Law and legal issues

A panel of FINRA arbitrators unanimously ordered the award against the megabank based on Erin Ann Daly’s claims of gender-based discrimination.

The U.S. Department of Education agreed to erase nearly $6 billion in student loans for borrowers who filed a class action lawsuit against the government after attending for-profit colleges that were found to have misled students.

Court-appointed custodian Alfred Putnam is seeking an extension of nearly three weeks to give more groups time to nominate candidates for a vacant board seat at the Philadelphia bank and solicit proxies from investors before a special meeting.

It took less than a day for Citigroup’s now-infamous payment error to Revlon lenders to come up in the cosmetics giant’s bankruptcy.

Federal prosecutors in Manhattan are investigating the bank over allegations that it conducted so-called fake interviews with nonwhite and female job applicants, The New York Times reported Thursday.

The prepaid card issuer has now paid a total of $18 million to Republic Bank & Trust, which sued after Green Dot's purchase of its tax-refund business unraveled.

An Oct. 7 trial date looms in a case involving allegations of document destruction. The high-stakes lawsuit could complicate BMO's pending acquisition of Bank of the West.

Though costly, Wednesday’s settlement brings the $11.2 billion-asset company a step closer to resolving legal and regulatory issues that have hampered it since 2019.

Davidson County Chancery Court Judge Patricia Moskal ruled that Orion Federal Credit Union’s acquisition of Financial Federal Bank is legal under Tennessee law. The decision provides a road map for courts in other states to follow for similar M&A deals.

District attorneys in the Golden State are tangling with Credit One Bank over its debt-collection practices. The bank says the prosecutors have overstepped, but Democratic Attorney General Rob Bonta argues that the legal action should continue.

The National Credit Union Administration barred three former credit union employees from participating in the affairs of any federally insured depository institution.

A recent California Supreme Court decision means that lenders can be on the hook for consumers’ attorney fees in situations where car dealers defraud them. The case involved TD Auto Finance and a dealer that allegedly sold a vehicle without certain advertised features.

A JPMorgan Chase financial advisor filed a federal workplace complaint accusing the bank of harboring a culture of “unchecked greed, avarice and misogyny” and undermining her by excluding her from client meetings and taking away her resources.

J.P. Morgan Chase Bank N.A. was sued by a unit of the French maker of Ray-Ban glasses, which claims the bank ignored red flags as international cybercriminals drained $272 million from its New York bank account.

Hundreds of women who’ve worked for Goldman Sachs Group were given a choice: remain in one of Wall Street’s biggest gender discrimination lawsuits, or leave for the more secretive system of arbitration.

JPMorgan Chase will have to face claims that it made 160 unwanted calls to a cardholder in violation of federal law, a federal judge in Pennsylvania said.

Wells Fargo won an early round in a lawsuit accusing the bank of running a predatory mortgage lending scheme in the Atlanta area before the 2008 financial crisis and continuing to discriminate against minorities for more than a decade afterward.

A bet on gambling payments, a step for open banking and more in banking news this week.

A $1.9 billion lawsuit against Bank of Montreal — which is accused of lying to a judge after a predecessor bank destroyed documents — may go to trial late this year. The legal imbroglio is coming to a head as regulators examine the Canadian banking giant’s proposed acquisition of Bank of the West.

The company has filed a lawsuit against the banking commissioner for threatening to end its partnership with a bank that enables consumer loans to exceed the state’s 36% interest rate cap. OppFi’s argument: Its bank partner is the true lender.