§336. Legal and regulatory compliance; self-evaluations; privilege of results
A.It is the intent of the legislature to encourage FDIC-insured financial institutions,
their holding companies, subsidiaries, and affiliates to engage in self-evaluations, self-assessments, self-testing, and self-corrections with respect to compliance with applicable
state and federal banking laws and regulations. To that end, and notwithstanding any other
law to the contrary, the results of any such self-determination, self-assessment, self-testing,
or self-corrections, and any notes, reports, or work product derived therefrom, whether
prepared by internal personnel or by outside attorneys, accountants, third-party service
providers, or consultants, shall be deemed privileged for all purposes and shall not be
Free access — add to your briefcase to read the full text and ask questions with AI
§336. Legal and regulatory compliance; self-evaluations; privilege of results
A. It is the intent of the legislature to encourage FDIC-insured financial institutions,
their holding companies, subsidiaries, and affiliates to engage in self-evaluations, self-assessments, self-testing, and self-corrections with respect to compliance with applicable
state and federal banking laws and regulations. To that end, and notwithstanding any other
law to the contrary, the results of any such self-determination, self-assessment, self-testing,
or self-corrections, and any notes, reports, or work product derived therefrom, whether
prepared by internal personnel or by outside attorneys, accountants, third-party service
providers, or consultants, shall be deemed privileged for all purposes and shall not be subject
to discovery and shall not be admissible as evidence, unless specifically agreed to by the
FDIC-insured financial institution, its holding company, subsidiary, or affiliate, in any
private, public, or administrative civil action brought against the FDIC-insured financial
institution, holding company, subsidiaries, or affiliates alleging noncompliance with or
violation of such applicable state and federal banking laws and regulations.
B.(1) The submission by any FDIC-insured financial institution of any information
to any federal banking agency or bureau, including but not limited to the Consumer Financial
Protection Bureau, or to the commissioner of the office of financial institutions, or to any
other state agency or department, for any purpose in the course of any supervisory,
regulatory, or enforcement process of such agency, bureau, commissioner, or state agency
or department, shall not be construed as waiving, destroying, or otherwise affecting any
privilege the FDIC-insured financial institution may claim with respect to such information
under federal or state law as to any person or entity other than such agency, bureau,
commissioner, or state agency or department.
(2) The provisions of Paragraph (1) of this Subsection shall not be construed as
implying or establishing either of the following:
(a) That any FDIC-insured financial institution waives any privilege applicable to
information that is submitted or transferred under any circumstances to which Paragraph (1)
of this Subsection does not apply.
(b) That any FDIC-insured financial institution would waive any privilege applicable
to any information by submitting the information to any federal banking agency or bureau
or the commissioner of the office of financial institutions, but for the provisions of this
Section.