Astoria Federal Savings & Loan Ass'n v. United States

BRYSON, Circuit Judge.

This is a breach of contract case. In October 1984, the government arranged for Fidelity New York, F.S.B., a Long Island savings and loan association, or “thrift,” to acquire another Long Island thrift that was in danger of failing. The government assisted the acquisition by offering several benefits to Fidelity, including a promise to allow Fidelity to accord favorable treatment to the “supervisory goodwill” generated by the transaction for purposes of meeting Fidelity’s regulatory capital maintenance requirements.

Five years later, Congress enacted legislation that…