Banking & Financial Institutions
Cotten Schmidt & Abbott represents both financial institutions and their officers in litigation arising out of bank transactions. Recent litigation defended by the firm includes claims of fraud, gross negligence, violation of federal and state privacy regulations, and violation of applicable laws governing credit agreements. In particular, firm members are experienced in defending financial institution officers and directors against claims of breach of fiduciary duty, fraud, mismanagement and negligence.
Most recently, the Firm obtained dismissals of claims against both a bank and its CEO just a few months after suit was filed. Plaintiffs in the matter defaulted on a loan used to purchase certain commercial property. Ultimately, the plaintiff company went into bankruptcy. The plaintiffs then sued the loaning bank and its CEO for conspiracy.
The Firm quickly moved for dismissal of both the bank and its CEO, asserting an affirmative defense arising under the Louisiana Credit Agreement Statute. The court promptly dismissed all claims with prejudice.
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