Case: United States v. Lakeland Bank
2:22-cv-05746 | U.S. District Court for the District of New Jersey
Filed Date: Sept. 28, 2022
Case Ongoing
Clearinghouse coding complete
Case Summary
This case challenges an alleged pattern or practice of redlining by Lakeland Bank, a New Jersey-based financial institution, in violation of the Fair Housing Act (FHA) and the Equal Credit Opportunity Act (ECOA).
On September 28, 2022, the United States filed suit in the U.S. District Court for the District of New Jersey, alleging that between 2015 and 2021 Lakeland intentionally avoided providing mortgage and home loan services in majority-Black and Hispanic neighborhoods throughout the Newark metropolitan area. The complaint alleged that Lakeland’s assessment area under the Community Reinvestment Act excluded most majority-minority tracts in Essex, Union, and Somerset Counties, that all of its branches were located in majority-white neighborhoods, and that the bank made only about one-fifth as many loans in Black and Hispanic tracts as comparable lenders. According to the DOJ, these disparities were statistically significant each year, unjustified by business necessity, and reflected intentional exclusion from credit on the basis of race, color, and national origin. The government sought declaratory and injunctive relief, monetary damages, and civil penalties.
On September 29, 2022, Judge Claire C. Cecchi approved a consent order resolving the case. Without admitting liability, Lakeland Bank agreed to invest $12 million in a loan-subsidy fund to expand mortgage access in majority-Black and Hispanic neighborhoods in the Newark area, open two new full-service branches, and assign four mortgage loan officers to those communities. The bank also committed to spend $400,000 on community partnerships and $150,000 per year on targeted outreach, advertising, and financial-education programs—more than $13 million in total relief over the decree’s five-year term. The order required adoption of new fair-lending policies, annual training conducted by an independent third-party trainer subject to DOJ non-objection, and ongoing compliance oversight by Lakeland’s Community Development Action Committee. The court retained jurisdiction while administratively closing the case.
Nearly three years later, following President Trump’s reelection and a change in DOJ leadership, the Department moved on May 28, 2025 to terminate the consent order and dismiss the case with prejudice, effectively seeking to end the decree’s supervision. On June 1, 2025, several civil-rights and fair-housing organizations—including the National Fair Housing Alliance, Housing Equality Center of Pennsylvania, and New Jersey Citizen Action Education Fund—moved for leave to appear as amici curiae opposing the government’s motion, arguing that the decree remained vital to correcting ongoing disparities. Lakeland, represented by new counsel admitted pro hac vice, supported the motion for termination, asserting that it had met its obligations and that continued oversight was unwarranted.
Through the summer and fall of 2025, the court received multiple rounds of briefing, supplemental authority, and amicus submissions, including citations to United States v. Essa Bank & Trust (E.D. Pa. 2025). As of December 2025, Judge Cecchi had not ruled on either the motion to terminate or the amici’s participation requests. The consent order technically remains in force pending the court’s decision.
This case, once part of the DOJ’s “Combatting Redlining Initiative,” has become a test of whether a subsequent administration can dismantle existing civil-rights consent decrees.
The case remains ongoing.
Summary Authors
Jack Buckfire (11/4/2025)
People
For PACER's information on parties and their attorneys, see: https://www.courtlistener.com/docket/65381584/parties/united-states-v-lakeland-bank/
Cecchi, Claire Claudia (New Jersey)
CAMPION, MICHAEL E. (New Jersey)
CAMPOS, MARTA (New Jersey)
CUNNINGHAM, WILLIAM MICHAEL (New Jersey)
GEFFEN, BENJAMIN DAVID (New Jersey)
Documents in the Clearinghouse
Docket
See docket on RECAP: https://www.courtlistener.com/docket/65381584/united-states-v-lakeland-bank/
Last updated Jan. 20, 2026, 9:21 p.m.
Case Details
State / Territory:
Case Type(s):
Fair Housing/Lending/Insurance
Special Collection(s):
Trump Administration 2.0: Reversing Course on Existing Litigation
Key Dates
Filing Date: Sept. 28, 2022
Case Ongoing: Yes
Plaintiffs
Plaintiff Description:
The United States of America Department of Justice
Plaintiff Type(s):
U.S. Dept of Justice plaintiff
Public Interest Lawyer: No
Filed Pro Se: No
Class Action Sought: No
Class Action Outcome: Not sought
Defendants
Private Entity/Person
Lakeland Bank
Defendant Type(s):
Case Details
Causes of Action:
Equal Credit Opportunity Act (ECOA), 15 U.S.C. § 1691
Fair Housing Act/Fair Housing Amendments Act (FHAA), 42 U.S.C. §§ 3601 et seq.
Other Dockets:
District of New Jersey 2:22-cv-05746
Available Documents:
Injunctive (or Injunctive-like) Relief
Outcome
Prevailing Party: Plaintiff OR Mixed
Relief Sought:
Relief Granted:
Injunction / Injunctive-like Settlement
Source of Relief:
Form of Settlement:
Court Approved Settlement or Consent Decree
Content of Injunction:
Comply with advertising/recruiting requirements
Develop anti-discrimination policy
Provide antidiscrimination training
Amount Defendant Pays: $13,000,000
Issues
Discrimination Area:
Discrimination Basis:
National origin discrimination
Affected Language(s):
Affected Race(s):
Case Summary of United States v. Lakeland Bank, Civil Rights Litig. Clearinghouse, http://www.dev.clearinghouse.net/case/46995/ (last updated 11/4/2025).