Court Session on Thursday in Tech CU Conversion Communication Dispute
A California judge is scheduled to hear arguments Thursday over whether the $1.6 billion Technology Credit Union should be forced to share member contact information with members opposed to its proposed conversion to a mutual bank.
Results of a member vote on the proposed conversion by the San Jose credit union are pending.
NCUA regulations provide that credit union seeking to convert to mutual bank charters have to cooperate with members who want to communicate with other members about that possible conversion, whether by U.S. post or through email.
But when Technology members sought to establish such communication in this case, they found the credit union had added tracking software that they had not authorized to their communications so they have sought member contact information so to be able to communicate with members on their own.
The credit union launched the litigation to quash their request.
They members contend that California corporate law and Technology Credit Union's bylaws require that the credit union provide the information, but the credit union argues that federal banking laws preclude them doing so.