The court of appeals reversed a district court judgment and remanded the action for further proceedings. The court held that the National Bank Act and supporting regulations do not preempt California’s post-repossession notice requirements set out in the Rees-Levering Act.
Jose Aguayo’s automobile was repossessed by U.S. Bank after he fell behind on his payments. U.S. Bank sent Aguayo a “Notice of Our Plan to Sell Property” which indicated that the car would be sold after a specified date. Among other documents enclosed with the Notice was a “California Redemption Letter with an Extension Agreement Accompanied.” The Letter tracked, but did not contain all of the information required under California’s Rees-Levering Act.
