Institute about Fannie Mae and Freddie Mac
The Filene Research Institute spoke with Professor David Reiss about the reform of Fannie Mae and Freddie Mac. He suggested possible solutions for handling the longterm effects of the bailout and how credit union reform can further develop to protect investors.
Fannie Mae and Freddie Mac Op-Ed by Professor David Reiss Featured on AOL News
In an op-ed for AOL News, Professor David Reiss discusses the future of the failing mortgage giants, Fannie Mae and Freddie Mac. Urging Congress and the Obama administration to take radical action, he argues that the hybrid model of Fannie Mae and Freddie Mac are no long needed into today's economic world. Professor Reiss explains, "Fannie and Freddie are not, however, integral to a healthy market for residential mortgages, and we now have an opportunity to fundamentally reshape housing finance policy so that it meets the needs of American homeowners and taxpayers."
Professor David Reiss Comments on Rising Costs of Pension and Health Care on NPR’s Marketplace program
Although state and local officials are beginning to express worry that they will be unable to afford rising pension and health care costs, many credit rating agencies do not seem to be factoring this risk. Professor David Reiss was interviewed by Bob Moon about how the National Association of Insurance Commissioners and the rating agencies are butting heads on the issue. The major rating firms are "disappointed with Enron and WorldCom," he said."They are disappointed with mortgage-backed securities, and I think that people are kind of hyper-sensitive."
Professor David Reiss on Bank of America and GMAC Foreclosures
After a period of temporary stops due to reports of allegedly incorrect paperwork, Bank of America and GMAC Mortgage are resuming foreclosures. On the topic, GlobeSt.com referenced a previous article featuring Professor David Reiss speaking on the vetoed foreclosure notarization bill."The TV images of banks evicting homeowners when they can’t even prove that they own the mortgage are enraging people", he said. "It is hard to imagine that change is not in the offing."
Professor David Reiss Comments on Vetoed Foreclosure Notarization Bill
President Obama vetoed a bill on October 7 that would have made it more difficult for homeowners to fight foreclosures that may have been improperly documented. Professor David Reiss, an expert on real estate law, told GlobeSt.com, "The TV images of banks evicting homeowners when the banks can't even prove that they own the mortgage are enraging people--it is hard to imaginethat change is not in the offing."
Professor David Reiss Speaks to ABC News about National Foreclosure Rates
The nation’s economic recession does not seem to be nearing an end, with the studies showing that the foreclosure rate is up 25% since August 2009. ABC News covered the top 10 cities in the country with the highest rates of foreclosures and warned buyers interested in this real estate. “A town can have stunningly beautiful houses and they’re only work $100K because there are no real jobs,” said Professor David Reiss in an interview with ABC. “People can’t live [in certain towns] because there are no jobs. A home’s real value is related to the local economy.”
Professor David Reiss on Lender/Insurer Side Deals
Mortgage insurers have been cutting cash payment deals with lenders in exchange for turning a blind eye to bad underwriting practices. In the current economic crisis, this likely means the government will have to cover more and more losses. Fannie Mae and Freddie Mac, for example, own $160 billion of insurance that is now on the shoulders of federal banks. Professor David Reiss told Insurance Networking News: “It creates a situation where there’s the potential for arbitrage, where the private insurers and the lenders realize their nets will increase if they screw Fannie and Freddie.”
Governing Magazine Interviews Professor Reiss on Fannie Mae and Freddie Mac
In the days before the US Treasury Department convenes to discuss the future of Fannie Mae and Freddie Mac, the failing lending companies that own more than $5 trillion of American home loans, Governing Magazine spoke to finance and real estate experts, including Professor David Reiss. Professor Reiss outlined four ways the companies should be retooled to best protect borrowers.
Professor David Reiss Discusses FCIC Hearings on Bloomberg TV
On June 3, Professor David Reiss was featured on Bloomberg TV to discuss statements made in the Financial Crisis Inquiry Commission (FCIC) hearings, which look to better understand the causes of the current economic crisis. In his interview, he reiterated his criticisms of rating agencies, who have become “too enmeshed in the business of Wall Street” and have lost sight of providing accurate ratings. “It’s created a laziness I think in the raters,” he told Bloomberg TV, “because they have this privileged regulatory status. I think we need to start rolling that back and making the rating agencies rely more on the actual accuracy of their ratings.”
Prof. Reiss Discusses with Reuters the Conflict of Interest Between Investment Banks and Credit Rating Agencies
In the aftermath of the big bank collapses, many critics are blaming the conflicts of interest between investment banks and credit raters. Professor David Reiss told Reuters that ratings could not be completely objective if profit was involved: “It was incestuous -- banks and rating agencies had a mutual profit motive, and if the agency didn't go along with a bank, it would be punished.”
Prof. Reiss on Final Atlantic Yards Deal
Professor David Reiss was quoted in the New York Daily News on a piece about Daniel Goldstein, the last resident currently living at the Atlantic Yards site. With a payout of $3 million, Mr. Goldstein has finally agreed to vacate his condo, providing developer Bruce Ratner a clear path toward construction. Professor Reiss, an expert on property law, commented that the developer is actually paying for time: "Forest City Ratner is getting a lot from getting him out on a [certain date]."
Professor Reiss Interviewed on Bloomberg TV about Ratings Companies
On April 8, Professor David Reiss appeared on Bloomberg Television’s Investment Program “Taking Stock” to discuss the ever-growing need for rating agency regulation. One main problem, he explained, was the conflict of interest in which rating agencies are paid to rate companies on a commission-like basis. In these circumstances, companies no longer focus on the accuracy of a rating, but rather receiving a rating at all.
Professor Reiss Criticizes "Hybrid" Financial Reform Model in American Banker
Two years into the nation's economic recession, policy makers continue the debate on financial reform, particularly around the corporations of Fannie Mae and Freddie Mac. Several solutions have been presented, including a private/public hybrid model introduced by former Treasury Secretary Henry Paulson. This would turn Fannie Mae, Freddie Mac, and other similar companies into private-sector mortgage guarantors regulated by a federal commission. Professor David Reiss spoke to American Banker on the possible implementation of this model. "The hybrid structure to my mind... is just an atrocious model," he said. "It's the worst of both possible worlds."
Professor Reiss Quoted in The Investment Professional
As the economic crisis continues, governments around the world are beginning to turn away from quick-fixes toward long term, comprehensive solutions. In an article for the Investment Professional, several finance experts including Professor David Reiss contributed their opinions on the matter. "Mending the Seams" outlines the current situation and proposed paths for moving forward. On the topic of credit rating agencies, Professor Reiss argues that at the very least, regulators should force these agencies to disclose conflicts of interest, especially those that might compromise ratings quality and transparency. He says, "Probably the most radical proposal would be to either disconnect compensation from the provision of ratins or disconnect regulation from rating. In other words, to say that government regulations cannot incorporate ratings. There would have to be some other metric for what they could invest in."
Professor David Reiss Presents at the Cato Institute
Professor David Reiss presented at the Cato Institute's policy forum "Which Way Forward for Fannie Mae and Freddie Mac?" in Washington, DC. Panelists at the event are policy and economic experts discussed the past and present regulatory structures of Fannie Mae and Freddie Mac, as well as offer proposals for reform.
Professor Reiss Weighs in on Broadwater Energy’s Long Island Sound Project
Denied approval by the U.S. Department of Commerce for a liquefied natural gas terminal in Long Island Sound, Broadwater Energy is considering taking the issue to court. Many legal experts however say the company’s chances of overturning the decision are low. Professor David Reiss told Newsday, “Generally the courts show deference to administrative agencies unless there was an abuse of discretion.”
Professor Reiss Op-Ed in Legal Times
In his op-ed for the Legal Times, “Hail, Paulson,” Professor David Reiss explores the circumstances of Secretary of Treasury Henry Paulson’s $700 billion bailout request. He compares the nation’s financial crisis and Paulson’s role to that of the magister populi of the Roman Republic, and emphasizes the importance of accountability in dealing with rebuilding the economy.
Professor Reiss Op-Ed: After Fannie and Freddie
Professor David Reiss analyzes the conservatorship of Fannie Mae and Freddie Mac by Secretary of Treasury Henry Paulson in his op-ed for the National Law Journal, “After Fannie and Freddie.” In his piece, he discusses the need for the federal government to create a genuinely stable system in the event of future economic crises.
Professor Reiss Op-Ed "Fannie Mae & Freddie Mac: Socialization of Loss"
Professor David Reiss’ op-ed “Socialization of Loss” was featured in the National Law Journal. The piece criticizes the country’s current ideology of privatizing business in times of profit and socializing it in times of loss.
Professor David Reiss on Fannie Mae
Professor David Reiss's op-ed article, “Fannie Mae and Freddie Mac: Time to Avert a Bail Out,” was published in The National Law Journal on January 29. In the article, he discusses, based on recent reports of earnings losses and problems with internal controls, the possibility that Fannie Mae and Freddie Mac could become insolvent, leaving taxpayers to foot the bill. Proposed legislation to reform the regulation of the two companies seems inadequate. Professor Reiss calls on the Federal Reserve to stop granting the companies the privileges that only enable them to dig themselves further into debt. As he wrote, the consequences if the Federal Reserve fails to act are dire indeed: “Many financial crises have their Cassandras, vainly attempting to warn a heedless public of impending ruin. The Savings & Loan fiasco of the 1980s and the more recent Internet bust come to mind. The magnitude of the crisis posed by the more than $1.5 trillion of outstanding Fannie and Freddie debt could easily dwarf those earlier ones.”
Professor David Reiss in The Christian Science Monitor
Professor David Reiss’s op-ed article on the Fannie Mae and Freddie Mac mortgage finance companies was published in The Christian Science Monitor on July 13, 2006. It is received wisdom on Wall Street that the federal government would bail out Fannie Mae and Freddie Mac if they could not pay their debts - even though they are for-profit, privately owned mortgage finance companies,” Professor Reiss wrote in “No Safety Net for Fannie and Freddie.” In the article, Reiss describes the potential cost to taxpayers associated with such a bailout, one that could rise to the hundreds of billions of dollars. He argues that Congress should support the Bush Administration’s efforts to end the widespread perception that the federal government would bail out these two companies.
Professor David Reiss Wins Award for Recent Scholarship
Professor David Reiss was recently granted an award by the American College of Consumer Financial Services Lawyers (ACCSFL) for his article, “Subprime Standardization: How Rating Agencies Allow Predatory Lending to Flourish in the Secondary Mortgage Market,” in the Florida State Law Review (2006). This highly prestigious award recognized Professor Reiss’ article as the best publishable article on a topic dealing with consumer financial services law.
Daily News Op-ed by Professor David Reiss: Eminent Domain Goes Too Far
“A populist revolt is brewing on the left and on the right in response to the Supreme Court's recent eminent domain decision,” David Reiss, Assistant Professor of Law, wrote in an op-ed published Sunday, March 5, 2006 in the Daily News. The piece, “Supreme power to seize land goes too far,” describes voters’ outrage with the seizure of private property for non-traditional purposes that “have felt downright undemocratic.” He asserts that in New York an “opaque and unelected” agency is making decisions without regard for property rights and supports giving local legislative bodies more power.