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.
Consumer Financial Services Legal Update Blog
What You Need to Know about CFPB’s Proposal to Ban Mandatory Arbitration Clauses in Financial Contracts
On May 5, 2016, the Consumer Financial Protection Bureau (the “CFPB”) published in the Federal Register its 376-page proposed rule to limit the use of mandatory arbitration clauses in certain financial contracts.
Dorsey’s TCPA Team Earns First-of-Its-Kind Order Staying Individual TCPA Case Pending D.C. Circuit’s Ruling on Consolidated Appeal of the FCC’s 2015 Omnibus Order
On June 14, 2016, Dorsey’s Telephone Consumer Protection Act (“TCPA”) litigation team secured a stay in an individual TCPA case in the Northern District of Georgia pending the D.C. Circuit’s decision in ACA Int’l, et al. v. Fed. Commc’n Comm’n, No. 15-1211 (D.C. Cir. July 13, 2015).
Tax Lien on Me: Fifth Circuit Holds the Transfer of a Tax Lien is not Subject to the Truth in Lending Act
On April 29, 2016, the United States Court of Appeals for the Fifth Circuit held that the transfer of a tax lien does not constitute an extension of “credit” subject to the protections of the Truth in Lending Act (“TILA”).
Third Circuit: The Repossession of Your Car as Collateral on a Usurious Loan is Not an FDCPA Violation
The U.S. Court of Appeals for the Third Circuit recently held that a repossession company did not violate the Fair Debt Collection Practices Act (“FDCPA”) when it repossessed the defaulting debtor’s car, even though the loan may have been usurious.
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.
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.
TCPA Team Scores Win For Dorsey Client: Court Prohibits Plaintiff From Seeking Deposition Testimony on Unrelated Prior Complaints
On May 18, 2016, Dorsey’s Telephone Consumer Protection Act (“TCPA”) team scored a major victory on behalf of one of its financial services clients when the District Court for the Middle District of Florida granted its protective order motion on the eve of the scheduled deposition.
The Supreme Court Hates Your No-Damage Class Action: Spokeo Decision Likely to End Big-Dollar TCPA Class Actions
In its latest landmark decision, Spokeo, Inc. v. Robins, the United States Supreme Court ruled definitively today—and in “once and for all” fashion—that Congress cannot create an “injury in fact” out of thin air by enacting a statute.
Eleventh Circuit Holds that Borrower’s TILA Claims Are Subject to Agreement’s Forum Selection Clause
The Eleventh Circuit Court of Appeals recently held that a borrower’s Truth-in-Lending-Act (“TILA”) claim fell within the scope of a loan agreement’s forum selection clause.
Commentary on the Notice of Proposed Rule Making, Rules and Regulations Implementing the Telephone Consumer Protection Act of 1991, CG Docket No. 02-278, issued May 6, 2016.
Can Credit Card Debt Collectors Continue to Charge Interest and Late Charges After Charging-Off the Debt?
A federal district court in Oklahoma recently dismissed a putative class action asserting that defendants’ credit card debt collection activities violated the Fair Debt Collection Practices Act (“FDCPA”).
Problems With the CFPB’s Argument: An Analysis of the D.C. Circuit Oral Arguments on Statute of Limitations
What began as a challenge to the Consumer Financial Protection Bureau’s (“CFPB”) $109 million enforcement ruling against the mortgage company PHH Corp. (“PHH”) for alleged violations of the Real Estate Settlement Procedures Act (“RESPA”), has evolved into a broader discussion about the constitutionality of the agency itself. As demonstrated in the closely watched federal appeal brought by PHH, critical developments occurred earlier this month that have implications for the agency’s future enforcement approach.