{"attribution":{"source":"legal.exploreworldai.com","canonical":"https://legal.exploreworldai.com/api/public/v1/judgment-text?id=us:ca9-24-6187-2026-04-13","cite_as":"NovaCopilot, legal.exploreworldai.com (https://legal.exploreworldai.com/api/public/v1/judgment-text?id=us:ca9-24-6187-2026-04-13)","license":"https://legal.exploreworldai.com/revision","version":"legal-2026-10-11","fingerprint":"ewai:us:e0b409","proof":"sha256:f60972f91a4e63eb8a6f53a6692236c9cb6899b47311c11ccf8e35982ff4bccc","jurisdiction":"us","lang":"en","publisher":"NovaCopilot by ExploreWorld Legal","terms":"https://legal.exploreworldai.com/om"},"brand_source":"Source: NovaCopilot","item":{"schema_version":"1.0.0","id":"us:ca9-24-6187-2026-04-13","jurisdiction":"us","lang":"en","brand_source":"Source: NovaCopilot","brand":{"product":"NovaCopilot","platform":"ExploreWorldAI","infrastructure":"ExploreWorld Legal","infrastructure_url":"legal.exploreworldai.com","legal_entity":"Valkiv Ventures 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matter","paragraphs":["para_1","para_2","para_3","para_4","para_5","para_6","para_7","para_8","para_9","para_10","para_11","para_12","para_13","para_14","para_15","para_16","para_17","para_18","para_19","para_20","para_21","para_22","para_23","para_24","para_25"],"kind":"front_matter"},{"title":"SUMMARY*","paragraphs":["para_26","para_27","para_28","para_29","para_30","para_31","para_32","para_33","para_34","para_35","para_36","para_37","para_38","para_39","para_40","para_41","para_42","para_43","para_44","para_45","para_46","para_47","para_48","para_49","para_50","para_51","para_52","para_53","para_54","para_55","para_56","para_57","para_58","para_59","para_60","para_61","para_62","para_63","para_64","para_65","para_66","para_67","para_68","para_69","para_70","para_71","para_72","para_73","para_74","para_75","para_76","para_77","para_78","para_79","para_80","para_81","para_82","para_83","para_84","para_85","para_86","para_87","para_88","para_89","para_90","para_91","para_92","para_93","para_94","para_95","para_96","para_97","para_98","para_99","para_100","para_101","para_102","para_103","para_104","para_105","para_106","para_107","para_108","para_109","para_110","para_111","para_112","para_113","para_114","para_115","para_116","para_117","para_118","para_119","para_120","para_121","para_122","para_123","para_124","para_125","para_126","para_127","para_128","para_129","para_130","para_131","para_132","para_133","para_134","para_135","para_136","para_137","para_138","para_139","para_140","para_141","para_142","para_143","para_144","para_145","para_146","para_147","para_148","para_149","para_150","para_151","para_152","para_153","para_154","para_155","para_156","para_157","para_158","para_159","para_160","para_161","para_162","para_163","para_164","para_165","para_166","para_167","para_168","para_169","para_170","para_171","para_172","para_173","para_174","para_175","para_176","para_177","para_178","para_179","para_180","para_181","para_182","para_183","para_184","para_185","para_186","para_187","para_188","para_189","para_190","para_191","para_192","para_193","para_194","para_195","para_196","para_197","para_198","para_199","para_200","para_201","para_202","para_203","para_204","para_205","para_206","para_207","para_208","para_209","para_210","para_211","para_212","para_213","para_214","para_215","para_216","para_217","para_218","para_219","para_220","para_221","para_222","para_223","para_224","para_225","para_226","para_227","para_228","para_229","para_230","para_231","para_232","para_233","para_234","para_235","para_236","para_237","para_238","para_239","para_240","para_241","para_242","para_243","para_244","para_245","para_246","para_247","para_248","para_249","para_250","para_251","para_252","para_253","para_254","para_255","para_256","para_257","para_258","para_259","para_260","para_261","para_262","para_263","para_264","para_265","para_266","para_267","para_268","para_269","para_270","para_271","para_272","para_273","para_274","para_275","para_276","para_277","para_278","para_279","para_280","para_281","para_282","para_283","para_284","para_285","para_286","para_287","para_288","para_289","para_290","para_291","para_292","para_293","para_294","para_295","para_296","para_297","para_298","para_299","para_300","para_301","para_302","para_303","para_304","para_305","para_306","para_307","para_308","para_309","para_310","para_311","para_312","para_313","para_314","para_315","para_316","para_317","para_318","para_319","para_320","para_321","para_322","para_323","para_324","para_325","para_326","para_327","para_328","para_329","para_330","para_331","para_332","para_333","para_334","para_335","para_336","para_337","para_338","para_339","para_340","para_341","para_342","para_343","para_344","para_345","para_346","para_347","para_348","para_349","para_350","para_351","para_352","para_353","para_354","para_355","para_356","para_357","para_358","para_359","para_360","para_361","para_362","para_363","para_364","para_365","para_366","para_367","para_368","para_369","para_370","para_371","para_372","para_373","para_374","para_375","para_376","para_377","para_378","para_379","para_380","para_381","para_382","para_383","para_384","para_385","para_386","para_387","para_388","para_389","para_390","para_391","para_392","para_393","para_394","para_395","para_396","para_397","para_398","para_399","para_400","para_401","para_402","para_403","para_404","para_405","para_406","para_407","para_408","para_409","para_410","para_411","para_412","para_413","para_414","para_415","para_416"],"kind":"summary"}],"paragraphs":[{"text":"FOR PUBLICATION","paragraph_id":"para_1"},{"text":"UNITED STATES COURT OF APPEALS","paragraph_id":"para_2"},{"text":"FOR THE NINTH CIRCUIT","paragraph_id":"para_3"},{"text":"MOHAMMAD FARSHAD","paragraph_id":"para_4"},{"text":"ABDOLLAH NIA, individually, and","paragraph_id":"para_5"},{"text":"on behalf of all similarly situated,","paragraph_id":"para_6"},{"text":"Plaintiff - Appellant,","paragraph_id":"para_7"},{"text":"v.","paragraph_id":"para_8"},{"text":"BANK OF AMERICA, N.A.,","paragraph_id":"para_9"},{"text":"Defendant - Appellee.","paragraph_id":"para_10"},{"text":"No. 24-6187","paragraph_id":"para_11"},{"text":"D.C. No.","paragraph_id":"para_12"},{"text":"3:21-cv-01799-","paragraph_id":"para_13"},{"text":"BAS-BJC","paragraph_id":"para_14"},{"text":"OPINION","paragraph_id":"para_15"},{"text":"Appeal from the United States District Court","paragraph_id":"para_16"},{"text":"for the Southern District of California","paragraph_id":"para_17"},{"text":"Cynthia A. Bashant, District Judge, Presiding","paragraph_id":"para_18"},{"text":"Argued and Submitted February 9, 2026","paragraph_id":"para_19"},{"text":"Pasadena, California","paragraph_id":"para_20"},{"text":"Filed April 13, 2026","paragraph_id":"para_21"},{"text":"Before: John B. Owens, Lawrence VanDyke, and Holly A.","paragraph_id":"para_22"},{"text":"Thomas, Circuit Judges.","paragraph_id":"para_23"},{"text":"Opinion by Judge VanDyke","paragraph_id":"para_24"},{"text":"2 NIA V. BANK OF AMERICA, N.A.","paragraph_id":"para_25"},{"text":"SUMMARY*","paragraph_id":"para_26"},{"text":"International Emergency Economic Powers Act","paragraph_id":"para_27"},{"text":"Affirming the district court’s summary judgment in","paragraph_id":"para_28"},{"text":"favor of Bank of America, the panel held that the","paragraph_id":"para_29"},{"text":"International Emergency Economic Powers Act foreclosed a","paragraph_id":"para_30"},{"text":"suit brought by Mohammad Farshad Abdollah Nia, an","paragraph_id":"para_31"},{"text":"Iranian citizen living in the United States, after the Bank","paragraph_id":"para_32"},{"text":"closed his account.","paragraph_id":"para_33"},{"text":"The Iranian Transactions and Sanctions Regulations","paragraph_id":"para_34"},{"text":"(“ITSR”), federal regulations promulgated by the Office of","paragraph_id":"para_35"},{"text":"Foreign Asset Control, prohibit U.S. financial institutions","paragraph_id":"para_36"},{"text":"from providing financial services to “accounts of persons","paragraph_id":"para_37"},{"text":"who are ordinarily resident in Iran, except when such","paragraph_id":"para_38"},{"text":"persons are not located in Iran.” 31 C.F.R. § 560.320. The","paragraph_id":"para_39"},{"text":"Bank’s Consumer Residency Monitoring (“CRM”) policy","paragraph_id":"para_40"},{"text":"required accountholders who were citizens of","paragraph_id":"para_41"},{"text":"comprehensively sanctioned countries—like Iran—to","paragraph_id":"para_42"},{"text":"periodically submit documents to prove that they were not","paragraph_id":"para_43"},{"text":"present or permanently resident in sanctioned","paragraph_id":"para_44"},{"text":"countries. After the Bank erroneously mixed up whether a","paragraph_id":"para_45"},{"text":"residency document counted as permanent or merely","paragraph_id":"para_46"},{"text":"temporary proof of residency, Nia’s account was closed.","paragraph_id":"para_47"},{"text":"The International Emergency Economic Powers Act’s","paragraph_id":"para_48"},{"text":"shield liability provision, 50 U.S.C. § 1702(a)(3),","paragraph_id":"para_49"},{"text":"states: “No person shall be held liable for or with respect to","paragraph_id":"para_50"},{"text":"anything done or omitted in good faith in connection with","paragraph_id":"para_51"},{"text":"the administration of, or pursuant to and in reliance on, this","paragraph_id":"para_52"},{"text":"* This summary constitutes no part of the opinion of the court. It has","paragraph_id":"para_53"},{"text":"been prepared by court staff for the convenience of the reader.","paragraph_id":"para_54"},{"text":"NIA V. BANK OF AMERICA, N.A. 3","paragraph_id":"para_55"},{"text":"chapter, or any regulation, instruction, or direction issued","paragraph_id":"para_56"},{"text":"under this chapter.” The panel held that this provision does","paragraph_id":"para_57"},{"text":"not excuse liability only for actions compelled by","paragraph_id":"para_58"},{"text":"ITSR. Rather, given the Act’s expansive language, the","paragraph_id":"para_59"},{"text":"Bank’s CRM policy, built around the demands of the ITSR,","paragraph_id":"para_60"},{"text":"fell comfortably within the liability shield’s","paragraph_id":"para_61"},{"text":"ambit. Applying a sanctions compliance program based on","paragraph_id":"para_62"},{"text":"citizenship may not be compelled by the ITSR, but it is","paragraph_id":"para_63"},{"text":"permitted under the Office of Foreign Asset Control’s","paragraph_id":"para_64"},{"text":"guidelines, which explicitly allowed the Bank to account for","paragraph_id":"para_65"},{"text":"citizenship in a comprehensively sanctioned country in","paragraph_id":"para_66"},{"text":"administering its sanctions compliance program.","paragraph_id":"para_67"},{"text":"The panel further held that Nia failed to establish a","paragraph_id":"para_68"},{"text":"genuine issue of material fact about the Bank’s good","paragraph_id":"para_69"},{"text":"faith. Accordingly, the district court properly granted","paragraph_id":"para_70"},{"text":"summary judgment to the Bank based on the International","paragraph_id":"para_71"},{"text":"Emergency Economic Powers Act’s liability shield","paragraph_id":"para_72"},{"text":"provision.","paragraph_id":"para_73"},{"text":"COUNSEL","paragraph_id":"para_74"},{"text":"Jason S. Rathod (argued) and Nicholas A. Migliaccio,","paragraph_id":"para_75"},{"text":"Migliaccio & Rathod LLP, Washington, D.C.; Benjamin I.","paragraph_id":"para_76"},{"text":"Siminou and Jonna Lothyan, Singleton Schreiber LLP, San","paragraph_id":"para_77"},{"text":"Diego, California; David M. Hundley, Hundley Law Group,","paragraph_id":"para_78"},{"text":"Chicago, Illinois; for Plaintiff-Appellant.","paragraph_id":"para_79"},{"text":"Michael B. Kimberly (argued), Winston & Strawn LLP,","paragraph_id":"para_80"},{"text":"Washington, D.C.; Amanda L. Groves and Shawn R. Obi,","paragraph_id":"para_81"},{"text":"Winston & Strawn LLP, Los Angeles, California; Linda T.","paragraph_id":"para_82"},{"text":"Coberly, Winston & Strawn LLP, Chicago, Illinois; for","paragraph_id":"para_83"},{"text":"Defendant-Appellee.","paragraph_id":"para_84"},{"text":"4 NIA V. BANK OF AMERICA, N.A.","paragraph_id":"para_85"},{"text":"OPINION","paragraph_id":"para_86"},{"text":"VANDYKE, Circuit Judge:","paragraph_id":"para_87"},{"text":"As part of the United States’ comprehensive sanctions","paragraph_id":"para_88"},{"text":"against Iran, federal regulations prohibit U.S. financial","paragraph_id":"para_89"},{"text":"institutions from providing financial services to “accounts of","paragraph_id":"para_90"},{"text":"persons who are ordinarily resident in Iran, except when","paragraph_id":"para_91"},{"text":"such persons are not located in Iran.” 31 C.F.R. § 560.320.","paragraph_id":"para_92"},{"text":"To facilitate compliance, the International Emergency","paragraph_id":"para_93"},{"text":"Economic Powers Act (“IEEPA”) shields banks from","paragraph_id":"para_94"},{"text":"liability for good faith actions taken in order to comply with","paragraph_id":"para_95"},{"text":"sanctions regulations.","paragraph_id":"para_96"},{"text":"Citing those regulations, Bank of America (“the Bank”)","paragraph_id":"para_97"},{"text":"administers a Consumer Residency Monitoring (“CRM”)","paragraph_id":"para_98"},{"text":"policy under which prospective and existing accountholders","paragraph_id":"para_99"},{"text":"who are citizens of comprehensively sanctioned countries—","paragraph_id":"para_100"},{"text":"like Iran—are periodically required to submit documents to","paragraph_id":"para_101"},{"text":"prove that they are not present or permanently resident in","paragraph_id":"para_102"},{"text":"sanctioned countries. Plaintiff Mohammad Farshad","paragraph_id":"para_103"},{"text":"Abdollah Nia, who during the times relevant to this appeal","paragraph_id":"para_104"},{"text":"was an Iranian citizen living in the United States, held an","paragraph_id":"para_105"},{"text":"account with the Bank. After the Bank erroneously mixed","paragraph_id":"para_106"},{"text":"up whether a residency document counted as permanent or","paragraph_id":"para_107"},{"text":"merely temporary proof of residency, Nia’s account was","paragraph_id":"para_108"},{"text":"closed, and Nia brought suit under 42 U.S.C. § 1981, the","paragraph_id":"para_109"},{"text":"Equal Credit Opportunity Act (“ECOA”), the California","paragraph_id":"para_110"},{"text":"Unruh Civil Rights Act, and the California Unfair","paragraph_id":"para_111"},{"text":"Competition Law (“UCL”).","paragraph_id":"para_112"},{"text":"After rejecting Nia’s argument that IEEPA’s liability","paragraph_id":"para_113"},{"text":"shield provision applies only to actions specifically","paragraph_id":"para_114"},{"text":"mandated by sanctions regulations, the district court held","paragraph_id":"para_115"},{"text":"that IEEPA forecloses Nia’s claims. We affirm.","paragraph_id":"para_116"},{"text":"NIA V. BANK OF AMERICA, N.A. 5","paragraph_id":"para_117"},{"text":"I.","paragraph_id":"para_118"},{"text":"A.","paragraph_id":"para_119"},{"text":"IEEPA authorizes the President to craft sanctions on","paragraph_id":"para_120"},{"text":"foreign countries that pose unusual and extraordinary","paragraph_id":"para_121"},{"text":"threats. 50 U.S.C. §§ 1701–1710. To facilitate enforcement,","paragraph_id":"para_122"},{"text":"IEEPA shields banks from liability for good faith actions","paragraph_id":"para_123"},{"text":"taken in order to comply with sanctions regulations: “No","paragraph_id":"para_124"},{"text":"person shall be held liable in any court for or with respect to","paragraph_id":"para_125"},{"text":"anything done or omitted in good faith in connection with","paragraph_id":"para_126"},{"text":"the administration of, or pursuant to and in reliance on, this","paragraph_id":"para_127"},{"text":"chapter, or any regulation, instruction, or direction issued","paragraph_id":"para_128"},{"text":"under this chapter.” Id. § 1702(a)(3).","paragraph_id":"para_129"},{"text":"The Office of Foreign Assets Control (“OFAC”)","paragraph_id":"para_130"},{"text":"promulgates the Iranian Transactions and Sanctions","paragraph_id":"para_131"},{"text":"Regulations (“ITSR”). 31 C.F.R. pt. 560. The ITSR","paragraph_id":"para_132"},{"text":"prohibit U.S. financial institutions from exporting financial","paragraph_id":"para_133"},{"text":"services to Iran by “performing services with respect to","paragraph_id":"para_134"},{"text":"Iranian accounts.” Id. § 560.427(b); see id. § 560.204. The","paragraph_id":"para_135"},{"text":"ITSR define “Iranian accounts” as “accounts of persons who","paragraph_id":"para_136"},{"text":"are ordinarily resident in Iran, except when such persons are","paragraph_id":"para_137"},{"text":"not located in Iran, … maintained on the books of … a","paragraph_id":"para_138"},{"text":"United States depository institution or a United States","paragraph_id":"para_139"},{"text":"registered broker or dealer in securities.” Id. § 560.320.","paragraph_id":"para_140"},{"text":"OFAC issues sanctions compliance guidance to banks,","paragraph_id":"para_141"},{"text":"“strongly encourag[ing]” them to “employ a risk-based","paragraph_id":"para_142"},{"text":"approach to sanctions compliance by developing,","paragraph_id":"para_143"},{"text":"implementing, and routinely updating a sanctions","paragraph_id":"para_144"},{"text":"compliance program.” U.S. Dep’t of the Treasury Off. of","paragraph_id":"para_145"},{"text":"Foreign Assets Control, A Framework for OFAC","paragraph_id":"para_146"},{"text":"Compliance Commitments 1 (2019) [hereinafter OFAC","paragraph_id":"para_147"},{"text":"Framework], https://ofac.treasury.gov/recent-actions","paragraph_id":"para_148"},{"text":"/20190502_33 [https://perma.cc/CF3F-HCEM]. A","paragraph_id":"para_149"},{"text":"6 NIA V. BANK OF AMERICA, N.A.","paragraph_id":"para_150"},{"text":"“fundamental element” of such a program “is the assessment","paragraph_id":"para_151"},{"text":"of specific clients, products, services, and geographic","paragraph_id":"para_152"},{"text":"locations in order to determine potential OFAC sanctions","paragraph_id":"para_153"},{"text":"risk” based on a risk matrix provided by OFAC. Id.; 31","paragraph_id":"para_154"},{"text":"C.F.R. pt. 501 app. A, annex. Among other things, OFAC’s","paragraph_id":"para_155"},{"text":"risk matrix lists “nonresident aliens” and “foreign","paragraph_id":"para_156"},{"text":"customers” as “high-risk customers” for compliance","paragraph_id":"para_157"},{"text":"program purposes. 31 C.F.R. pt. 501 app. A, annex. When","paragraph_id":"para_158"},{"text":"OFAC assesses penalties for ITSR violations, it accounts for","paragraph_id":"para_159"},{"text":"“the existence, nature and adequacy” of a sanctions","paragraph_id":"para_160"},{"text":"compliance program. 31 C.F.R. pt. 501 app. A. OFAC has","paragraph_id":"para_161"},{"text":"penalized banks for failing to sufficiently collect and account","paragraph_id":"para_162"},{"text":"for citizenship data in administering their sanctions","paragraph_id":"para_163"},{"text":"compliance programs. See, e.g., U.S. Dep’t of the Treasury","paragraph_id":"para_164"},{"text":"Off. of Foreign Assets Control, OFAC Settles with TD Bank,","paragraph_id":"para_165"},{"text":"N.A. for $115,005.04 Related to Apparent Violations of the","paragraph_id":"para_166"},{"text":"North Korea Sanctions Regulations and the Foreign","paragraph_id":"para_167"},{"text":"Narcotics Kingpin Sanctions Regulations (Dec. 23, 2021),","paragraph_id":"para_168"},{"text":"https://ofac.treasury.gov/media/917121/download?inline","paragraph_id":"para_169"},{"text":"[https://perma.cc/L8HX-NWYQ].","paragraph_id":"para_170"},{"text":"B.","paragraph_id":"para_171"},{"text":"Citing OFAC sanctions, Bank of America adopted a","paragraph_id":"para_172"},{"text":"CRM policy that requires prospective and existing","paragraph_id":"para_173"},{"text":"accountholders who are citizens of comprehensively","paragraph_id":"para_174"},{"text":"sanctioned countries––like Iran––to periodically submit","paragraph_id":"para_175"},{"text":"documents as proof of “physical presence” in the U.S.,","paragraph_id":"para_176"},{"text":"“permanent U.S. residence,” or “presence in a third country","paragraph_id":"para_177"},{"text":"(outside the U.S. and outside a sanctioned country).” These","paragraph_id":"para_178"},{"text":"documents are classified as either permanent or temporary.","paragraph_id":"para_179"},{"text":"Permanent documents may be reused for subsequent","paragraph_id":"para_180"},{"text":"document requests, but temporary documents may be used","paragraph_id":"para_181"},{"text":"only once. Temporary documents expire on their printed","paragraph_id":"para_182"},{"text":"expiration date or, if no expiration date is listed, on a date","paragraph_id":"para_183"},{"text":"NIA V. BANK OF AMERICA, N.A. 7","paragraph_id":"para_184"},{"text":"internally assigned by the Bank. Before that expiration date,","paragraph_id":"para_185"},{"text":"the Bank informs customers by letter that they will soon need","paragraph_id":"para_186"},{"text":"to submit new documents to prove their presence or","paragraph_id":"para_187"},{"text":"residency in the U.S. and that their account may be restricted","paragraph_id":"para_188"},{"text":"or closed if they fail to provide the necessary documents. If","paragraph_id":"para_189"},{"text":"OFAC removes sanctions on a country, the Bank updates the","paragraph_id":"para_190"},{"text":"CRM policy accordingly.","paragraph_id":"para_191"},{"text":"C.","paragraph_id":"para_192"},{"text":"Nia opened a credit card account with the Bank in 2015.","paragraph_id":"para_193"},{"text":"Since he was an Iranian citizen at the time, Nia was covered","paragraph_id":"para_194"},{"text":"by the Bank’s CRM policy. Between 2015 and 2019, Nia","paragraph_id":"para_195"},{"text":"submitted his driver’s license as proof of residency. In April","paragraph_id":"para_196"},{"text":"2019, a few months before Nia’s latest driver’s license was","paragraph_id":"para_197"},{"text":"set to expire, the Bank sent Nia a letter requesting updated","paragraph_id":"para_198"},{"text":"proof-of-residency documentation. The letter mistakenly","paragraph_id":"para_199"},{"text":"listed a Form I-797C (an application for permanent U.S.","paragraph_id":"para_200"},{"text":"residency) as permanent proof of residency. Nia submitted","paragraph_id":"para_201"},{"text":"his Form I-797C. Since the form lacked an expiration date,","paragraph_id":"para_202"},{"text":"the Bank assigned an internal expiration date pursuant to the","paragraph_id":"para_203"},{"text":"CRM policy: November 7, 2019, six months after the date","paragraph_id":"para_204"},{"text":"on the Form I-797C.","paragraph_id":"para_205"},{"text":"In August 2019, a few months before the assigned","paragraph_id":"para_206"},{"text":"November expiration date, the Bank sent Nia a letter","paragraph_id":"para_207"},{"text":"notifying him that “[t]he temporary residency","paragraph_id":"para_208"},{"text":"documentation you provided will soon expire” and asking","paragraph_id":"para_209"},{"text":"for updated documents by October. This letter again","paragraph_id":"para_210"},{"text":"mistakenly listed a Form I-797C as permanent proof of","paragraph_id":"para_211"},{"text":"residency. When Nia returned a missed call from the Bank","paragraph_id":"para_212"},{"text":"in September, a Bank representative told him that she did not","paragraph_id":"para_213"},{"text":"see anything concerning about his account that the Bank","paragraph_id":"para_214"},{"text":"would have called him about and informed him that all","paragraph_id":"para_215"},{"text":"important communication would be done by mail. Shortly","paragraph_id":"para_216"},{"text":"8 NIA V. BANK OF AMERICA, N.A.","paragraph_id":"para_217"},{"text":"afterward, Nia resubmitted his Form I-797C, prompting","paragraph_id":"para_218"},{"text":"another letter from the Bank informing him that his","paragraph_id":"para_219"},{"text":"submission was insufficient and requesting updated","paragraph_id":"para_220"},{"text":"documents. Nia assumed the request was mistaken and","paragraph_id":"para_221"},{"text":"ignored it. The Bank restricted Nia’s account on October 1","paragraph_id":"para_222"},{"text":"and closed it on October 21. On subsequent calls between","paragraph_id":"para_223"},{"text":"Nia and the Bank, the Bank explained that it could not accept","paragraph_id":"para_224"},{"text":"Nia’s Form I-797C because he had submitted it before and","paragraph_id":"para_225"},{"text":"because it was expiring soon.","paragraph_id":"para_226"},{"text":"D.","paragraph_id":"para_227"},{"text":"Nia filed suit in state court in August 2021, and the Bank","paragraph_id":"para_228"},{"text":"removed to federal court. In February 2023, Nia filed an","paragraph_id":"para_229"},{"text":"amended class action complaint, asserting violations of 42","paragraph_id":"para_230"},{"text":"U.S.C. § 1981, ECOA, the California Unruh Civil Rights","paragraph_id":"para_231"},{"text":"Act, and the UCL. The parties filed cross motions for","paragraph_id":"para_232"},{"text":"summary judgment. The district court denied Nia’s partial","paragraph_id":"para_233"},{"text":"motion for summary judgment and granted in part the","paragraph_id":"para_234"},{"text":"Bank’s motion for summary judgment, concluding that the","paragraph_id":"para_235"},{"text":"IEEPA liability shield foreclosed all of Nia’s claims except","paragraph_id":"para_236"},{"text":"his ECOA notice claim and associated UCL claim. Nia","paragraph_id":"para_237"},{"text":"voluntarily dismissed both surviving claims and brought this","paragraph_id":"para_238"},{"text":"appeal.","paragraph_id":"para_239"},{"text":"II.","paragraph_id":"para_240"},{"text":"We have jurisdiction under 28 U.S.C. § 1291. We","paragraph_id":"para_241"},{"text":"review a decision on cross motions for summary judgment","paragraph_id":"para_242"},{"text":"de novo. Marable v. Nitchman, 511 F.3d 924, 929 (9th Cir.","paragraph_id":"para_243"},{"text":"2007).","paragraph_id":"para_244"},{"text":"III.","paragraph_id":"para_245"},{"text":"This case turns on the interpretation of the IEEPA","paragraph_id":"para_246"},{"text":"liability shield provision: “No person shall be held liable in","paragraph_id":"para_247"},{"text":"any court for or with respect to anything done or omitted in","paragraph_id":"para_248"},{"text":"NIA V. BANK OF AMERICA, N.A. 9","paragraph_id":"para_249"},{"text":"good faith in connection with the administration of, or","paragraph_id":"para_250"},{"text":"pursuant to and in reliance on, this chapter, or any regulation,","paragraph_id":"para_251"},{"text":"instruction, or direction issued under this chapter.” 50","paragraph_id":"para_252"},{"text":"U.S.C. § 1702(a)(3). Nia argues that this provision only","paragraph_id":"para_253"},{"text":"excuses liability for actions “compelled by ITSR.” We","paragraph_id":"para_254"},{"text":"disagree.","paragraph_id":"para_255"},{"text":"Nia’s argument has no root in the text of the statute. In","paragraph_id":"para_256"},{"text":"1977, when IEEPA was enacted, “pursuant” meant “in","paragraph_id":"para_257"},{"text":"accordance with” or “by reason of.” Pursuant, Black’s Law","paragraph_id":"para_258"},{"text":"Dictionary (4th rev. ed. 1968); Pursuant, Black’s Law","paragraph_id":"para_259"},{"text":"Dictionary (5th ed. 1979) (same). “Reliance” meant","paragraph_id":"para_260"},{"text":"“dependence.” Reliance, Ballentine’s Law Dictionary (3d","paragraph_id":"para_261"},{"text":"ed. 1969); Reliance, Oxford English Dictionary (2d ed.","paragraph_id":"para_262"},{"text":"1989). Neither term suggests compulsion. And the liability","paragraph_id":"para_263"},{"text":"shield extends to actions taken pursuant to and in reliance on","paragraph_id":"para_264"},{"text":"“instruction[s]” or “direction[s],” neither of which imply","paragraph_id":"para_265"},{"text":"compulsion either. 50 U.S.C. § 1702(a)(3). That language","paragraph_id":"para_266"},{"text":"affords financial institutions like the Bank some discretion","paragraph_id":"para_267"},{"text":"on how best to comply with the ITSR.","paragraph_id":"para_268"},{"text":"Neither Silesian American Corp. v. Clark, 332 U.S. 469","paragraph_id":"para_269"},{"text":"(1947), nor McGrath v. Cities Service Co., 189 F.2d 744 (2d","paragraph_id":"para_270"},{"text":"Cir. 1951), clashes with the straightforward text of the","paragraph_id":"para_271"},{"text":"statute. Nia contends that these cases, which interpreted a","paragraph_id":"para_272"},{"text":"functionally identical liability shield provision in IEEPA’s","paragraph_id":"para_273"},{"text":"predecessor statute, indicate that IEEPA immunizes only","paragraph_id":"para_274"},{"text":"compelled actions. We again disagree. Both cases focused","paragraph_id":"para_275"},{"text":"on the powers of the Alien Property Custodian—a World","paragraph_id":"para_276"},{"text":"War II–era office––to order U.S. companies to transfer","paragraph_id":"para_277"},{"text":"security interests held by German citizens to the Alien","paragraph_id":"para_278"},{"text":"Property Custodian. Silesian, 332 U.S. at 471; McGrath,","paragraph_id":"para_279"},{"text":"189 F.2d at 745. Both cases involved corporations","paragraph_id":"para_280"},{"text":"compelled to act in accordance with a specific directive, and","paragraph_id":"para_281"},{"text":"both cases concluded, in dicta, that the liability shield","paragraph_id":"para_282"},{"text":"10 NIA V. BANK OF AMERICA, N.A.","paragraph_id":"para_283"},{"text":"applied. Silesian, 332 U.S. at 477–79; McGrath, 189 F.2d at","paragraph_id":"para_284"},{"text":"747–48. But neither case makes sweeping claims (or any","paragraph_id":"para_285"},{"text":"claims at all) about the meaning of the “pursuant to and in","paragraph_id":"para_286"},{"text":"reliance on” language. At most, Silesian and McGrath","paragraph_id":"para_287"},{"text":"suggest that a specific directive’s compulsion is a sufficient","paragraph_id":"para_288"},{"text":"condition—but not a necessary one—to trigger the liability","paragraph_id":"para_289"},{"text":"shield.","paragraph_id":"para_290"},{"text":"Given IEEPA’s expansive language, the Bank’s CRM","paragraph_id":"para_291"},{"text":"policy falls comfortably within the liability shield’s ambit.","paragraph_id":"para_292"},{"text":"The policy is clearly built around the demands of the ITSR.","paragraph_id":"para_293"},{"text":"The Bank requests “[p]roof of United States (U.S.) physical","paragraph_id":"para_294"},{"text":"presence,” “[p]roof of permanent U.S. residence,” or","paragraph_id":"para_295"},{"text":"“[p]roof of presence in a third country (outside the U.S. and","paragraph_id":"para_296"},{"text":"outside a sanctioned country)”—precisely the information","paragraph_id":"para_297"},{"text":"most helpful in assessing whether the Bank might be","paragraph_id":"para_298"},{"text":"servicing “accounts of persons who are ordinarily resident in","paragraph_id":"para_299"},{"text":"Iran.” 31 C.F.R. § 560.320. Both the CRM policy and the","paragraph_id":"para_300"},{"text":"Bank’s internal sanctions compliance guidance inform","paragraph_id":"para_301"},{"text":"employees that the policy was adopted to comply with","paragraph_id":"para_302"},{"text":"OFAC’s sanction regime.","paragraph_id":"para_303"},{"text":"Applying the CRM policy based on citizenship in a","paragraph_id":"para_304"},{"text":"comprehensively sanctioned country is done “pursuant to","paragraph_id":"para_305"},{"text":"and in reliance on” sanctions guidance as well. OFAC","paragraph_id":"para_306"},{"text":"“strongly encourages organizations subject to U.S.","paragraph_id":"para_307"},{"text":"jurisdiction … to employ a risk-based approach to sanctions","paragraph_id":"para_308"},{"text":"compliance by developing, implementing, and routinely","paragraph_id":"para_309"},{"text":"updating a sanctions compliance program.” OFAC","paragraph_id":"para_310"},{"text":"Framework, supra, at 5. Under OFAC’s “Economic","paragraph_id":"para_311"},{"text":"Sanctions Enforcement Guidelines,” financial institutions","paragraph_id":"para_312"},{"text":"are allowed to account for citizenship in a comprehensively","paragraph_id":"para_313"},{"text":"sanctioned country as a risk factor, so the Bank’s adherence","paragraph_id":"para_314"},{"text":"to that guidance directly accords with a “regulation,","paragraph_id":"para_315"},{"text":"instruction, or direction” issued under IEEPA. 50 U.S.C.","paragraph_id":"para_316"},{"text":"NIA V. BANK OF AMERICA, N.A. 11","paragraph_id":"para_317"},{"text":"§ 1702(a)(3); 31 C.F.R. pt. 501 app. A, annex (listing","paragraph_id":"para_318"},{"text":"“nonresident aliens” and “foreign customers” as “high-risk","paragraph_id":"para_319"},{"text":"customers” for sanctions compliance purposes). Nia points","paragraph_id":"para_320"},{"text":"to other agency guidance cautioning financial institutions","paragraph_id":"para_321"},{"text":"against treating “nonresident aliens and foreign individuals”","paragraph_id":"para_322"},{"text":"as “automatically represent[ing] a uniformly higher risk of","paragraph_id":"para_323"},{"text":"money laundering, terrorist financing, or other illicit","paragraph_id":"para_324"},{"text":"financial activity.” Bd. of Governors of the Fed. Rsrv. Sys.","paragraph_id":"para_325"},{"text":"et al., Joint Statement on the Risk-Based Approach to","paragraph_id":"para_326"},{"text":"Assessing Customer Relationships and Conducting","paragraph_id":"para_327"},{"text":"Customer Due Diligence (July 6, 2022) (emphasis added),","paragraph_id":"para_328"},{"text":"https://www.federalreserve.gov/frrs/regulations/joint-","paragraph_id":"para_329"},{"text":"statement-on-the-risk-based-approach-to-assessing-","paragraph_id":"para_330"},{"text":"customer-relationships-and-conducting-customer-due-","paragraph_id":"para_331"},{"text":"diligence.htm [https://perma.cc/4JYG-H9EE]; see also Fed.","paragraph_id":"para_332"},{"text":"Fin. Insts. Examination Council, BSA/AML Examination","paragraph_id":"para_333"},{"text":"Manual: Risks Associated With Money Laundering and","paragraph_id":"para_334"},{"text":"Terrorist Financing (2021), https://bsaaml.ffiec.gov/manual","paragraph_id":"para_335"},{"text":"/RisksAssociatedWithMoneyLaunderingAndTerrorist","paragraph_id":"para_336"},{"text":"Financing/00 [https://perma.cc/C6MX-XZ7P]. But the","paragraph_id":"para_337"},{"text":"Bank’s CRM policy addresses a different type of risk: the","paragraph_id":"para_338"},{"text":"liability risk of violating the ITSR by inadvertently servicing","paragraph_id":"para_339"},{"text":"an “Iranian account.” Applying a sanctions compliance","paragraph_id":"para_340"},{"text":"program based on citizenship may not be compelled by the","paragraph_id":"para_341"},{"text":"ITSR, but it is certainly permitted under OFAC’s guidelines.","paragraph_id":"para_342"},{"text":"Of course, the liability shield still only applies to actions","paragraph_id":"para_343"},{"text":"taken in good faith. 50 U.S.C. § 1702(a)(3). But Nia fails","paragraph_id":"para_344"},{"text":"to identify a genuine issue of material fact about the Bank’s","paragraph_id":"para_345"},{"text":"good faith here. He points first to the Bank’s mistaken","paragraph_id":"para_346"},{"text":"classification of the Form I-797C. While he is correct that","paragraph_id":"para_347"},{"text":"the Bank mistakenly listed a Form I-797C as permanent","paragraph_id":"para_348"},{"text":"proof of residency in some of its letters to Nia, nothing in the","paragraph_id":"para_349"},{"text":"record suggests that the Bank’s mistake was not in good","paragraph_id":"para_350"},{"text":"12 NIA V. BANK OF AMERICA, N.A.","paragraph_id":"para_351"},{"text":"faith. Contrary to Nia’s assertions, the Bank never","paragraph_id":"para_352"},{"text":"“withh[e]ld” the fact that the Form I-797C would expire.","paragraph_id":"para_353"},{"text":"Months before the deadline, the Bank’s August 2019 letters","paragraph_id":"para_354"},{"text":"informed Nia that “[t]he temporary residency documentation","paragraph_id":"para_355"},{"text":"you provided will soon expire.” Nor did the Bank “ignor[e]”","paragraph_id":"para_356"},{"text":"the Form I-797C’s internal, November expiration date when","paragraph_id":"para_357"},{"text":"it threatened to restrict Nia’s account unless he submitted","paragraph_id":"para_358"},{"text":"updated documents by an October deadline. The Bank was","paragraph_id":"para_359"},{"text":"merely following its consistent practice of asking that new","paragraph_id":"para_360"},{"text":"documentation be submitted several months before the","paragraph_id":"para_361"},{"text":"previous documents would expire: indeed, in 2016 and 2019,","paragraph_id":"para_362"},{"text":"the Bank requested that Nia submit updated documentation","paragraph_id":"para_363"},{"text":"a few months before his driver’s license expired.","paragraph_id":"para_364"},{"text":"Second, Nia argues that unnecessarily discriminatory","paragraph_id":"para_365"},{"text":"actions inherently lack good faith. To support this assertion,","paragraph_id":"para_366"},{"text":"Nia points to two letters sent by third parties complaining","paragraph_id":"para_367"},{"text":"about the Bank’s policy as “reliable evidence” that the Bank","paragraph_id":"para_368"},{"text":"was not acting in good faith. Cortez Masto, Menendez","paragraph_id":"para_369"},{"text":"Criticize Bank of America’s Policy of Questioning","paragraph_id":"para_370"},{"text":"Customers’ Citizenship Status, Catherine Cortez Masto","paragraph_id":"para_371"},{"text":"(Oct. 2, 2018), https://www.cortezmasto.senate.gov/news","paragraph_id":"para_372"},{"text":"/press-releases/cortez-masto-menendez-criticize-bank-of-","paragraph_id":"para_373"},{"text":"americas-policy-of-questioning-customers-citizenship-","paragraph_id":"para_374"},{"text":"status/ [https://perma.cc/BY2F-N7LU]; Nat’l Iranian Am.","paragraph_id":"para_375"},{"text":"Council, NIAC Calls for Bank of America to Stop Closures","paragraph_id":"para_376"},{"text":"of Iranian American Bank Accounts (July 19, 2019), https://","paragraph_id":"para_377"},{"text":"niacouncil.org/niac-letter-bank-america-discriminatory-","paragraph_id":"para_378"},{"text":"account-closures/ [https://perma.cc/W2TA-PXKH]. But","paragraph_id":"para_379"},{"text":"whether third parties dislike the Bank’s policy says nothing","paragraph_id":"para_380"},{"text":"about the Bank’s good faith. The citizenship-based","paragraph_id":"para_381"},{"text":"application of the CRM policy that Nia and the letters","paragraph_id":"para_382"},{"text":"complain of merely adheres to OFAC guidance on how to","paragraph_id":"para_383"},{"text":"comply with sanctions regulations.","paragraph_id":"para_384"},{"text":"NIA V. BANK OF AMERICA, N.A. 13","paragraph_id":"para_385"},{"text":"Finally, Nia contends that seven CFPB complaints prove","paragraph_id":"para_386"},{"text":"that the Bank’s actions were not taken in good faith. Once","paragraph_id":"para_387"},{"text":"again, third-party disapproval has no bearing on the Bank’s","paragraph_id":"para_388"},{"text":"good faith. But even accepting Nia’s premise that these","paragraph_id":"para_389"},{"text":"complaints could create a genuine issue of material fact","paragraph_id":"para_390"},{"text":"about the Bank’s good faith, a handful of CFPB complaints","paragraph_id":"para_391"},{"text":"(only one of which actually confirms that the complainant is","paragraph_id":"para_392"},{"text":"an Iranian citizen) falls far short of proving any sort of","paragraph_id":"para_393"},{"text":"widespread lack of good faith motivating the Bank’s CRM","paragraph_id":"para_394"},{"text":"policy. The Bank has served 67,000 Iranian citizen","paragraph_id":"para_395"},{"text":"accountholders since 2016. Misapplying the CRM policy to","paragraph_id":"para_396"},{"text":"one of those 67,000 Iranian citizen accountholders (or even","paragraph_id":"para_397"},{"text":"seven, charitably assuming the six other complaints Nia","paragraph_id":"para_398"},{"text":"flags were filed by Iranian citizen complainants, which even","paragraph_id":"para_399"},{"text":"Nia isn’t sure about) does not create a genuine issue of","paragraph_id":"para_400"},{"text":"material fact about the Bank’s good faith.1","paragraph_id":"para_401"},{"text":"IV.","paragraph_id":"para_402"},{"text":"The district court properly granted summary judgment to","paragraph_id":"para_403"},{"text":"the Bank based on IEEPA’s liability shield provision. 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