Putnam v. FGIC
Karl Snow submitted written reports and provided deposition testimony on behalf of the Financial Guaranty Insurance Company (FGIC), which insured payments to holders of certain notes issued by a collateralized debt obligation (CDO). FGIC alleged that it would not have insured the notes in question were it not for misrepresentations made by the defendant, Putnam Advisory Company LLC, regarding the quality of the collateral backing the CDO. Dr. Snow computed damages using hypothetical scenarios defined by adjustments to the makeup of the portfolio and the level at which losses triggered FGIC’s liability under the insurance policy.