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Breach of Contract Financial Institutions

Hogan Lovells

English High Court decides that a letter of comfort creates legal relations

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A version of this article first appeared in Butterworths Journal of International Banking and Financial Law in June 2025. In the case of IDBI Bank Limited v Axcel Sunshine Limited & Ors the English High Court held that,...more

Poyner Spruill LLP

Enemy of a Lender: Ambiguity in Loan Documents

Poyner Spruill LLP on

Loan document terms are ambiguous when they are reasonably capable of being interpreted in more than one manner. Contract law often provides that an ambiguous term in a loan document is interpreted against the drafting party....more

Pillsbury Winthrop Shaw Pittman LLP

VietJet v FW Aviation: Latest Developments

In the context of security assignments, the judgment again emphasises the distinction between day-one assigned rights, on the one hand, and other rights and remedies exercisable only following an enforcement event, on the...more

Orrick, Herrington & Sutcliffe LLP

Class action settlement seeks approval over alleged bank fee breach

On April 24, in the U.S. District Court for the Eastern District of Arkansas, a Memorandum of Law to support an unopposed motion for final approval of a class action settlement was filed to resolve all claims against the...more

Latham & Watkins LLP

All’s Well That Ends Well for Keepwell Providers?

Latham & Watkins LLP on

No loss to issuers puts note trustees in the spotlight. The Hong Kong Court of Final Appeal (CFA) has overturned the Court of Appeal’s order that Peking University Founder Group Company Limited (PUFG), as the keepwell...more

A&O Shearman

Good faith in secured finance?

A&O Shearman on

The court implied a good faith term constraining a lender’s discretion to refuse a borrower's request to dispose of assets in a secured financing context. A power to consider requests for disposals - A facility agreement...more

Troutman Pepper Locke

Court Rules Against Banco San Juan Internacional, Inc. in Master Account Dispute

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On January 8, the United States District Court for the Southern District of New York dismissed the claims brought by Banco San Juan Internacional, Inc. (BSJI) against the Federal Reserve Bank of New York (FRBNY) and the Board...more

A&O Shearman

An interest-ing question: when is a default interest rate a penalty?

A&O Shearman on

The Court of Appeal has affirmed a three-step test for penalty clauses: (1) is it a secondary obligation; (2) does the clause protect a legitimate interest; and (3) is it extortionate by reference to the legitimate interest?...more

Troutman Pepper Locke

Amici Argue for Narrow Interpretation of National Bank Act Preemption

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A group of non-profit consumer advocacy organizations, the Conference of State Bank Supervisors, and the American Association of Residential Mortgage Regulators filed two separate briefs asking the U.S. Supreme Court to...more

A&O Shearman

Bank’s inability to establish identity of vessel owner results in inability to rely on sanctions clause

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The Court of Appeal found a confirming bank to be in breach of contract by declining to make payment under a confirmation to a letter of credit on the basis that a sanctions prohibition applied....more

Foley & Lardner LLP

Labor and Employment FAQs In Light of Uncertain Financial Times

Foley & Lardner LLP on

Notwithstanding the very recent good news that it appears the federal government and regulators currently have control and a plan in place to limit the impact of Silicon Valley Bank’s (SVB) and Signature Bank’s recent...more

Husch Blackwell LLP

Federal Court Allows Class Action on Deposit Account Fees to Proceed

Husch Blackwell LLP on

A New York federal court has largely denied a state credit union’s motion to dismiss a class action lawsuit regarding non-sufficient funds (NSF) fees, overdraft fees, and out-of-network ATM fees. See Fairchild-Cathey v....more

Spilman Thomas & Battle, PLLC

Promissory Notes - Banking & Finance Insights: V 3, Issue 1, January 2023

Plaintiffs Pursuing Increased Class Action Breach of Contract Claims for Overdraft Fees and Charges Against Customers - “With plaintiff attorneys seeing potential large dollar settlements and verdicts, along with increased...more

McGlinchey Stafford

Is My Electronic Signature Valid? - Commercial Law Bulletin - June 10 2022

McGlinchey Stafford on

Ohio- Uniform Trade Secrets Act Sal’s Heating & Cooling, Inc. v. Bers Acquisition Co., 8th Dist. Cuyahoga No. 110685, 2022-Ohio-1756- In this appeal, the Eighth Appellate District affirmed the trial court’s decision,...more

ArentFox Schiff

Municipal VRDO Class Action Survives Banks’ Request for Dismissal

ArentFox Schiff on

Financial institutions should work with outside counsel to ensure that their internal policies and external actions minimize conduct that may violate state and Federal laws and regulations, and incentivize employees to reward...more

Jackson Walker

COVID-19 & Your Business: Frequent Questions

Jackson Walker on

With heightened concern about the possible spread of COVID-19, a number of issues arise that concern businesses of all kinds. In this article, we discuss some questions companies frequently ask. Because physicians and...more

BCLP

Indonesia in Focus - February 2020

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Constitutional Court Accepts Judicial Review of Fiducia Security Law - Following the judicial review of Article 15(2) and Article 15(3) of Law No. 42 of 1999 on Fiducia Security (the “Fiducia Law”), the Constitutional...more

Troutman Pepper Locke

Depository Financial Institution Liability: Tough Lessons Learned About Fraudulent Electronic Funds Transfers

Troutman Pepper Locke on

A federal district court in the Eastern District of Pennsylvania recently issued a prescient opinion upholding traditional contract principles in this fast-moving technological age of electronic financial transmissions. ...more

Jones Day

"Serious Irregularity" in Bank Merger Matter Triggers English Commercial Court's Award Set-Aside

Jones Day on

The Situation: A bank owner and an investor entered into an agreement in which the investor would provide the funds necessary for a merger of two banking entities in return for a minority interest in the acquired bank. The...more

Bass, Berry & Sims PLC

Chris Lazarini Discusses Financial Institution’s Fiduciary Duty to Beneficiary

Bass, Berry & Sims PLC on

Bass, Berry & Sims attorney Chris Lazarini discussed a case centered around three IRA accounts and the duty that UBS had to the beneficiary following the death of the client/IRA account holder. Prior to the client’s death,...more

Jones Day

Italy: New Rules on Financial Leases Provide Clarity

Jones Day on

Law no. 124 of August 4, 2017 ("Law 124") provides important new rules on financial leases in Italy. It introduces a statutory definition of "financial lease" and deals with the event of serious breach (grave inadempimento)...more

Carlton Fields

Real Property & Title Insurance Update: Week Ending May 19 & 26, 2017

Carlton Fields on

Real Property Update - Foreclosure/Standing/Lost Note: if plaintiff did not have right to enforce note when lost, plaintiff should present evidence of assignment from payee to plaintiff or affidavit of ownership - ...more

Orrick, Herrington & Sutcliffe LLP

Orrick's Financial Industry Week In Review

Financial Industry Developments - SEC Adopts T+2 Settlement Cycle for Securities Transactions - On March 22, 2017, the Securities and Exchange Commission (SEC) adopted an amendment to Rule 15c6-1(a), shortening the...more

Stinson LLP

Emerging Trends Newsletter - Q4

Stinson LLP on

The Volcker Rule Under the Trump Administration - The so-called Volcker Rule—named after Paul Volcker, a former chairman of the Federal Reserve Board—was part of the Dodd-Frank Wall Street Reform and Consumer Protection...more

Carlton Fields

Real Property & Title Insurance Update: Weeks Ending November 18 & 25, 2016

Carlton Fields on

REAL PROPERTY UPDATE - Settlement/Waiver: borrowers permitted to raise affirmative defenses and counterclaims against lender where subject Loan Modification Agreement failed to include waiver of claims, affirmative...more

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