Class-action litigation involving overdraft and nonsufficient funds charges is nothing new to many financial institutions. But in recent years, plaintiffs’ lawyers have shifted tactics and changed the types of practices they are targeting. Financial regulators have also signaled their intention to place increased focus on these charges. Financial institutions should therefore re-examine their account agreements and overdraft disclosure materials to ensure they minimize risk and exposure.
Sameer Aggarwal is a litigation associate in the firm’s Washington, DC office. He primarily works with the firm’s Commercial Litigation, Antitrust/Competition, and Appellate and Supreme Court Practice Groups.