{"id":3379,"date":"2012-02-16T06:31:08","date_gmt":"2012-02-16T06:31:08","guid":{"rendered":"http:\/\/newspaper.ctsi-logistics.com\/?p=3379"},"modified":"2012-02-16T06:31:08","modified_gmt":"2012-02-16T06:31:08","slug":"manglona-dismisses-mayor-flores-claims-against-2-banks","status":"publish","type":"post","link":"https:\/\/www.saipantribune.com\/index.php\/manglona-dismisses-mayor-flores-claims-against-2-banks\/","title":{"rendered":"Manglona dismisses Mayor Flores’ claims against 2 banks"},"content":{"rendered":"
By Ferdie de la Torre
\nReporter<\/div>\n

The federal court yesterday granted First Hawaiian Bank’s motion to dismiss all causes of action filed by Saipan Mayor Donald G. Flores, who is seeking the return of his Time Certificate Deposit in the amount of $200,000 that he allegedly purchased in 1993.<\/p>\n

In the same order, U.S. District Court for the NMI Chief Judge Ramona V. Manglona dismissed with prejudice Flores’ claims against Union Bank of California (UBC) for unjust enrichment and gross negligence. Manglona also dismissed without prejudice the mayor’s claims for breach of fiduciary duty and fraud against UBC.<\/p>\n

The judge dismissed with prejudice Flores’ claims of unjust enrichment and gross negligence against First Hawaiian Bank (FHB). She dismissed without prejudice the mayor’s all other claims against the bank.<\/p>\n

Dismissal with prejudice means the case cannot be re-opened. Dismissal without prejudice allows plaintiff to re-file a new suit on the same claim\/s.<\/p>\n

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.<\/p>\n

Flores is suing the banks for breach of contract, unjust enrichment, negligence or gross negligence, breach of fiduciary duty, and fraud.<\/p>\n

On Nov. 15, 2001, Union Bank reportedly sold all assets and liabilities of its Saipan branch office to FHB.<\/p>\n

FHB then moved to dismiss the lawsuit. UBC joined in the motion to dismiss.<\/p>\n

Manglona heard the motion last Dec. 22 and then placed the matter under advisement.<\/p>\n

In her order issued yesterday, Manglona determined that Flores has failed to state a claim for breach of fiduciary contract against FHB.<\/p>\n

Manglona said the claim of unjust enrichment cannot be sustained against UBC.<\/p>\n

Furthermore, the judge said, the claim against FHB fails both for this same reason and because Flores has not pled sufficient facts to show that FHB received a benefit.<\/p>\n

On gross-negligence claims, Manglona said the CNMI has not recognized an independent cause of action for gross negligence.<\/p>\n

Therefore, she said, gross-negligence claims against the two banks cannot be maintained.<\/p>\n

As to the issue of breach of fiduciary duty, Manglona said because the general rule is that no fiduciary relationship exists between a bank and a depositor, and Flores has not pled facts showing that a special fiduciary duty arose, the claim of breach of fiduciary duty against the two banks must be dismissed.<\/p>\n

On fraud issue, Manglona said the mayor’s claim of fraud against both banks is inadequately pled.<\/p>\n","protected":false},"excerpt":{"rendered":"

By Ferdie de la Torre Reporter The federal court yesterday granted First Hawaiian Bank’s motion…<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[4],"tags":[],"class_list":["post-3379","post","type-post","status-publish","format-standard","hentry","category-local-news"],"_links":{"self":[{"href":"https:\/\/www.saipantribune.com\/index.php\/wp-json\/wp\/v2\/posts\/3379","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.saipantribune.com\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.saipantribune.com\/index.php\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.saipantribune.com\/index.php\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.saipantribune.com\/index.php\/wp-json\/wp\/v2\/comments?post=3379"}],"version-history":[{"count":0,"href":"https:\/\/www.saipantribune.com\/index.php\/wp-json\/wp\/v2\/posts\/3379\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.saipantribune.com\/index.php\/wp-json\/wp\/v2\/media?parent=3379"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.saipantribune.com\/index.php\/wp-json\/wp\/v2\/categories?post=3379"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.saipantribune.com\/index.php\/wp-json\/wp\/v2\/tags?post=3379"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}