Administrative Law Keyed to Lawson
Clarke v. Securities Industry Association
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The Comptroller approved an application for a discount brokerage to open up, finding that it did not fall under the definition of a bank “branch” under the Act. Respondents disagreed with the Comptroller’s interpretation of the Act, contending that bank discount brokerage offices are “branches” within the meaning of Section:36(f), and thus subject to the geographical restrictions of Section:36(c). The District Court, relying on Data Processing Service, held that Respondent had standing, and rejected the Comptroller’s submission that national banks may offer discount brokerage services at nonbranch locations. A divided Court of Appeals affirmed.
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