Roxborough, Pomerance & Nye Files Class Action Suit Against U.S. Bank of California

LOS ANGELES--The law firm of Roxborough, Pomerance & Nye, LLP (RPN) filed a class action lawsuit yesterday against U.S. Bank of California for charging employees of business payroll accountholders a $10 fee to cash their paychecks. Many of these employees are lower-paid workers who do not hold personal checking accounts and rely on their employers' banks to cash their checks.

"We are seeking an injunction to stop the bank from charging $10 per paycheck cashing fees without notifying its accountholders of potential adverse legal consequences, or at the very least, to require U.S. Bank to disclose these practices to current and future business customers," says Nicholas P. Roxborough, co-managing partner of RPN who filed the lawsuit. "In the meantime, our client is reimbursing his employees who, to their knowledge, are being charged this additional fee -- a practice that has not been disclosed by the bank to our client or other customers."

The plaintiff in the suit against U.S. Bank of California is Leae Asset Management, a granite, marble and recycling business that believes the bank's fees have placed the company in violation of Section 212 of the California Labor Code, which requires that paychecks `be negotiable and payable in cash, on demand, without discount.' The plaintiff is acting on behalf of other California employers in the state, many who have lower-paid workers living paycheck to paycheck. Read more at businesswire.com