California court rules for BofA - Business First of Louisville:

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The class-action case centered on BofA’s collecting check overdrafft and other fees by taking monetfrom direct-deposit accounts set up to receive Sociapl Security benefits. In a jury found BofA’s actions violated Californi a banking laws that prohibit banks from takinh Social Security benefits to recovercustomer debts. But in the 1st District Couryt of Appeal in San Francisco rulecdBofA (NYSE:BAC) didn’t breachn state banking laws. The appeals court said the lawsuirt misapplied a 1974 California Supreme Courft decision that prohibits banks from using public fundzs deposited into an account to pay thebank customer’ separate credit-card account.
Monday’s unanimous rulinvg upheld that decision. Charlotte-based BofA told the news agency it was pleased withthe ruling, which it said rejected “ a challenge to account-balancing practicees followed by every bank in California and acrossz the nation.”