PNC Investments LLC lost ground in its bid to drop a proposed class action claim that the company breached its contract with customers by underpaying interest on uninvested cash held in their brokerage accounts.
PNC customers’ theory that the company is liable for breach of contract because its “cash sweep” program favored the bank’s interests over theirs should move forward, said the report and recommendation issued by Magistrate Judge Kezia O.L. Taylor, of the US District Court for the Western District of Pennsylvania.
The customers’ claim that PNC breached its fiduciary duty also should proceed, Taylor said Wednesday. But their ...