FDIC Lawsuit

The MBA is the Champion for Minnesota Bankers, and we take our advocacy role on behalf of the banking industry very seriously. We not only work hard, but we also achieve measurable, positive results.

This year, the MBA has taken on a bold, new advocacy initiative: suing a federal regulator over its alleged regulatory overreach. We did not take this action lightly. The MBA Board and staff gave this matter the consideration it deserved. In the end and with the advice of outside counsel, the Board voted to support the industry by filing this lawsuit. We are grateful to Lake Central Bank for joining this suit, which makes our case even stronger.

Winning this lawsuit will have a positive effect on this specific issue. Equally as important, it will send a message to the FDIC and all the other bank regulators that we are watching them closely and that we expect them to follow the laws and regulations that govern their operations.

Update: On July 25, attorneys for the MBA and Lake Central Bank filed a brief in the U.S. Court of Appeals for the 8th Circuit, supporting their appeal of the district court’s decision to dismiss the case against the FDIC based on the lack of standing. The brief urges the Court of Appeals to reverse the district court’s decision on the standing issue, and it also seeks to vacate the FDIC’s FIL 32 as a procedurally and substantively unlawful declaration that inadequately disclosed NSF fees arising from re-presentment constitute a UDAP violation. The FDIC responded on September 20, 2024. The MBA and Lake Central Bank will file a reply brief responding to the FDIC’s brief.

Complaint

FDIC Response

MBA's Amended Complaint

FDIC Motion to Dismiss

Plaintiff's Memorandum  

FDIC Reply Memorandum

Order Granting Motion to Dismiss  

Appellants' Brief

Amicus Brief American Bankers Association

Amicus Brief Missouri Bankers Association

Amicus Brief ITS, Inc.  

Filed Brief for Defendants-Appelleest