Sharks circling subprime cash cows

Boston law firm Mintz Levin says the collapse of the subprime market has created such demand from clients that it's formed a dedicated subprime practice group, with more than two dozen lawyers as members.

The firm has seen growing demand for advice on issues ranging from investigations by government authorities and claims against directors and officers to bankruptcy, says partner Richard Moche in a press release put out by the firm.

The firm -- Mintz, Levin, Cohn, Ferris, Glovsky and Popeo, P.C. -- is one of at least five in the Boston area to form subprime lending practice groups or task forces, the Boston Globe reports.

Back in March, InmanBlog noted that another big law firm that made a mint in suits involving Enron and Lincoln Savings & Loan -- Lerach Coughlin -- was seeking to represent investors in class-action suits against a number of companies mired in the housing downturn, including Beazer Homes USA Inc., New Century Financial Corp., NovaStar Financial Inc., and Accredited Home Lenders Holding Co.

Since then, Lerach Coughlin has dropped "Lerach" from its name (it's now Coughlin Stoia Geller Rudman & Robbins LLP) and added Countrywide Financial Corp. and Radian Group Inc.to its list of prospective subprime cash cows.

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