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Indiana Supreme Court allows lawsuit against bank to continue

The interior of the Indiana Supreme Court at the Indiana Statehouse in Indianapolis, Indiana. (Provided Photo/Indiana Supreme Court)

INDIANAPOLIS (WISH) — Indiana Supreme Court reinstated a class-action lawsuit Tuesday against Star Financial Bank over the company’s overdraft fees.

According to court papers, the plaintiffs in the case, Cliff and Wendy Decker, filed a class-action complaint on behalf of themselves and those similarly affected in 2021, alleging that Star Financial Bank collected improper draft fees on their account.

The Deckers have an account through Star Financial Bank, court papers say, which is a “wholly-owned subsidiary of defendant, Star Financial Group, Inc.”

Court documents say that prior to the Deckers’ lawsuit, the bank had included an addendum to the Deckers’ account’s terms and conditions. The revision stated the “bank was subject to arbitration” and no class-action suits could be made against it.

After the Deckers sued, the bank cited the arbitration revision, which the court allowed before reversing its decision.

According to court documents, the Indiana Supreme Court reinstated the case, saying that “the account agreement’s change-of-terms clause did not allow the Bank to add the addendum.”