University of California law schools and two consumer rights legal organizations have won a bid to intervene in a lawsuit where they stand to receive a collective $40 million in punitive damages from Bank of America.
U.S. Bankruptcy Judge Christopher Klein of the Eastern District of California found that the law schools and consumer protection groups acquired standing in the suit when they were unexpectedly made third-party beneficiaries of the total $45 million in punitive damages awarded in a case where Bank of America severely botched its handling of a Sacramento-area couple’s mortgage.
