Hoffman

Plaintiff Diane Hoffman, individually and on behalf of all others similarly situated, appeals a judgment on a nonsuit and directed verdict in favor of defendant Security Pacific National Bank (Bank). The action attacks the legality of the Bank’s practice of charging its customers $4 when they write checks for amounts exceeding the balance in their accounts. We affirm the trial court’s judgment.

The action was commenced in October 1974 by Harry Resnick, on behalf of himself and all others similarly situated, to, inter alia, declare illegal and unenforceable the then $3 service charge imposed by the Bank for processing checks written by depositors when the funds in the depositor’s account are less than the amount of the check(s) (NSF checks). The charge is assessed whether the bank exercises its option under California Uniform Commercial Code section 4401 to pay the check and charge the depositor’s account or whether it refuses to pay and returns the check. The original complaint contained nine causes of action, of which five were disposed of by demurrer, summary judgment, or plaintiff’s abandonment. In March 1976 Diane Hoffman was substituted for Resnick as the class…