Category Archives: Preemption

Supreme Court addresses National Bank Act preemption

The Supreme Court today issued a unanimous decision on an issue concerning the scope of preemption under the National Bank Act. In this case, a borrower sued Bank of America for failing to pay interest on his mortgage escrow account, as required by New York law. The bank argued that the National Bank Act preempts […]

Second Circuit Upholds NY Affordable Broadband Act

In 2021, New York enacted the Affordable Broadband Act (ABA), which requires internet service providers to offer broadband internet to low-income New Yorkers at reduced prices. Providers sued, arguing that the law was both field preempted by the Communications Act of 1934 (as amended by the Telecommunications Act of 1996), and conflict preempted by the […]

Court partially vacates NJ law requiring multilingual credit-file disclosures

In 2019, New Jersey amended its state fair credit reporting act to require national credit reporting agencies to provide, upon request, credit file disclosures to New Jersey consumers in certain languages other than English. An industry association sued, alleging the statute was preempted by the federal fair credit reporting act, and violated the First Amendment. […]

New York courts reject challenges to nursing home patient protection laws

In the wake of studies showing that cost-cutting by nursing homes contributed to high COVID death rates at New York’s nursing homes, the state legislature enacted a law that set minimum staffing levels, required minimum spending levels on resident care, and capped profits. Though enacted in 2021, implementation was delayed for several years, and the […]

Supreme Court to consider scope of preemption under National Bank Act

The Supreme Court on Friday agreed to hear a case called Cantero v. Bank of America, concerning preemption under the National Bank Act. The petition describes the issue this way: “At least thirteen states have enacted laws requiring mortgage lenders to pay a minimum interest rate on funds held in mortgage escrow accounts. Congress has […]

Massachusetts High Court Upholds State Fiduciary Rule

In 2018, the Fifth Circuit vacated the Department of Labor’s 2016 Fiduciary Rule, which required certain broker-dealers and investment advisers providing investment advice subject to ERISA to act in consumers’ best interests, as opposed to their own.  DOL has indicated it will be proposing a new rule. But in the meantime, states have adopted and […]

Split Ninth Circuit Rejects Challenge to Nevada Medical Debt Law

In June 2021, Nevada enacted a law that requires debt collectors to provide written notification to debtors 60 days before taking any action to collect a medical debt.  Debt collectors sought a preliminary injunction against the law, claiming it violated the First Amendment, was unconstitutionally vague, and was preempted by the FCRA and the FDCPA.  […]

Ninth Circuit *Can* Believe It’s Not Butter…It’s a Spray

FDA regulations set out different “serving sizes” that should be used on nutrition labels for different categories of food. In the “Fats and Oils” category, regulations have different sizes for “Butter, margarine, oil, shortening,” “Butter replacement, Powder,” and “Spray types.” Consumers sued the makers of “I Can’t Believe It’s Not Butter! Spray” contending that the […]

Fifth Circuit: FDCA doesn’t preempt mislabeled cupcake claim

In 2018, C.S., a seven-year old with various food allergies, attended a family friend’s birthday party. The friend’s parent had purchased a cupcake at Whole Foods that had been labeled “vegan.” But that cupcake was not actually vegan, C.S.’s parents now allege, and C.S. suffered an allergic reaction, which has now led to “a number […]

Eighth Circuit rejects preemption challenge to city’s flavored tobacco ban

After the City of Edina, Minnesota, banned the sale of flavored tobacco products, R.J. Reynolds and other tobacco industry companies sued, arguing the law is preempted by the federal Tobacco Control Act. In a unanimous per curiam opinion, the Eighth Circuit affirmed the district court’s decision holding that the law is not preempted.  Agreeing with […]