Aaron L. Katz, and v. The Bank of California, National Trust and Savings Association, And

The parties here argue whether the one-year period of limitations contained in both the Truth in Lending Act, 15 U.S.C. section 1640 (e), and the Real Estate Settlement Procedures Act, 12 U.S.C. section 2614 , commences on the date the credit contract is executed, see Wachtel v. West, 476 F.2d 1062 (6th Cir.), cert. denied, 414 U.S. 874 , 94 S.Ct. 161 , 38 L.Ed.2d 114 (1973), or at the time the plaintiff discovered, or should have discovered, the acts constituting the violation. See NLRB v. Don Burgess Construction Corp., 596 F.2d 378 (9th Cir.), cert. denied, 444 U.S. 940 , 100 S.Ct. 293 , 62 L.Ed.2d 306 (1979) (applying general rule for commencement of federal periods of limitations). We need not reach this issue because even applying the more expansive “discovery” rule, the district properly dismissed Katz’ complaint.

Mr. Katz alleged that in September 1975 he and his wife agreed to borrow $55,000 at 914% interest, but that due to Mrs. Katz’ status as a bank employee, the Katzes annual percentage rate would be 8V2%, the rate listed on the Bank’s Truth in Lending disclosure statement. Mr. Katz alleged that the Bank violated these statutes by failing to disclose before execution…