Bank of America’s Overdraft Fee Settlement Upheld by 9th Circuit

A divided Ninth Circuit upheld Bank of America’s 2017 class action settlement to resolve claims that its “extended overdrawn balance” charges violated the National Bank Act’s usury limit, according to an unpublished decision filed Wednesday.

Judges Consuelo M. Callahan and Dana L. Christensen joined in affirming the district court’s final approval of the settlement and the $14.5 million fee award for class counsel.

Judge Andrew J. Kleinfeld dissented, writing that the U.S. District Court for the Southern District of California overvalued the settlement in applying the percentage method to calculate attorneys fees and in failing to cross-check the award based ...