Title 12, Banks and BankingRelease 119-102
§214c Conversions in Contravention of State Law
Title 12 › CHAPTER 2 — NATIONAL BANKS › SUBCHAPTER XV — CONVERSION OF NATIONAL BANKS INTO STATE BANKS › § 214c
Summary
A national bank must not change into a state bank, or merge or combine with a state bank under federal conversion rules, if doing so would break the law of the state where the bank is located. Such federal conversions or mergers are allowed only if state law lets state banks convert into or join national banks under rules that are no stricter than the federal limits.
Full Legal Text
Title 12, §214c
Banks and Banking, Source: USLM XML via OLRC
No conversion of a national banking association into a State bank or its merger or consolidation with a State bank shall take place under this subchapter and section 321 of this title in contravention of the law of the State in which the national banking association is located; and no such conversion, merger, or consolidation shall take place under said sections unless under the law of the State in which such national banking association is located State banks may without approval by any State authority convert into and merge or consolidate with national banking associations under limitations or conditions no more restrictive than those contained in section 214a of this title with respect to the conversion of a national bank into, or merger or consolidation of a national bank with, a State bank under State charter.
Legislative History
Notes & Related Subsidiaries
Editorial Notes
Amendments
1954—Act Sept. 3, 1954, substituted “this subchapter and section 321 of this title” for “sections 214 to 214c, 264(e)(2), (i)(2), (v)(4), and 321 of this title”. 1952—Act July 12, 1952, amended section so that the limitation of this section beyond which State law cannot go will be measured by the standard set out in section 214a of this title for National-to-State conversions.
Reference
Citations & Metadata
Citation
12 U.S.C. § 214c
Title 12, Banks and Banking
Last Updated
Aug 21, 2026
Release point: 119-102