Commercial Bank of California Wins Court Case Against Former Partner

Commercial Bank of California Wins Lawsuit



On June 9, 2025, the Los Angeles County Superior Court completely dismissed a lawsuit initiated by National Merchants Association, Inc. (NMA) against the Commercial Bank of California (CBC) and its executives. This ruling signifies a major victory for CBC after years of legal disputes that began back in 2021.

The case stemmed from NMA's allegations against CBC, which included claims of breach of contract, promissory fraud, and unfair business practices. NMA's CEO, Heather Altepeter, further complicated matters by filing a separate suit advancing similar claims against the bank and various individuals involved in the original case. As the situation evolved, the initial lawsuit by NMA was voluntarily withdrawn right before the trial commenced, leading to the court awarding CBC over $1.1 million in legal fees due to their status as the prevailing party.

Despite the resolution of the NMA case, Altepeter’s individual lawsuit continued to proceed through extensive discovery, numerous changes in legal representation, and various motions over a span of three years. However, the recent court ruling has granted summary judgment in favor of CBC for all remaining allegations.

Chairman and CEO of CBC, Ash Patel, expressed satisfaction with the court's decision, emphasizing the bank's commitment to maintaining integrity in its dealings with referral partners. "We are committed to treating our referral partners with integrity and fairness," Patel mentioned, further stating the bank’s readiness to defend against unmeritorious claims.

Interestingly, prior to the legal proceedings, CBC had continued its support for NMA during a troubling time for the organization, including a period where NMA was placed into receivership by another financial institution and when its leadership underwent changes due to court rulings. Both NMA and Altepeter had previously executed agreements releasing any claims against CBC.

Patel expressed gratitude towards the court for its thorough review of the facts and law in this complex case. Following this judgment, CBC intends to pursue recovery of the hefty attorneys' fees awarded in both cases, marking a decisive end to what has been a contentious and protracted legal battle.

For financial institutions, this case serves as a reminder of the importance of maintaining thorough documentation and clarity in business relationships. The legal journey highlights the potential complications that can arise in the wake of misunderstandings or disputes, emphasizing the necessity for banks like CBC to be vigilant in safeguarding their interests while upholding strong relationships with partners in a competitive market.

About CBC: Commercial Bank of California is a full-service banking institution committed to serving California’s businesses and fostering innovation through tailored financial solutions and a community-focused approach. With headquarters in Irvine, California, CBC is recognized as a Minority Depository Institution and stands as one of the largest privately operated banks in the state. To learn more, visitors can access their official site at www.cbcal.com.

Topics Financial Services & Investing)

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