July 08, 2016

Second Circuit Holds a National Bank’s Citizenship Is Determined Exclusively by Location of Main Office, Not Principal Place of Business

订阅

Jump to...

 

For purposes of assessing the existence of federal subject matter jurisdiction based on diversity of citizenship, national banking associations—i.e., corporate entities chartered not by any State, but by the Office of the Comptroller of the Currency, an independent bureau of the US Treasury—are deemed to be citizens of the State in which they are “located.” In 2006, in Wachovia Bank v. Schmidt, the U.S. Supreme Court held that a national bank is “located” in, and thus a citizen of, the State designated in its articles of association as the locus of its designated “main office,” but is not additionally “located” in, and thus a citizen of, every State in which it has established a branch. The Supreme Court, however, left open whether a national bank might also be considered a citizen of the State of its principal place of business, if its principal place of business were located in a different State than its main office, observing that such treatment would be necessary to achieve jurisdictional parity between national and state-chartered banks. In OneWest Bank, N.A. v. Melina, No. 15-3063, 2016 WL 3548346 (2d Cir. June 29, 2016), the Second Circuit agreed with the other Circuit Courts to have considered that question post-Wachovia and held that a national bank is a citizen only of the State listed in its articles of association as its main office, and not also of any other State where it may have its principal place of business. In so holding, the OneWest Court rejected the notion that the concept of jurisdictional parity should be read into the relevant statutes.  As a result, insofar as national banks can be deemed to be a citizen of one and only one State, they will be in a preferred position vis-à-vis state-chartered banks, which can be deemed to be citizens of more than one State, for purposes of invoking diversity jurisdiction within the Second Circuit.

View full memo, Second Circuit Holds a National Bank’s Citizenship Is Determined Exclusively by Location of Main Office, Not Principal Place of Business

Authors and Contributors

Stuart J. Baskin

返聘高级顾问

诉讼

+1 212 848 4974

+1 212 848 4974

纽约

高 致远

合伙人

诉讼

+1 212 848 7140

+1 212 848 7140

+86 21 6136 5000

+86 21 6136 5000

纽约

Matthew L. Craner

合伙人

诉讼

+1 212 848 5255

+1 212 848 5255

纽约

Agnès Dunogué

合伙人

诉讼

+1 212 848 5257

+1 212 848 5257

纽约

H. Miriam Farber

Knowledge Management Attorney

诉讼

+1 212 848 5156

+1 212 848 5156

纽约

Stephen Fishbein

合伙人

诉讼

+1 212 848 4424

+1 212 848 4424

纽约

Jerome S. Fortinsky

合伙人

诉讼

+1 212 848 4900

+1 212 848 4900

纽约

Alan S. Goudiss

合伙人

诉讼

+1 212 848 4906

+1 212 848 4906

纽约

John Gueli

合伙人

诉讼

+1 212 848 4744

+1 212 848 4744

纽约

Adam Hakki

合伙人

诉讼

+1 212 848 4924

+1 212 848 4924

纽约

Daniel H.R. Laguardia

合伙人

诉讼

+1 415 616 1114

+1 415 616 1114

+1 212 848 4731

+1 212 848 4731

旧金山

Daniel Lewis

合伙人

诉讼

+1 212 848 8691

+1 212 848 8691

纽约

John A. Nathanson

合伙人

诉讼

+1 212 848 8611

+1 212 848 8611

纽约

Jeffrey J. Resetarits

合伙人

诉讼

+1 212 848 7116

+1 212 848 7116

纽约

William J. F. Roll, III

General Counsel

诉讼

+1 212 848 4260

+1 212 848 4260

纽约

Richard F. Schwed

合伙人

诉讼

+1 212 848 5445

+1 212 848 5445

纽约

Patrick D. Robbins

合伙人

诉讼

+1 415 616 1210

+1 415 616 1210

旧金山

Mark D. Lanpher

合伙人

诉讼

+1 202 508 8120

+1 202 508 8120

华盛顿特区

Reena Agrawal Sahni

合伙人

金融机构咨询及金融监管

+1 212 848 7324

+1 212 848 7324

纽约

Timothy J. Byrne

高级顾问

金融机构咨询及金融监管

+1 212 848 7476

+1 212 848 7476

纽约