Kidwell
Federal Sav. and Loan Ins. Corp. v. Kidwell
Opinion
Opinion
Orrick, J.
OPINION AND ORDER
In this case, plaintiffs Federal Savings and Loan Insurance Corporation and Eureka Federal Savings and Loan Association have alleged causes of action against defendants for breach of fiduciary duty, negligence and waste. In a prior Opinion and Order, the Court stated that the causes of action alleging breach of fiduciary duty arose under federal common law, while the causes of action for negligence and waste arose under state law. Eureka Federal Savings & Loan Ass’n v. Kidwell, 672 F.Supp. 436, 441 (N.D.Cal.1987) (hereinafter cited as “Kidwell”). Defendants now assert that the state law claims are preempted by federal law, an issue not squarely before the Court at the time of the earlier Opinion and Order. For the reasons that follow, the Court dismisses the state law claims as preempted by federal law and as not cognizable under federal common law. Furthermore, the Court holds that a four-year statute of limitations applies to the causes of action for breach of fiduciary duty.
I. PREEMPTION AND FEDERAL COMMON LAW.
As this Court has recognized, unique federal interests are implicated in the internal administration of federal savings and loans associations. Id.…