U.S. Bank N.A. won a motion to compel arbitration in a proposed class action over alleged duplicate ATM and debit card overdraft fees.

The putative class will be held to the arbitration provision in the deposit account agreement customers sign when opening an account, the U.S. District Court for the Southern District of California said.

A 2017 California Supreme Court ruling invalidating waivers of the right to seek public injunctive relief in any forum doesn’t void the arbitration agreement, the court said.

The Federal Arbitration Act preempts the state supreme court ruling, the court said.

The complaint defines two classes of account holders.

One group of customers were assessed duplicate out-of-network fees when checking their balances before making an ATM withdrawal.

The other group of account holders were charged an overdraft fee on a debit card transaction that was authorized at a time when the account balance exceeded the amount of the transaction.

The complaint alleges breach of contract and violations of California’s unfair competition law.

The court ordered a stay of the proceedings pending the outcome of the arbitration proceedings.

Judge Cathy Ann Bencivengo issued the ruling.

Tycko & Zavareei LLP, Carlson Lynch Sweet Kilpela & Carpenter, LLP, and Kaliel PLLC represent the proposed class of account holders.

Morrison & Foerster LLP represents U.S. Bank N.A.

The case is McGovern v. U.S. Bank N.A., S.D. Cal., No. 18-CV-1794, 1/25/19.