Burford v. First Nat. Bank in Mansfield

557 So. 2d 1147, 1990 WL 18577
CourtLouisiana Court of Appeal
DecidedFebruary 28, 1990
Docket21190-CA
StatusPublished
Cited by7 cases

This text of 557 So. 2d 1147 (Burford v. First Nat. Bank in Mansfield) is published on Counsel Stack Legal Research, covering Louisiana Court of Appeal primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Burford v. First Nat. Bank in Mansfield, 557 So. 2d 1147, 1990 WL 18577 (La. Ct. App. 1990).

Opinion

557 So.2d 1147 (1990)

Charles E. BURFORD, Jr., Plaintiff-Appellee,
v.
FIRST NATIONAL BANK IN MANSFIELD and Sharon Porter Burford, Defendants-Appellants.

No. 21190-CA.

Court of Appeal of Louisiana, Second Circuit.

February 28, 1990.

*1148 Plummer, Means & Burgess by Robert E. Plummer, Jack R. Gamble, Jr., Mansfield, for defendants-appellants.

Keene, Auer & Antee by Kenneth R. Antee, Jr., Shreveport, for plaintiff-appellee.

Before MARVIN, SEXTON and LINDSAY, JJ.

SEXTON, Judge.

The defendants appeal a $10,000 judgment in favor of the plaintiff for invasion of privacy based on an unauthorized disclosure of a financial statement the plaintiff furnished the defendant First National Bank in Mansfield. For the reasons which will be considered more fully below, we reverse in part, amend in part, and affirm as amended.

FACTS

Plaintiff Charles E. Burford, Jr. and defendant Sharon Porter Burford were legally separated on January 19, 1984. Although separated in law and in fact, they continued to pursue mutual business interests together pending a division of their community property. Additionally, Mrs. Burford continued to have access to the couple's community home.

At issue is an October 22, 1985, financial statement which the plaintiff provided the defendant First National Bank in Mansfield in order to update his file with the bank. A bank officer testified that it was standard procedure to have a loan customer update his file once per year. As an assistance to such customers, the bank frequently provided a copy of the previous year's statement to the customer in order to ease the preparation of each updated version. Mr. Burford denied ever having received a copy of the 1985 statement; however, the bank's branch manager specifically recalled having personally retrieved Mr. Burford's credit file and providing such a copy to him.

In December 1987 during previous litigation to divide the couple's community property, Mrs. Burford introduced a copy of Mr. Burford's 1985 financial statement into evidence. When questioned by Mr. Burford's attorney, Mrs. Burford testified that she had requested a copy of the statement from and was given one by First National Bank in Mansfield, though she could not recall specifically who had given it to her.

Mr. Burford filed suit against both the bank and his ex-wife alleging that the bank had provided his ex-wife with a copy of the financial statement without following statutorily prescribed procedures and that she had thereafter introduced it into evidence in open court, all of which combined to invade his privacy.

The district court ruled in favor of the plaintiff holding defendants solidarily liable for $10,000 in damages. Both defendants have appealed.

DUTY OF CONFIDENTIALITY

Plaintiff based his cause of action upon the defendant bank's furnishing a copy of his financial statement to his ex-wife and upon her making that statement public when she introduced it into evidence in community property litigation. Because plaintiff's allegations raise different questions of legal duty allegedly owed by the defendants, we will consider those questions separately.

A. Bank's Duty

Although he only argues his case under one statute, plaintiff's factual allegations *1149 against the bank actually implicate two separate statutes, LSA-R.S. 6:333 and 9:3571. Those statutes provide, in their entirety, as follows:

6:333. Subpoena of records; reimbursement for records produced

A. A bank shall disclose financial records of its customers pursuant to a lawful subpoena, summons, or court order served upon one of the registered agents for service of process of the bank only if the bank is furnished by the person requesting the subpoena, summons, or court order with an affidavit that such subpoena, summons, or court order has also been served upon the customer whose records are sought at least ten days prior to the date on which the records are to be disclosed. No bank, director, officer, employee, or agent thereof, shall be held civilly or criminally liable for disclosure of financial records of such a customer pursuant to a subpoena, summons, or court order which on its face appears to have been issued upon lawful authority and is accompanied by such an affidavit.
B. (1) Nothing in this Section shall be construed to apply to general credit information relating to promptness of payments, limits of credit, or general information normally furnished to a credit reporting agency or among financial institutions for use in establishing an individual's credit rating or to any other business entity who has a legitimate business need for it.
(2) Nothing in this Section shall be interpreted or construed to apply to any authorization or approval of a specific extension of credit directly or indirectly by a credit card company or a business offering credit or the exchange of information between business organizations solely as to transactions or experiences between the consumer and such business organizations.
C. Prior to making disclosure, the bank shall be reimbursed by the requesting person for the reasonable costs incurred or to be incurred by it in the course of compliance, including but not limited to document reproduction costs, personnel costs, and travel expenses.

9:3571. Dissemination of specific credit information; requirements; penalties

A. No bank, savings and loan association, or company issuing credit cards, or business offering credit shall disseminate specific information to any person relating to dates, amounts, numbers, places, or any other record of information concerning receipts, expenditures or other financial or credit transactions except under the following circumstances:
(1) If a subpoena duces tecum or other valid and enforceable order, is issued by a federal agency, a congressional committee, the legislature of this state, or a federal or state court; and to the extent allowed by the return date of such subpoena or other order.
(2) Upon receipt of certification in writing from the person or entity serving the subpoena or order that it has given notice by registered mail to the person whose records are the object of the subpoena or order; and
(3) The individual fails to take appropriate legal action to restrain the release of such information within fifteen days after the notice provided for in Paragraph (2) of this Subsection.
B. Failure of an individual to comply with the provisions of this Section shall constitute a waiver of his rights against the institution complying with the subpoena duces tecum.
C. Nothing in this Section shall be construed to apply to general credit information relating to promptness of payments, limits of credit, or general information normally furnished to a credit reporting agency or among financial institutions for use in establishing an individual's credit rating, or to any other business entity who has a legitimate business need for it.
D. Nothing in this Section shall be construed to apply to any authorization or approval of a specific extension of credit directly or indirectly by a credit *1150 card company or a business offering credit.
E.

Free access — add to your briefcase to read the full text and ask questions with AI

Related

BancorpSouth Bank v. Kleinpeter Trace, L.L.C.
155 So. 3d 614 (Louisiana Court of Appeal, 2014)
McKinley v. HARVEY TOYOTA OF BOSSIER CITY, INC.
534 F. Supp. 2d 668 (W.D. Louisiana, 2008)
Briscoe v. Briscoe
641 So. 2d 999 (Louisiana Court of Appeal, 1994)
Stapleton v. Great Lakes Chemical Corp.
616 So. 2d 1311 (Louisiana Court of Appeal, 1993)
City of New Orleans v. Hamilton
602 So. 2d 112 (Louisiana Court of Appeal, 1992)
Conner v. Conner
594 So. 2d 1039 (Louisiana Court of Appeal, 1992)

Cite This Page — Counsel Stack

Bluebook (online)
557 So. 2d 1147, 1990 WL 18577, Counsel Stack Legal Research, https://law.counselstack.com/opinion/burford-v-first-nat-bank-in-mansfield-lactapp-1990.