Savings Bank Wins a Few, Loses a few Under a Slough of Damages Theories

Business Valuation UpdateVol. 9 No. 5
Legal and Court Case Update
May 2003
6035 Savings Institutions, Federally Chartered
522120 Savings Institutions

Franklin Federal Savings Bank v. United States
55 Fed. Cl. 108, 2003 U.S. Claims LEXIS 1
January 7, 2003
Federal Court
United States Court of Federal Claims
Dr. Stulz (for plaintiffs), Dr. Brumbaugh (for plaintiffs)


On Sept. 5, 2002, the court issued a liability opinion holding that the United States, through the enactment of the Financial Institutions Reform, Recovery and Enforcement Act of 1989 (FIRREA), had breached an express contract with Franklin Federal Savings Bank to treat its supervisory goodwill as a regulatory capital asset amortizable over 25 years.

See Also

Franklin Federal Savings Bank v. United States

At issue are claims of damages by the plaintiffs.