The NCUA had approved a membership expansion for AT&T Family Federal Credit Union in Asheboro, allowing it to serve small employee groups not related to the telecommunications giant.
[2] Since 1934, federal credit unions in the United States were defined as groups tied together by a single common bond of occupation or association, or by residence within a certain geographic area.
It ruled that the NCUA's policy of permitting multiple groups in one field of membership was a correct interpretation of the Federal Credit Union Act.
Circuit overturned the District Court decision and ruled that all members of a federal credit union must share one common bond.
The bankers filed a separate suit asking the district court for a nationwide injunction and to have the decision applied to all federally chartered credit unions with multiple groups.
[9] The law codified the eligibility of family and household members, and the NCUA to define community fields of membership.