I'm not from the USA, and this is the bank's fault. The guy from the news, as well as the others, as a contractual limit set. The bank breached the contract when they (1) surrendered a sum that the client did not have available (2) clearly surpassed the said limit.
Overdraft laws in the US work differently. Before you had no way of turning off overdrafts and banks could charge you as many times in a day as they want. Obama passed a law that said you had to be given the option to turn off overdrafts, and if you had it on you can only be charged a maximum of 3 overdraft fines a day.
There is no contractual limit. It changes depending on what the bank thinks is appropriate. Hell you can select No I don't want overdrafts to be authorized and if its a recurring charge, the bank can allow it to go through or if its a charge that the bank deems as important (mortgage payment, probably even gas) the bank can allow it to go through.