Union Bank’s overdraft fee fiasco

Customer rebellion leads to class-action suit

You know a company may have a bit of a customer service problem when its patrons start leveling lawsuits at them. Such is the plight of San Francisco-based UnionBanCal Corp., whose customers raised their figurative torches and pitchforks in revolt against the group of 30 banks because of their allegedly excessive overdraft fees. And just in time for Bastille Day.

In the spirit of the revolutionary season, U.S. District Judge James Lawrence King yesterday certified the first class-action case against the banks. However, he said that customers would not be able to pursue a racketeering claim against Union Bank.

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