Bank of America (NYSE:BAC) Sued by an 83 Year Old Veteran for Issuing Form C
Freddie S Railey an 83 year old disabled veteran sued the Bank of America (NYSE:BAC) recently. Bank of America (NYSE:BAC) is a reasonable bank with branches all across the country and provides ATMs at nearly all canters and has some nice and simple policies, however they issued Mr. Railey 1099-C form for some $7000. Form C is issued when people owing some taxable money are to be charged with their money present in the account.
However, the form is not the first step and it takes some time and negligence from the customer’s side to reach to the formidable Form C. Anyhow, the most surprising fact is that Mr. Railey did not owe anything and he was charged for nothing. Moreover, the Form C issue was not the first clash between Freddie and Bank of America (NYSE:BAC). It all started when Mr. Railey was getting constant notices from BOA (NYSE:BAC) for the payment of credit cards.
The surprising thing is that Mr. Railey did not have any credit card at all. He also informed the bank about this issue but they kept on sending notices. He warned the bank (NYSE:BAC) not to send any further notices and to contact his lawyer in this regard. But the bank (NYSE:BAC) did not stop and finally issued him a Form C for 7,450 dollars. However, Mr. Raley filed a lawsuit against the Bank of America (NYSE:BAC) in Circuit court of Jefferson county Alabama.
There are four types of counts dealing with different personal breeches. That’s what made the matter even worse. The matter seemed to be federal and the matter was taken to the District Court. Moreover, the recent decision made by the court was to dismiss the actions of Bank of America (NYSE:BAC). The bank (NYSE:BAC) also claims that they did not breach on any duties and that they were doing what they were getting from their data.
In its defense the bank also stated that Raley did not specify a proper reason for suing the Bank of America (NYSE:BAC), the bank did nothing wrong with the vet. Besides, Raley did not suffer from any injuries due to the actions of the bank. So let’s see what the result of all this would be. Mr. Raley also amended his statement during this time. Initially the veteran filed a lawsuit claiming civil damages because of fraudulent information supplied.
The court did not consider Form C as a federal issue so he again took the matter to the state court. Anyhow the court did not find anything which was against the statutory. But Mr. Raley’s claim on defamation was quite interesting, i.e. Mr. Raley was quite hurt about the bank (NYSE:BAC) claiming him to be a defaulter. However the fed court finds it necessary to refer the matter to the state court where respective measures have been taken.