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First National Bank of Logan v. Walker Bank & Trust Co.

385 U.S. 252 (1966)

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First National Bank of Logan v. Walker Bank & Trust Co.

United States Supreme Court
385 U.S. 252 (1966)

  • Written by Robert Cane, JD

Facts

Utah state law prohibited banks from establishing a branch bank unless the branch bank took over an existing bank that was in operation for five or more years. First National Bank of Logan (First National) (defendant) sought to establish a new branch bank in Logan, Utah. However, First National was not taking over an existing bank. First National applied for a certificate for its branch bank from the United States Office of the Comptroller of the Currency (defendant). The comptroller issued a certificate to First National for its branch. Subsequently, Walker Bank and Trust Company (plaintiff) sued First National and the comptroller, seeking a declaration that the certificate for the proposed branch was void. The district court dismissed the complaint, finding that national banks did not need to comply with all state laws regarding branch banks. The court of appeals reversed, finding that Congress had yielded to state law on matters of branch banks. First National appealed.

Rule of Law

Issue

Holding and Reasoning (Clark, J.)

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