§ 1682 Foreign Bank Branch Requirements

This law stops banks from other states from opening or keeping a branch in California unless they are already allowed to do business within California under the state's corporate code.

Key Takeaways

•Only banks that are already qualified to do business in California can open a branch here.
•The qualification is based on Chapter 21 of the Corporations Code.
•If a bank isn’t qualified, it cannot establish or keep a California branch.

Example

A New York bank wants to open a branch in Los Angeles to serve California customers.

The bank must first be qualified to do business in California, which means it has to meet the requirements in Chapter 21 of the Corporations Code before it can open the branch.

No foreign (other state) bank may establish or maintain a California branch office unless it is qualified to transact intrastate business in this state under Chapter 21 (commencing with Section 2100) of Division 1 of Title 1 of the Corporations Code. (Added by Stats. 2011, Ch. 243, Sec. 3. (SB 664) Effective January 1, 2012.)

This law stops banks from other states from opening or keeping a branch in California unless they are already allowed to do business within California under the state's corporate code.

Key Takeaways

•Only banks that are already qualified to do business in California can open a branch here.
•The qualification is based on Chapter 21 of the Corporations Code.
•If a bank isn’t qualified, it cannot establish or keep a California branch.

Example

A New York bank wants to open a branch in Los Angeles to serve California customers.

The bank must first be qualified to do business in California, which means it has to meet the requirements in Chapter 21 of the Corporations Code before it can open the branch.

Key Takeaways

Example

Key Terms

References

§ 1682 Foreign Bank Branch Requirements

Key Takeaways

Example

Key Terms

References

Key Takeaways

Example

Key Terms

Related Statutes

References

Key Takeaways

Example

Key Terms

Related Statutes

References