Akopyan

*129 Opinion

These consolidated appeals, each from a judgment of dismissal of a class action complaint after a sustained demurrer, raise two questions. The first is whether the limitation- on late payment charges in Business and Professions Code section 10242.5, subdivision (b) 1 applies to home mortgage loans negotiated by mortgage loan brokers, regardless of the exempt status under section 10133.1 of entities that funded and serviced the loans. We conclude the statutory limitation on late fees applies to these loans.

The second question is whether an action lies by appellant borrowers against the federally regulated entities that serviced the loans for breach of contract, on the theory that the payment application requirement in section 10242.5, subdivision (b) was implicitly incorporated into each loan by operation of law, and the servicers misapplied payments and charged late fees in violation of that implied term. We conclude that appellants’ contract claims are preempted by the National Bank Act ( 12 U.S.C. § 1 et seq.) (NBA) and the Home Owners’ Loan Act ( 12 U.S.C. § 1461 et seq.) (HOLA) respectively.

Both judgments are affirmed.

FACTUAL AND PROCEDURAL…