Opinion ID: 8414539
Heading Depth: 2
Heading Rank: 1

Heading: Financial-Institution Enhancement

Text: Cook first argues that the district court erred by applying an enhancement under § 2B3.1(b)(l), which provides for a 2-level enhancement “[i]f the property of a financial institution or post office was taken.” He first contends that the CFSC is not a financial institution. Alternatively, he argues that the term “financial institution” is unconstitutionally vague. We begin with his first argument. When interpreting a specific provision of the sentencing guidelines, we “begin with the text of the provision and the plain, meaning of the words in the text.” United States v. Hill, 645 F.3d 900, 907-08 (7th Cir. 2011) (quoting United States v. Arnaout, 431 F.3d 994, 1001 (7th Cir. 2005)). As part of this analysis, we also consider the guideline’s application notes, which “are considered part of the guidelines rather than commentary on the guidelines.” United States v. Rabiu, 721 F.3d 467, 471 (7th Cir. 2013). “[A]n application note has ‘controlling weight unless it is plainly erroneous or inconsistent with’ the text of the guideline it interprets.” United States v. Rollins, 836 F.3d 737, 742 (7th Cir. 2016) (quoting Stinson v. United States, 508 U.S. 36, 45, 113 S.Ct. 1913, 123 L.Ed.2d 598 (1993)). The application notes to § 2B3.1, however, are silent as to the meaning of financial institution. The government argues that the application notes to a different section— U.S.S.G. § 2B1.1, a separate guideline that permits an enhancement for larceny or other theft involving fraud or deceit of a financial institution — are instructive here. Those application notes define “financial institution” in relevant part as “any state or foreign bank, trust company, credit union, insurance company, investment company, mutual fund, savings (building and loan) association, union or employee pension fund ... and any similar entity.” U.S.S.G. § 2B1.1 cmt. n.l. But because those application notes pertain to a different guideline, they are not binding on our interpretation of § 2B3.1. Our plain meaning analysis is thus limited to the text of that guideline. Black’s Law Dictionary broadly defines “financial institution” as “[a] business, organization, or other entity that manages money, credit, or capital, such as a bank, credit union, savings-and-loan association, securities broker or dealer, pawnbroker, or investment company.” Black’s Law Dictionary, 663 (8th ed. 2004). The CFSC seems to fit this definition. According to its website, “CFSC is a third-generation, family-owned check cashing company with 175 + locations nationwide.” CFSC, About, https://www.cfsc.com/about/. Moreover, it offers its customers a variety of financial services including check cashing, money transfers, money orders, bill payments, and short-term loans. (R. 53-2.) In fact, the term “financial” is in its name — Community Financial Service Center. Cook argues that this definition of financial institution is too broad, sweeping in far too many , types of businesses within the enhancement’s scope. He thus argues in favor of an alternative definition: a financial institution is an entity that serves a depository function. To reach this conclusion, Cook considers the text of the guideline. Bécause the guideline also covers the robbery of a post office — which is a depository of mail — Cook contends that all entities covered by the guideline must serve a similar depository function. A bank — which is a depository of money — is Cook’s paradigmatic example of a financial institution. We are unpersuaded by Cook’s definition. He has cited no authority for it; nor could we find any. Moreover, although a post office is a depository, it is a depository of mail, not money: the functions of banks and post offices are inherently different. Accordingly, we reject limiting the definition of “financial institution” to those entities that serve a depository function. We also think it is unnecessary to delve into the specific contours of the definition of financial institution here. We think it is enough to say that a business that offers an array of financial services, including check cashing, money transfers, money orders, and loans, surely fits within the plain meaning of the term “financial institution.” We hold that the CFSC is a financial institution under § 2B3.1(b)(l). Alternatively, Cook argues that the term “financial institution” is unconstitutionally vague, relying on our decision in United States v. Hurlburt, 835 F.3d 715, 725 (7th Cir. 2016) (en banc) (invalidating § 4B1.2(a)(2)’s residual clause as unconstitutionally vague). This week, the Supreme Court overturned that decision, holding that “the Guidelines are not subject to a vagueness challenge under the Due Process Clause.” Beckles v. United States, 580 U.S. -, 137 S.Ct. 886, 892, 197 L.Ed.2d 145, No. 15-8544 (Mar. 6, 2017). Cook’s vagueness argument is thus without merit.