Freeborn Partner Michael J. Kelly was recently quoted in a BNA Bloomberg article featuring a case where a federal judge in Illinois granted the defendants, a bank and an ATM owner, motion for summary judgment on claim that the bank and operator violated the Electronic Funds Transfer Act by failing to post a fee notice on an ATM. The judge determined that the defendants qualified for a safe harbor found at 15 U.S.C. 1693h(d) and said a system of monthly inspections of the ATM qualifies as a preventive maintenance procedure that allowed the two firms to avoid liability under a separate section of the EFTA found at 15 U.S.C. 1693m.
Mr. Kelly, speaking on behalf of, and in conjunction with, the attorneys that represented the defendants in the litigation, Partner Adam C. Toosley and Associate Ashley W. Brandt of Freeborn, mentions in the article that “the decision is good news for companies that are watching both the courts and action in Congress.” He goes on to say, “Opinions such as Judge Dow's, in conjunction with the proposed amendment of the Act itself, gives banks and other ATM operations comfort that they will not have to be liable for this sort of class action lawsuit in the future.”
For more information about this case and the BNA Bloomberg article, click here (subscription required).