Lex is a premium daily commentary service from the Financial Times. It helps readers make better investment decisions by highlighting key emerging risks and opportunities. Click here to read more international insights.
Bank of America and MBIA, the bond insurer, have finally buried the hatchet. The two had been locked in a complex legal battle, each with their own crisis-era grievances against the other. On Monday, it was all resolved with BofA agreeing to pay MBIA $1.7-billion (U.S.). Both will benefit.