California court rules for BofA - The Business Review (Albany):

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The class-action case centered on BofA’s collecting checi overdraft and other fees by taking moneyfrom direct-deposit accountxs set up to receive Socia Security benefits. In 2004, a jury found BofA’s actionws violated California banking laws that prohibit banks from takinhg Social Security benefits to recovercustomer debts. But in 2006, the 1st Districr Court of Appeal in San Franciscp ruledBofA (NYSE:BAC) didn’t breach statde banking laws. The appeals court said the lawsuit misappliede a 1974 California Supreme Courg decision that prohibits banks from usinb public funds deposited into an account to pay thebank customer’sa separate credit-card account.
Monday’s unanimous ruling upheld that decision. Charlotte-based BofA told the news agency it was pleasedc withthe ruling, which it said rejected “aw challenge to account-balancing practicex followed by every bank in Californiwa and across the nation.”