Supreme Court

Little guidance from court on New York interest requirement on national bank escrow accounts

Little guidance from court on New York interest requirement on national bank escrow accounts

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Justice Brett Kavanaugh’s opinion for a unanimous court Thursday in Cantero v. Bank of America will not be one for the casebooks or treatises, as it says almost nothing about how the lower court is supposed to reconcile provisions of the National Bank Act that protect national banks with a New York statute requiring all banks (including national banks) to pay interest on the escrow accounts they hold for their mortgage customers.

The difficulty arises because amendments to the … Read the rest

Supreme Court

Justices exempt bakery-truck drivers from arbitration requirement

Justices exempt bakery-truck drivers from arbitration requirement

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The justices on Friday ruled in favor of a group of truck drivers who transport goods for Wonder Bread in their arbitration dispute. Bissonnette v. LePage Bakeries Park St. is another of the court’s numerous cases interpreting the Federal Arbitration Act’s command that courts enforce mandatory pre-dispute arbitration agreements. Bissonnette involves an exception from the FAA for any “class of workers engaged in foreign or interstate commerce,” and the question in Bissonnette  is whether that exception turns on the … Read the rest