Supreme Court of the United States

Barnett Bank of Marion County, N. A. v. Nelson, Florida Insurance Commissioner

March 26, 1996517 U.S. 25

Summary

Justice Breyer delivered the unanimous opinion holding that 12 U. S. C. § 92 preempts Florida's prohibition on insurance sales by affiliated national banks operating in small towns. Congress granted those banks authority to sell insurance without conditioning that authority on state permission, and Florida's prohibition obstructed the exercise of that power. The McCarran-Ferguson Act does not prevent preemption because § 92 specifically relates to the business of insurance. The Court reversed the Court of Appeals. There were no separate opinions.

Holding

Whether federal authorization for national banks to sell insurance in small towns preempts Florida's contrary prohibition.. Section 92 grants qualifying national banks authority to sell insurance regardless of state permission and preempts Florida's prohibition.
Whether the McCarran-Ferguson Act prevents § 92 from preempting Florida's prohibition.. The McCarran-Ferguson Act's anti-preemption rule does not apply because § 92 specifically relates to the business of insurance.

Docket 94-1837

Cited authorities

OCC Interpretive Letter No. 366
15 U.S.C. § 1012
39 Stat. 753
12 U.S.C. § 92
Fla. Stat. §626.988
59 Stat. 34
15 U.S.C. § 1012
15 U.S.C. § 1012

Cited by

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