Title 12 — Banks and BankingRelease 119-73
§214b Continuation of business and corporate entity
Title 12 › Chapter CHAPTER 2— - NATIONAL BANKS › Subchapter SUBCHAPTER XV— - CONVERSION OF NATIONAL BANKS INTO STATE BANKS › § 214b
Summary
When a national bank converts, merges, or consolidates into a state bank under a state charter, its national franchise ends. The state bank is the same entity; references to the national bank apply to the state bank unless inconsistent.
Full Legal Text
Title 12, §214b
Banks and Banking — Source: USLM XML via OLRC
The franchise of a national banking association as a national banking association shall automatically terminate when its conversion into or its merger or consolidation with a State bank under a State charter is consummated and the resulting State bank shall be considered the same business and corporate entity as the national banking association, although as to rights, powers, and duties the resulting bank is a State bank. Any reference to such national banking association in any contract, will, or document shall be considered a reference to the State bank if not inconsistent with the provisions of the contract, will, or document or applicable law.
Reference
Citations & Metadata
Citation
12 U.S.C. § 214b
Title 12 — Banks and Banking
Last Updated
Apr 6, 2026
Release point: 119-73