Banking License Requirements

How does Florida regulate and authorize licenses?   

A “license” to regulate professions and occupations means any permit, registration, certificate, or license issued in Florida. An occupational license is a privilege accorded by the state or its subdivisions to conduct a business at a particular location and is not a property right protected by substantive due process; the denial of such license does not prevent the business owner from pursuing a lawful occupation but merely stops the business from operating at a particular location. Ammons v. Okeechobee County, 710 So. 2d 641 (Fla. 4th DCA 1998).  

On July 1, 2021, the Florida Legislature passed Section 163.211 into law, which prevents any county, municipality, or other political subdivision of Florida from implementing additional licensing requirements for most occupations. Therefore, a prospective applicant only needs to satisfy state statutory requirements. 

Need help receiving, renewing, or defending your license? Schedule your consultation today with a top administrative law and licensing attorney.  

Which laws and regulations apply to banking licenses in Florida?  

In Florida, the regulation of banking licenses falls under the jurisdiction of the Florida Office of Financial Regulation (OFR). The OFR oversees banks, credit unions, and other financial institutions.  

Florida’s primary law governing banking licenses is Florida Statutes Title XXXVIII, Chapter 658, which sets forth the rules and requirements for the organization, operation, and regulation of banks and trust companies in the state. Moreover, federal laws and regulations such as the Bank Holding Company Act of 1956 and the National Bank Act also apply to banking institutions operating in Florida, ensuring they comply with national banking standards. 

What are the application and retention requirements for banking licenses in Florida? 

Application Requirements 

To obtain a banking license in Florida, applicants must meet several criteria outlined in the Florida Statutes § 658.19. These requirements include applying the OFR, along with a filing fee. In addition, the application must contain information such as the proposed bank’s name, the location of its principal office, the amount of capital stock, and the names of the proposed directors and executive officers. 

Additionally, applicants must provide a detailed business plan outlining the bank’s proposed operations and demonstrate that the bank will have sufficient capital to operate safely and soundly. The OFR will thoroughly investigate the proposed bank’s directors and executive officers to ensure they have the necessary experience and qualifications. The OFR may also require the submission of additional information or documentation to support the application. 

Retention Requirements 

To retain a banking license in Florida, banks must comply with ongoing requirements outlined in Chapter 658, such as maintaining adequate capital levels, submitting periodic reports to the OFR, and adhering to various safety and soundness standards. Furthermore, banks must comply with federal regulations, including those established by the Office of the Comptroller of the Currency (OCC) and the Federal Reserve System. Failure to comply with these ongoing requirements may result in enforcement actions, fines, or the revocation of the banking license. 

To determine whether you meet the requirements for a banking license, please contact our office to set up your initial consultation. 

Can the OFR’s license decision be appealed?  

Yes, an adverse license decision made by the OFR is appealable. The authority for appealing such decisions comes from the Florida Administrative Procedure Act (APA), Chapter 120 of the Florida Statutes. The APA establishes the framework for challenging agency actions, such as licensing decisions, through administrative hearings and judicial review. The right to appeal derives from Florida Statutes §120.569 and §120.57.  

If an applicant or licensee receives an adverse decision from the OFR, they may request an administrative hearing to challenge it. The request for a hearing must be submitted within the timeframe specified in the agency’s notice, which is generally 15 days from the date of the notice, as provided in Section 120.569(2)(a), Florida Statutes. 

The administrative hearing process commences with submitting a petition for a hearing to the agency. The petition must comply with the requirements outlined in Rule 28-106.201, Florida Administrative Code. If the petitioner qualifies for an administrative hearing, the case is referred to the Division of Administrative Hearings (DOAH) and assigned to an administrative law judge (ALJ). 

The ALJ conducts the hearing, like a trial, with both parties presenting evidence and testimony. After the hearing, the ALJ issues a recommended order, which includes findings of fact, conclusions of law, and a recommendation for a final decision. The OFR then reviews the recommended order and issues a final order, either adopting, modifying, or rejecting the ALJ’s recommendations. 

Suppose the petitioner is unsatisfied with the OFR’s final order. In that case, they can seek judicial review by filing a notice of appeal with the appropriate District Court of Appeal, as provided in Section 120.68, Florida Statutes. The court reviews the case to determine if the agency’s decision follows from competent, substantial evidence and complies with the law. 

Have more questions about a professional licensing-related situation?  

Crucially, this overview of banking licenses does not begin to cover all the laws implicated by this issue or the factors that may compel the application of such laws. Every case is unique, and the laws can produce different outcomes depending on the individual circumstances. 

Jimerson Birr attorneys guide our clients to help make informed decisions while ensuring their rights are respected and protected. Our lawyers are highly trained and experienced in the nuances of the law, so they can accurately interpret statutes and case law and holistically prepare individuals or companies for their legal endeavors. Through this intense personal investment and advocacy, our lawyers will help resolve the issue’s complicated legal problems efficiently and effectively. 

Having a Jimerson Birr attorney on your side means securing a team of seasoned, multi-dimensional, cross-functional legal professionals. Whether it is a transaction, an operational issue, a regulatory challenge, or a contested legal predicament that may require court intervention, we remain a tireless advocate every step of the way. Being a value-added law firm means putting the client at the forefront of everything we do. We use our experience to help our clients navigate even the most complex problems and come out the other side triumphant. 

If you want to understand your case, the merits of your claim or defense, potential monetary awards, or the amount of exposure you face, you should speak with a qualified Jimerson Birr lawyer. Our experienced team of attorneys is here to help. Call Jimerson Birr at (904) 389-0050 or use the contact form to set up a consultation.