NEW YORK (
Royal Bank of Canada
dropped its suit Friday against
a day after
did the same over a long running dispute regarding the insurers' reorganization plans.
Royal Bank of Canada filed a "discontinuance order" in New York State Supreme Court in its case against MBIA, according to a
report, citing court documents.
Calls to Royal Bank of Canada and MBIA were not immediatley returned. The RBC action comes a day after both JPMorgan and Barclays dropped out of the same lawsuit.
The lawsuit opposes MBIA's restructuring plans that included designs to create a new company capitalized with $5 billion in assets and the ability to write new business. The remaining MBIA assets left a questionable amount of capital to cover outstanding guarantees, the lawsuit argued.
Other firms that continue to be part of the lawsuit include
Royal Bank of Scotland
, among several others.
MBIA shares are down two cents, at $11.85, in current trading