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Email On May 22, 2015, in Madden v. Midland Funding, LLC, (“Madden”), the United States Court of Appeals for the Second Circuit held that the application of state usury laws to third-party assignees is not preempted by the National Bank Act but rather such assignees remain subject to state usury limits. The Madden decision has potentially far-reaching implications for investors in, and securitizers of, bank-originated loans to the extent that it casts into doubt the ability of an assignee of a bank loan to collect interest at the rate originally provided for in the agreement. https://www.cadwalader.com/resources/clients-friends-memos/second-circuit-holds-application-of-state-usury-laws-to-third-party-debt-purchasers-not-preempted-by-national-bank-act