Quick overview

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JPMorgan Chase & Co. was sued by President Donald Trump and its CEO, Jamie Dimon, for at least $5 billion over claims that the bank stopped providing banking services to him and his companies for political reasons.

The bank faces accusations of trade libel and violating the implied covenant of good faith, as outlined in a complaint filed on Thursday. It also alleges that Dimon violated Florida’s laws against deceptive trade practices. JPMorgan responded by stating that it does not terminate accounts based on political or religious beliefs.

Trump has frequently targeted JPMorgan in his efforts to combat what he sees as banks refusing to offer financial services to clients for ideological reasons, especially after JPMorgan closed accounts for Trump and his companies about seven weeks after the January 6 assault by his supporters on the U.S. Capitol. At that time, Trump was no longer in office and had low political standing.

According to the complaint filed in Miami-Dade County court, JPMorgan, the largest U.S. bank, informed the plaintiffs that it was closing their accounts “without warning or provocation,” causing significant financial and reputational damage.

Since regaining power last year, Trump has sought revenge against alleged political adversaries. His targets include law firms, colleges, businesses, media outlets, Democratic officials, and others who oppose his ideology.

The complaint claims the bank was motivated by its “woke” belief that it needed to distance itself from Trump and his conservative views. JPMorgan Chase essentially removed the plaintiffs’ accounts because it believed the current political climate supported such actions. JPMorgan states that the lawsuit has no merit.

The bank, based in New York, stated, “We do close accounts because they create legal or regulatory risk for the company.” It added, “We hate having to do this, but regulations and expectations often compel us to do so. We support efforts to prevent the banking industry from becoming a tool for political agendas, and we have been urging both this and previous administrations to change the laws and policies that have put us in this situation.”

In November, the bank disclosed that it is undergoing reviews, investigations, and legal actions related to the Trump administration’s campaign against “debanking.” Additionally, Capital One Financial Corp. has already been sued by the Trump Organization over similar accusations.