CBA Files Amicus Briefs with the U.S. Supreme Court

General information

Two important banking cases that originated in California, which CBA has reported on previously in the Monday Courier, are now working their way to the U.S. Supreme Court. In Casasola v. Greene, an appellate court allowed the bank and branch personnel to be sued by a person who was the subject of a police report despite the immunity that banks enjoy under the Annunzio-Wylie Anti-Money Laundering Act. The court in effect inserted a good faith criterion for filing suspicious activities reports, a standard that is inconsistent with the statute and which only invites protracted law suits against banks. After the California Supreme Court declined to review, the bank sought U.S. Supreme Court review. CBA’s amicus brief in support of the bank’s petition, which was joined by the American Bankers Association, was prepared by William Jay of the law firm, Goodwin Procter.

In Rose v. Bank of America, the California Supreme Court permitted the bank to be sued for an alleged Truth in Savings Act (TISA) violation under the auspices of Business & Professions Code Section 17200 even though Congress had repealed the provision of TISA that allowed private law suits. The intent of the repeal was to favor administrative enforcement, and California’s allowance of suits under its Unfair Competition Law thwarts the sensible policy interests behind the legislation to disallow private enforcement. The bank sought review with the U.S. Supreme Court, supported by an amicus brief by CBA, which the ABA also joined. Our brief was prepared by Ken Russack of the law firm Frandzel Robins.