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FHB asks court to dismiss Union Bank’s cross-claim complaint
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Posted on Apr 03 2012
By Ferdie de la Torre
Reporter
Reporter
First Hawaiian Bank has asked the federal court to dismiss the cross-claim complaint filed by Union Bank in connection with Saipan Mayor Donald G. Flores’ lawsuit against the two banks.
FHB, through counsel Richard Johnson, asserted that Union Bank’s complaint for contribution must be dismissed “for failure to state a claim.”
Johnson said Union Bank’s cross-claim presents no facts that supports the claim for indemnity.
“First Hawaiian Bank and thecourt are left guessing at what the basis for that claim might be,” Johnson said in FHB’s motion to dismiss cross-claim.
Union Bank, formerly known as Union Bank of California, filed the cross-claim complaint against FHB for indemnification and contributory fault and contribution.
Union Bank had asked the U.S. District Court for the NMI to hold FHB responsible for the payment of all damages being claimed by Flores.
Attorney Sean Frink said that if his client, Union Bank, is found liable to Flores in any amount, the damages must be apportioned according to the liability of all of the parties in the lawsuit.
Flores is suing the two banks for allegedly refusing to return the principal and interest earned of a Time Certificate of Deposit in the amount of $200,000 that he purchased from the then Union Bank Saipan branch in 1993.
Flores is suing the banks for breach of contract, unjust enrichment, negligence or gross negligence, breach of fiduciary duty, and fraud.
On Nov. 15, 2001, Union Bank reportedly sold all assets and liabilities of its Saipan branch office to FHB.
Last month, U.S. District Court for the NMI Chief Judge Ramona V. Manglona granted FHB’s motion to dismiss Flores’ causes of action.
Flores then filed a first amended complaint against the two banks.
