Kathy D. Patrick

Partner
713.751.5253

kpatrick@gibbsbruns.com

Joy Walker

Assistant
713.751.5342

jwalker@gibbsbruns.com

In her 30 years of trial practice, Kathy’s cases have run the gamut of high profile, high dollar, and high risk cases. She has represented clients pursuing recoveries for securities frauds in Brazil, Thailand, and Indonesia, the private prison industry, the waste disposal industry, and in mortgage-backed securities. She has also pursued commercial cases for clients seeking to enforce leveraged buyout agreements, construction contracts, and corporate indemnities. On the defense side, she successfully defended a client accused of a market allocation conspiracy in the North Sea, defended the outside directors of Enron and Westar in regulatory investigations and securities litigation, and is leading the defense of a large energy company in environmental and energy litigation. Kathy’s representative clients include: Occidental Petroleum Corporation, ExxonMobil, PIMCO, BlackRock, Trust Company of the West, Invesco, Western Asset Management, the former outside directors of Enron Corporation and the State of Arizona.

In the wake of the financial crisis, Kathy led a team that pursued recoveries for a group of 14 large institutional investors who purchased securitized mortgages that contained fraudulent or ineligible loans. Over a period of five years, Kathy and her team recovered more than $20 billion in cash and additional billions of dollars in mortgage servicing reforms from major financial institutions including Bank of America, JPMorgan, Citigroup, Residential Capital, and Lehman Brothers. Forbes magazine profiled Kathy’s RMBS efforts and called her “the woman Wall Street fears most” and the Wall Street Journal called her “the secret weapon for big bond investors seeking to recover billions of dollars on faulty mortgage-backed securities.”

After graduating from Harvard Law School, Kathy was a law clerk to Judge John R. Brown, United States Court of Appeals for the Fifth Circuit, from 1985 to 1986.

Media Highlights
Forbes: The Woman Wall Street Fears Most
Law 360’s Influential Women in Securities Law: Kathy Patrick 
Most Feared Plaintiffs Firm: Gibbs & Bruns LLP
The National Law Journal – Counsel to Counsel, Outside Lawyers to America’s Outstanding General Counsel
The Litigation Daily – Kathy Patrick, Litigator of the Week
$8.5 Billion Bank of America Deal
NYT Dealbook: The Lawyer Behind the Bank of America Settlement
Small Firm, Huge Win in Mortgage Debacle: Kathy Patrick Led Investor Charge
Patrick Takes on Bank of America in BuyBack Battle
Balancing Professionalism and Parenthood: How Women Can Succeed
The American Lawyer Details Gibbs & Bruns’s Opening Arguments in Huntsman Trial
Kathy Patrick Named to Winning Women by Texas Lawyer
Gibbs & Bruns Named A Top Litigation Boutique By American Lawyer
Texas Lawyer Names Kathy Patrick an Extraordinary Woman in Texas Law

Representative Matters

Kathy secured an $8.5 billion settlement with Bank of America on behalf of 22 institutional investors in connection with 530 securitization pools that issued over $424 billion of Countrywide-issued mortgage-backed securities.  Kathy was engaged to enforce her clients’ rights, through the governing agreements, to compel the repurchase of ineligible mortgages that do not conform to the representations and warranties concerning the collateral for the RMBS.  This was the largest private legal settlement in Wall Street’s history.  The New York Times reported the settlement as “likely to be the single biggest settlement tied to the subprime mortgage boom and the subsequent financial crisis of 2008.”  The Wall Street Journal labeled the deal a “mammoth settlement” by a group of “high-profile investors” and as the “turning point in Wall Street’s epic struggle with the fallout from the financial crisis.”  Her efforts have been recognized by The National Law Journal in its ”Counsel to Counsel, Outside Lawyers to America’s Outstanding General Counsel” special feature.

 As has been disclosed in the media, Kathy and her team are pursuing similar claims against other banks and issuers on behalf of her clients. These efforts have led to a $4.5 billion settlement with JPMorgan, a $1.125 billion settlement with Citigroup, and a nearly $1 billion settlement with the bankruptcy estate of Residential Capital.

Lead Counsel for Plaintiffs

  • In Re Residential Capital LLC – represented 18 large institutional investors in negotiation of an $8.7 billion allowed claim for mortgage repurchase liabilities against one of the nation’s largest originators and servicers of residential mortgages. 
  • Huntsman Corporation – counsel for Huntsman in suit against Credit Suisse and Deutsche Bank in connection with the failure to fund a $15 billion merger between Huntsman and Hexion in what was then the largest settlement in history arising from a failed LBO transaction.
  • NCFE  – counsel for holders of $1.6 billion in Notes issued by NCFE; recovered more than $1 billion for clients
  • PIMCO/RALI case involving $500 million in RMBS securities
  • Countrywide – counsel to holders of 25% of the voting rights in over $175 billion in Countrywide securitizations; recovered $8.5 billion settlement
  • JPMorgan – counsel to holders of voting rights in JPMorgan and Bear Stearns securitizations; recovered $4.5 billion settlement
  • Citigroup – counsel to holders of voting rights in CMLTI securitizations; recovered more than $1 billion settlement
  • NSM Steel Thailand and Mid-American Waste cases
  • Co-lead counsel in Texas Prison Bonds trial
  • Fleming Post Confirmation Trust
  • Represented RP West Ltd., developer of an apartment complex, in breach of contract case against Internacional Realty, Inc.; won $4 million for client which was upheld on appeal.

Lead Counsel for Defendants

  • Lead counsel for former Outside Directors of Enron in 100+ securities, investigative and regulatory actions pending against them
  • Former Outside Directors of Westar Energy
  • Landry’s bondholders in defeating ex parte injunction, issued by United States District Court in Galveston, that prohibited acceleration and enforcement of $400 million in notes
  • Major New York law firms in legal malpractice actions

Pro Bono

  • Lead Counsel for City of Houston in defense of suits attacking anti-smoking, concrete crushing, and air pollution ordinances
  • In re Calvin Burdine, tried initial state habeas proceeding which established that trial counsel slept through much of Burdine’s criminal trial.  Death sentence ultimately vacated in subsequent proceedings handled by successor counsel.
  • Various confidential representations of pastors and seminarians in matters involving conflicts over church governance.
  • Confidential representation of synodical authorities in matters relating to allegations of sexual misconduct

Education

Harvard Law SchoolJ.D.1985
  Legal Methods Instructor

University of Texas at El Pasowith highest honors1982

Recognition

Named to Law 360’s “20 Most Influential Women in Securities Law,” 2016

Named a “Premier Woman in Law” by the Association of Women Attorneys, 2015

Named in “The Best of the Best USA” top 30 US litigators, Euromoney Legal Media Group, 2015

Named overall “Outstanding Practitioner” by Euromoney Legal Media Group, Second Annual Americas Women in Business Law Awards, 2013

Named “Overall Female Litigator of the Year” and “Texas Litigator of the Year,” Benchmark Litigation Inaugural Awards South, 2012

Named “Top Ten Change Agent” by the Financial Times in “US Innovative Lawyers,” 2012

Named to “Winning Women” by Texas Lawyer, 2011

Named an “Extraordinary Women in Texas Law” by Texas Lawyer, 2008

Named “Best in Litigation” by Euromoney Legal Media Group, Inaugural Americas Women in Business Law Awards, 2012

Recognized by Legal 500 US
  Named a “Leading Trial Lawyer,” 2011-2018
  Named a “Leading Lawyer” for Securities Litigation: Plaintiff, 2017-2018
  Named to Inaugural “Leading Lawyers Hall of Fame,” 2017
  Recommended in General Commercial Disputes

Listed in Chambers USA, 2006-2018
  Named a “Star Individual” in Nationwide: Securities Litigation
  Named a “Star Individual” in Texas: Securities Litigation
  Named a “Band 1” Leading Lawyer in Texas: General Commercial Litigation

Named in Benchmark Litigation, 2009-2019
  “Top 100 US Trial Lawyer,” 2015-2019
  “Top 250 Women in Litigation,” 2012-2019
  “Top Ten Women in Litigation” shortlist, 2012-2015
  Named “Top Litigator” in Benchmark: Plaintiff, 2012-2015 (limited edition release)

Listed in Best Lawyers in America, 2008-2019
  Bet-the-Company Litigation, Commercial Litigation, Securities Litigation

Listed in Expert Guides: Best of Best USA, Litigation, Women in Business Law, 2010-2018

Named to Lawdragon’s 500 Leading Lawyers in America List, 2010-2019

Named a “Texas Super Lawyer” by Thomson Reuters, 2003-2018
  ”Top 50 Women” list, 2010, 2012-2014, 2018
  “Top 100 Houston” list, 2012-2014

Named in Who’s Who Legal “Leading Commercial Litigators in the World” list, 2012-2018

Named one of The University of Texas at El Paso’s “Distinguished Alumni,” 2013

Listed in PLC Which Lawyer? Yearbook, 2008-2010
  “Highly Recommended Individual” – Commercial & Securities Litigation

Admissions and Certifications

State Bar of Texas
The District of Columbia Bar
United States Court of Appeals for the Fifth Circuit
United States District Court for the Southern District of Texas

Memberships and Affiliations

American Bar Association, Member
Houston Bar Association, Member
Texas Bar Foundation, Fellow
Houston Bar Foundation, Fellow
Mosaic – Omaha, Nebraska, Board of Directors (former member)

Presentations and Publications

Panelist, “Benefits of Female Trial Counsel: Views from the Box,” Center for Law in Law – The University of Texas School of Law Program, February 23, 2017, Houston, TX

Panelist, “Women in Charge: Leading from the Bench, Bar, and Boardroom,” Houston Bar Association, Gender Fairness Program, September 2, 2015, Houston, TX

Panelist, “Cutting Edge Issues in Complex Litigation Law and Practice,” Harvard Law School, Spring Reunion 2015, April 24, 2015, Cambridge, MA

Panelist, “Trustees in the Crosshairs? – A Review of Current Issues Affecting Indenture Trustees,” American Bar Association, Business Law Section, Annual Meeting, September 11-13, 2014, Chicago, IL

Panelist, “Private Label Residential MBS Policy Issues,” ABS Vegas 2014, January 21, 2014, Las Vegas, NV

Panelist, “Financing Mortgage Loans and RMBS/CMBS Litigation: Are We Having Fun Yet? Do We Really Need to Read the TIA?,” American Bar Association, Business Law Section, Annual Meeting, August 4, 2012, Chicago, IL

Speaker/Author, “Overview of Contract Claims: Residential Mortgage Backed Securitizations,” State Bar of Texas: Suing, Defending and Negotiating with Financial Institutions (Chapter 17), February 9-10, 2012, Houston, TX

Panelist, “Mortgage Litigation,” American Securitization Forum, January 24, 2012, Las Vegas, NV

Panelist, “The Mortgage Lawsuit Tsunami: Assessing the Situation,” Institutional Investor Legal Forum, October 18, 2011, Washington DC

Panelist, “The Future of the Investor Servicer Model,” 5th Annual Mortgage Servicing Conference, April 6, 2011, Dallas, TX

Panelist, “Litigation Update,” American Securitization Forum, February 8, 2011, Orlando, FL

“Ease Burden of Plaintiffs,” The National Law Journal, June 20, 2005

“The Liability of Lawyers for Fraud Under the Federal and State Securities Laws,” 34 St. Mary’s L.J. 915 (2003)

Press