Banks, OCC Face Litigation Headaches After Supreme Court Ruling

National banks will have to contend with more litigation to assess whether state consumer protection laws apply to them after a US Supreme Court unanimous decision on Thursday.

The high court’s ruling in Cantero v. Bank of America NA reignites a fight over bank regulation that dates back to the 19th century and featured prominently in the 2008 financial crisis: Did the 2010 Dodd-Frank Act narrow the National Bank Act’s power to override state laws?

In a decision authored by Justice Brett Kavanaugh, the Supreme Court found the US Court of Appeals for the Second Circuit didn’t properly review case ...