Atherton v. Federal Deposit Insurance Corp.

1 Analyses of this case by attorneys

  1. Current Topics in Bank Governance and Recommended Practices

    Dorsey & Whitney LLPMarch 4, 2018

    However, a savings clause in section 1821(k) provides that the FDIC may pursue claims based on “simple negligence” (a mere failure to exercise reasonable care) if state law permits liability under a lower standard. See Atherton v. FDIC, 519 U.S. 213 (1997).In fulfilling the duty of care, directors may consider the following guidance:Participate knowledgeably and conduct a thorough decision making process when evaluating proposed transactions (see below about engaging experts).