RMBS PSAs often refer to actual knowledge. I do not think that there is much dispute that “actual knowledge” means actually knew (as opposed to deemed knowledge, about which there is a lot of dispute). But still, here is a recent U.S. Supreme Court decision on actual knowledge (including at the end how it still can be proved through circumstantial evidence). This relates to ERISA, but I expect a NY court would view things in the same way.
U.S. Supreme Court Discusses Definition of “Actual Knowledge”
Stay informed!
Sign up for email alerts and notifications here.
Read more about our Structured Finance Litigation practice.