California Corporate & Securities Law

The Department of Financial Protection & Innovation's website includes a link to an Excel spreadsheet listing the designation of of location(s) for service of legal process on financial institutions.  This listing is the result of legislation...

"Tell me the first tokenThat passed between you and me."

Last month, Governor Newsom signed AB 1177, the California Public Banking Option Act.  The law's title is more impressive than accurate, for it does not actually create a public bank.  Rather, the law requires the Treasurer to convene a "Blue Ribbon...

About eight years ago, I wrote about Section 201(a) of the California Corporations Code which prohibits the Secretary of State from filing articles of incorporation  setting forth a name in which “bank,” “ trust,” “trustee,” or related words appear,...

Chapter 5 of the California Corporations Code imposes specific limitations on distributions to shareholders.  Because California chartered banks are formed under the California General Corporation Law, one would expect that Chapter 5 applies to...

In October 1907,  F. Augustus Heinze and Charles W. Morse tried, but failed, to corner the copper market, only to be out maneuvered by John Rockerfeller.  Mr. Heinze was president of the National Commercial Bank of New York and the depositors began...

Over the last two years, I have written about California's nascent entry into public banking.  See Would You Bank On Los Angeles?, Governor Signs Bill Authorizing Public Banks - What Could Possibly Go Wrong?, and When, If Ever, Will California...

 A little over a year ago, California Governor Gavin Newsom signed  legislation, AB 857 (2019 Cal. Stats. ch. 442) local agencies to establish so-called "public banks", subject to approval by the Department of Financial Protection and Innovation and...

In August 2019, I never would have imagined that a banking regulator would be required customers to wear masks.  In today's changed world, banking regulators are doing just that.  The California Department of Business Oversight in its August monthly...