Monthly Archives: March 2016

US District Court Decision Casts Doubt on Applicability of NBA Preemption to Bank Partners

The recent decision in Edwards v. Macy’s Inc. from a US District Court in New York seemed to provide reassurance that NBA preemption extends to non-bank agents acting on behalf of a national bank. In the Edwards decision, the court relied on Madden v. Midland Funding for … Continue reading

Posted in Federal Court, National Bank Act, Pennsylvania, Preemption | Comments Off on US District Court Decision Casts Doubt on Applicability of NBA Preemption to Bank Partners

Stipulated Settlement Waives Usury Defense

A Florida debtor entered into a series of business deals with a creditor to obtain funds to purchase real estate investment properties. After the debtor defaulted on the agreements, the parties entered into a settlement which required the debtor to … Continue reading

Posted in Bankruptcy, Civil Usury, Florida, Waiver | Comments Off on Stipulated Settlement Waives Usury Defense

Supreme Court Requests Solicitor General’s Views on Madden v. Midland Funding

Today the Supreme Court issued an invitation to the Solicitor General to file a brief expressing the government’s views on the 2nd Circuit’s decision in Madden v. Midland Funding. The Court’s request indicates that the Court will likely grant Midland’s … Continue reading

Posted in Civil Usury, Federal Court, National Bank Act, New York | Comments Off on Supreme Court Requests Solicitor General’s Views on Madden v. Midland Funding

Despite Violation of Usury Statute, Lender Still Entitled to Full Contractual Interest Rate

A recent federal appellate decision highlights the discretion often afforded judges when deciding usury cases. The case involved a Massachusetts state court judgment that a lender had obtained against the guarantor of multiple business loans. When the guarantor failed to … Continue reading

Posted in Federal Court, Massachusetts, Usury Exceptions | Comments Off on Despite Violation of Usury Statute, Lender Still Entitled to Full Contractual Interest Rate