Deployed Military Servicemembers File Lawsuit against Bank of America
RALEIGH, N.C. — Shanahan Law Group has filed a Federal lawsuit seeking class action status in Raleigh, North Carolina on behalf of deployed military servicemembers against Bank of America Corporation (BOA) for violating the Servicemembers Civil Relief Act (the Act). The Act guarantees that all debt obligations incurred by a deployed servicemember will be reduced to 6% interest from the date his or her orders are received until the end of the ensuing active duty period. The act also requires financial institutions to permanently forgive interest above 6%. The Lawsuit alleges that BOA failed to comply with these provisions and that, when the problem was discovered, did not disclose their misconduct.
“The Servicemembers Civil Relief Act was enacted to protect our brave men and women in uniform while they are risking their lives to defend our great nation,” said former federal prosecutor Kieran Shanahan, Principal with Shanahan Law Group. “Bank of America may be too big to fail, but they are not so big that they can neglect their obligations to our brave soldiers and sailors.”
The Lawsuit contends that BOA illegally charged interest rates higher than 6% to thousands of overseas, active duty servicemembers and allowed unlawful interest charges to exaggerate servicemembers’ principal balances, subsequently charging compound interest on the exaggerated balances.
The Plaintiffs contend that neither they nor other protected class members had any reason to believe that BOA was violating their rights until misleading correspondence from BOA prompted an investigation, uncovering wholesale violations and damages to thousands of military families.
The three named Plaintiffs in this case are, Gary and Anne Childress of Raleigh, Thomas and Adrienne Bolton, of Joint Base Lewis-McChord, WA, and Steven and Morgan Lumbley, of Conroe, TX. These servicemembers and their spouses seek to represent thousands of military families in enforcing their rights under the Act.
Shanahan Law Group is a boutique law firm in Raleigh, North Carolina that offers a full range of business and litigation services. The firm’s practice areas include complex business litigation, business formation and exit strategies, banking and financial institutions, licensing and distribution, real estate and construction, secured transactions, property rights, employment law, white collar criminal defense, trust and estates, and government representation. The firm has offices in downtown Raleigh and North Raleigh. For more information, call (919) 856-9494 or visit https://shanahanlawgroup.com.