Second Circuit - Federal Reserve Act:Banco San Juan Internacional, Inc. v. Fed. Rsrv. Bank of N.Y., Bd. of Governors of the Fed. Rsrv.

Daily Record Staff//May 27, 2026//

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United States Court of Appeals for the Second Circuit

Federal Reserve Act — Master accounts

Banco San Juan Internacional, Inc. v. Fed. Rsrv. Bank of N.Y., Bd. of Governors of the Fed. Rsrv.

25-1144-cv

Judges Sack, Chin, and Lohier

Background: The plaintiff appealed from the dismissal of its claims alleging that it was statutorily entitled to an account under the Federal Reserve Act following the termination of its master account by the defendant.

Ruling: The Second Circuit affirmed. The court held that the statute did not create a nondiscretionary entitlement to a master account. Thus, they were properly dismissed. Further, the plaintiff doesn’t have constitutional standing to assert claims against the Board.

Carter G. Phillips, of Sidley Austin, for the plaintiff-appellant; Jonathan K. Youngwood, of Simpson Thacher & Bartlett, and Joshua P. Chadwick, of the Board of Governors of the Federal Reserve System, for the defendants-appellees.

Oral argument audio