American Banker interviewed Manatt's June DeHart, a partner in the firm's Government & Regulatory Division, on a new law that will put an end to lawsuits against ATMs that do not display placards regarding potential fees.
As reported by American Banker, a bipartisan law was recently signed by President Obama that overturns a legal requirement that banks must post physical signs notifying users of potential fees. Many banks viewed the placard requirement as redundant, given that modern ATMs give users the opportunity to accept or refuse fees via an onscreen notification. However, as many as 2,000 lawsuits were filed by plaintiffs' attorneys against ATM operators that failed to display the placards.
"The case for the bill was straightforward, streamlining a duplicate, unnecessary requirement while protecting notice and access for the consumer," said DeHart. "It's going to close the door on these spurious lawsuits."
Manatt represents Cardtronics, one of the world's largest independent ATM operators, with more than 36,000 machines worldwide. Cardtronics estimates that it spent more than $1 million over the last 18 months defending the suits, DeHart said.