Consumer Financial Services Legal Update Blog

The Long Arm of the CFPB

On the fifth birthday of the Consumer Financial Protection Bureau (“CFPB”), Dorsey attorneys discuss the CFPB’s investigatory powers and explain – through an analysis of three important cases – how the events of early 2016 reveal a changing tide. Click here to read the article published in Corporate Counsel.

“Nonbank” Lender Seeks Injunction Restraining CFPB Administrative Action

On May 9, 2016, Integrity Advance, LLC and its CEO James Carnes filed suit against the Consumer Financial Protection Bureau (“CFPB”) in United States District Court for the District of Columbia seeking to enjoin the CFPB from continuing to prosecute an administrative enforcement action under the Consumer Financial Protection Act (“CFPA”) in which the CFPB alleged unfair, deceptive or abusive lending practices.

Court Grants Student Loan Debt Relief to a Graduate of a Non-Accredited Medical School

On April 4, 2016, the U.S. Bankruptcy Court for the Eastern District of New York issued a decision that may significantly change the landscape of student debt relief. In re Decena, No. 15-72903, 2016 WL 1371031 (Bankr. E.D.N.Y. Apr. 4, 2016). Per Judge Robert Grossman, the court discharged the student loan of a hapless medical school graduate who studied at a non-accredited medical school in West Africa.

An ATDS is More Than a Beep and a Pause

A District Court in Arkansas just drew a line in the sand. An automatic telephone dialing system (“ATDS”), it held, is more than hearing “a beep and a pause.” And, yes, human intervention really does matter.