U.S. Supreme Court Declines to Extend Discovery Rule to SEC Enforcement Actions
In the recent Supreme Court decision of Gabelli, et al., v. Securities and Exchange Commission, 133 S.Ct. 1216 (2013), the Supreme Court declined to extend the discovery rule intended for defrauded individuals to Government enforcement actions and held that civil penalties for statutory violations that sound in fraud must be brought within five years of the date the claim first accrues.
ATMs Continue to Be a Source for Class Action Litigation
In recent years banks have been subjected to class action lawsuits for failing to comply with Automated Teller Machine ("ATM") fee notice requirements mandated by the Electronic Fund Transfer Act ("EFTA"). On December 20, 2012, an amendment to the EFTA went into effect and eliminated the need for a fee notice "on or at" an ATM. This means that ATM operators no longer are required to post a physical sign and must only provide customers with an on-screen fee notice.