Consumer complaint received 2025-06-03 00:00:00
Product: Checking or savings account — Checking account
Issue: Closing an account — Company closed your account
Company: JPMORGAN CHASE & CO.
State: CA

Complaint narrative:
Incident : Client deposits a U.S. Treasury check ( Social Security, third-party endorsed ) Bank initially clears the check, funds marked as available Bank reverses the deposit, freezes/cancels the account, possibly returns or holds the check Client suffers financial loss and emotional distress due to the banks actions 2. Legal Claims and Relevant Laws A. Negligence Elements : Duty ( Bank owes a duty of care to its customers ) Breach ( Improper cancellation of a cleared U.S. Treasury check ) Causation ( Action caused financial hardship ) Damages ( Monetary and emotional harm ) Legal Authority : California Civil Code 1714 general negligence liability B. Breach of Contract Bank-customer relationship governed by deposit agreement Implied covenant of good faith and fair dealing may have been violated Legal Authority : California XXXX XXXX XXXX and case law on depositor-bank relationships XXXX Violation of the Uniform Commercial Code ( UCC ) If the check was provisionally credited and then reversed, UCC rules may apply Relevant Provisions : UCC 4-201 through 4-214 ( CA Comm. Code XXXX ) collection and return of items XXXX XXXX indorsement liability UCC XXXX XXXX bank 's responsibility for late return D. Violation of Federal Regulations ( Treasury Checks ) 31 CFR Part 240 ( Treasury Check Regulations ) : Provisions around handling, indorsement, return of checks If the bank failed to properly verify endorsements or violated indorsement rules, it may be liable E. Consumer Protection Violations California Unfair Competition Law ( UCL ) Cal. Bus. & Prof. XXXX XXXX  Unlawful, unfair, or fraudulent business practices Potential claim : Banks process was deceptive or unfair F. Emotional Distress ( Negligent Infliction ) Must prove serious emotional distress was caused by negligent bank conduct Relevant Case Law : XXXX XXXX XXXX XXXX XXXX, XXXX XXXX XXXX ( 1980 ) 3. Key Evidence to Collect Deposit records and account statements Check copy ( front and back ) showing endorsement Bank communication ( letters, emails, internal notes ) Proof of available funds notice and subsequent reversal Evidence of damages : Denied access to money Missed payments, evictions, fees Medical or psychological records ( if emotional distress is claimed ) 4. Legal Process Roadmap Step 1 : Consultation with Attorney Bring all documentation and a timeline Assess whether to pursue informal resolution, arbitration, or litigation Step 2 : Demand Letter Sent by attorney to bank outlining wrongdoing and demand for : Reinstatement of funds Compensation for damages Apology or admission of fault If no response, proceed with formal complaint Step 3 : File Complaint in California Superior Court Claims : negligence, breach of contract, UCC violations, emotional distress, UCL violation Jurisdiction : based on damages ( small claims if < {$12000.00}, otherwise superior court ) Include request for compensatory and punitive damages ( if misconduct is egregious ) Step 4 : Discovery Seek banks internal documentation on the account cancellation Depose bank personnel if needed Step 5 : Negotiation / Settlement / Trial 5. Lawyer Recommendations ( California-Based ) A. Consumer Banking and Civil Litigation Public Justice Center ( for consumer financial abuse ) Website XXXX XXXX XXXX XXXXXXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX : wrongful banking actions, UCC issues Website : XXXX XXXX XXXXXXXX XXXX. Referrals California State Bar Lawyer Referral ServicXXXX XXXX XXXX XXXXXXXX Offers local referrals for consumer law and bank-related claims 6. Tips Do not delay. Check statute of limitations : Negligence : 2 years ( XXXX XXXX ) Breach of contract : 24 years depending on written/oral terms Avoid contacting the bank alone after consulting an attorney Consider also filing complaints with : Consumer Financial Protection Bureau ( CFPB ) https : //www.consumerfinance.gov/complaint/ Office of the Comptroller of the Currency ( OCC ) if it's a national bank Sample Legal Causes of Action First Cause of Action : Negligence Defendant owed Plaintiff a duty of care in managing their account. Defendant breached that duty by reversing a cleared and endorsed federal benefit check without reasonable cause or investigation, resulting in financial injury and emotional distress. 

Second Cause of Action : Breach of Contract The actions of the Defendant violated the terms of the deposit agreement and the implied covenant of good faith and fair dealing. 

Third Cause of Action : Violation of Cal. Bus. & Prof. Code 17200 Defendant engaged in unfair and deceptive conduct in its treatment of Plaintiff 's federally issued check.

Company response to consumer: Closed with explanation