Last Monday, the California Supreme Court issued its decision in Hohenshelt v. Superior Court of Los Angeles County, and held that California Code of Civil Procedure section 1281.98, a provision of the California Arbitration Act that governs the payment of fees in employment and consumer arbitrations, is not preempted by the Federal Arbitration Act. That provision […]
Category Archives: Preemption
The National Credit Union Administration has promulgated regulations regarding the applicability of state laws to federal credit unions, including 12 C.F.R. s. 701.35(c), which, after setting out how a federal credit union may may determine the types of fees affecting the maintenance of its accounts, provides: “State laws regulating such activities are not applicable to […]
In 2008, Puerto Rico adopted a law prohibiting merchants from charging credit card surcharges, while allowing merchants to offer cash discounts. In 2013, the legislature dropped the provision allowing cash discounts, and the Puerto Rico Department of Consumer Affairs has since issued an interpretation that cash discounts are forbidden. A group of merchants sued, arguing […]
Oregon enacted the Toxic-Free Kids Act, which directs the Oregon Health Authority to establish and maintain a list of high-priority chemicals of concern for children’s health. Manufacturers of consumer products with those chemicals to provide certain notices are required to publish notices, and, after several years, are prohibited from selling those products in the state. […]
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 […]
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 […]
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. […]
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 […]
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 […]
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 […]