00-4029Firstar Bank, N.A. v. Faul

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“‘[L]ocated’ should be construed to maintain jurisdictional equality between national banks and state banks or other corporations. In order to maintain this parity, national banks would need potentially to be citizens of two different states, since under 28 U.S.C. sec. 1332(c)(1) corporations are considered to be citizens of both where their principal place of business is located and their state of incorporation. While a national bank is not incorporated in a state, the organization certificate described in 12 U.S.C. sec. 22 serves a function similar to a certificate of incorporation. Financial Software, 84 F. Supp.2d at 605 n.10. This certificate must list a state where the bank’s ‘operations of discount and deposit are to be carried on;’ this serves as an adequate substitute for the state of incorporation which is used for state banks and other corporations. Therefore, we hold that for purposes of 28 U.S.C. sec. 1348 a national bank is ‘located’ in, and thus a citizen of, the state of its principal place of business and the state listed in its organization certificate.”

Reversed and remanded.

Appeal from the United States District Court for the Northern District of Illinois, Aspen, J., Flaum, J.