The recent Wells Fargo scandal is yet another fine example of how trust in the financial sector is often misplaced. Although the bank has apologized – in public – for this incident, they are not honoring their victms’ legal claims so far. Opening unauthorized account in someone else’s name should be a clear-cut case for the US legal system, but that is not the case it seems.
Wells Fargo Plays Hard Ball In Court
As was to be expected from a financial institution caught with its hand in the cookie jar, they are not planning to give in to victims’ demands without a fight. Several affected users have filed a class action lawsuit against Wells Fargo for opening unauthorized accounts with their customer information. It was not the best decision by the bank under any circumstances, and they should face legal repercussions for their actions.
Unfortunately, the legal battle will not be without a hitch for affected users. Wells Fargo asked the Utah District Court to resolve claims in closed-door arbitration. This type of practice is nothing new, as banks often rely on this trick to avoid class action lawsuit.