NEW YORK ( TheStreet) -- A U.S. appeals court ruled Monday that a proposed $8.5 billion settlement by Bank of America (BAC) related to mortgage-backed securities should be returned for review to the New York state court system, according to Reuters.
The ruling reverses a decision made by a U.S. district court judge in October, Reuters said. Bank of America is looking to settle "claims by investors in 530 mortgage securitization trusts with $174 billion of unpaid principal," the report said.
Bank of America shares closed Monday at $8.04, up 2%. The stock is up more than 40% so far in 2012.
Written by Michael Baron in New York.
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