Consumer's UCL Claim Based on Violation of OCC Disclosure Requirements Not Preempted
Question: Are state law claims against a national bank based on alleged violations of disclosure requirements by the Office of the Comptroller of the Currency preempted by federal law?
Answer: No, according to the Fourth District Court of Appeal in Smith v. Wells Fargo Bank, 06 C.D.O.S. 855 (Jan. 26, 2006).
Continue Reading Questions & commentsSecond District Upholds "Reasonable" Liquidated Damages Provision In Standard Form Consumer Contract
Question: Is a reasonable liquidated damages provision in a consumer contract enforceable even if there were no actual negotiations between the parties?
Yes, according to the Second District Court of Appeal in Utility Consumers' Action Network, Inc. v. AT&T Broadband, 06 C.D.O.S. 630 (Jan. 20, 2006).
Continue Reading Questions & commentsNational Bank Is Citizen Of State In Which Its Main Office Is Located
Question: For purposes of federal diversity jurisdiction, is a national bank a citizen of every state where it has a branch office?
No; only the state where its main office is located, according to the Supreme Court in Wachovia Bank National Association v. Schmidt __ U.S. __, 06 C.D.O.S. 444 (Jan. 17, 2006).
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