Consumer liability deadline extension for electronic transfers (US)

Question

12 CFR 1005.6(a)(4), Liability of consumer for unauthorized transfers, says

(4) Extension of time limits. If the consumer's delay in notifying the financial institution was due to extenuating circumstances, the institution shall extend the times specified above to a reasonable period.

This is consistent with 15 USC 1693g(a) (Consumer liability / Unauthorized electronic fund transfers; limit), which establishes the time limits with a parenthetical extension, for example

within sixty days of transmittal of the statement (or in extenuating circumstances such as extended travel or hospitalization, within a reasonable time under the circumstances)

However, I can find no further guidance in the statute nor in the regulation as to the determination of "reasonable time under the circumstances." Is there any jurisprudence on this question?

I am particularly interested in the second circuit, in the case of extended travel, and in the question of whether 75 days or 95 days might be considered reasonable given that the traveler has not returned home during that period.

Answer 1

There is heaps of case law on reasonableness

It’s one of the oldest standards in common law jurisprudence. It means:

Just, rational, appropriate, ordinary, or usual in the circumstances.

In the context above, a reasonable period is probably an extension which gives the customer 60 days outside the “extenuating circumstances”.