A federal appeals court’s recent decision favoring PATCO Construction Inc. over the former Ocean Bank in a dispute resulting from ACH/wire fraud. The court called Ocean Bank’s security procedures “commercially unreasonable,” reversing the lower court’s ruling. The 43-page ruling by the First Circuit Court of Appeals offers a fascinating look at exactly which online security procedures Ocean Bank, now People’s United Bank, did – and did not – offer to commercial customers such as PATCO. “This is a big deal, because it’s a ruling handed down by a federal court,” says Gartner analyst Avivah Litan.”]
Source: https://www.cuinfosecurity.com/inside-patco-fraud-ruling-a-4927