(RECAP: It is becoming increasingly clear that the U.S. may have overstepped its legal rights in the handling of the Fannie Mae and Freddie Mac conservatorship. I strongly believe the government will lose its case against the numbers of companies now suing it relative to its expropriation of the profits of Fannie (and Freddie). The issues are very simple. Under the Home and Economic Recovery Act of 2008 the U.S. established a conservatorship to operate Fannie and Freddie until these companies could be returned to their charter status owned by their shareholders. In 2012, the U.S. Treasury unilaterally changed this law without the approval of Congress and for the sole benefit of the Treasury.)