Consumer Financial Services Law Monitor

Consumer Financial Services Law Monitor

monitoring the financial services industry to help companies navigate through regulatory compliance, enforcement, and litigation issues

FTC and NJ AG Announce Settlement with Vizio over Collecting Consumer Viewing Habits

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Join Us on February 22 for a Complimentary Webinar on Bankruptcy and Debt Collection – Latest Trends and Developments

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2016 Consumer Financial Services Year in Review and a Look Ahead

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Join Us on February 9 for a Complimentary Webinar on Redlining and Fair Lending

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NY AG Settles with Acer for $115,000 over Data Breach

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DOJ Issues New Guidance on Corporate Compliance Programs

By David Chaiken on February 22, 2017

On February 8, 2017, the Criminal Division of the U.S. Department of Justice quietly issued new guidance on corporate compliance programs for companies implicated in misconduct. Specifically, the Criminal Division posted a set of “important topics and sample questions that the Fraud Section has frequently found relevant in evaluating a corporate compliance program” to the...
Join Us on February 9 for a Complimentary Webinar on Redlining and Fair Lending
Attorney and Mortgage Relief Scam Operator Banned from Debt Relief Business
California Supreme Court Finds Two Payday Lenders Not Immune From State Lending Laws
Join Us for the ACI Consumer Finance Class Actions & Litigation Conference in Miami

CFPB Orders MasterCard and UniRush to Pay $13 Million

By Brooke Conkle on February 13, 2017

On February 1, the Consumer Financial Protection Bureau ordered payment card companies MasterCard and UniRush to pay $10 million in restitution and a $3 million fine related to service breakdowns that left customers unable to access their funds.  “MasterCard and UniRush’s failures cut off tens of thousands of vulnerable consumers from their own money, and...
OCC Releases Semiannual Risk Perspective – January 2017
Join Us on February 22-24 for the NACHA Payments Innovation Alliance Meeting in Los Angeles
Join Us on February 9 for the ETA & BAFT for International Payments Policy Day in Washington, DC
Ninth Circuit Agrees to Remand Action to State Court Based on Spokeo

DOJ Issues New Guidance on Corporate Compliance Programs

By David Chaiken on February 22, 2017

On February 8, 2017, the Criminal Division of the U.S. Department of Justice quietly issued new guidance on corporate compliance programs for companies implicated in misconduct. Specifically, the Criminal Division posted a set of “important topics and sample questions that the Fraud Section has frequently found relevant in evaluating a corporate compliance program” to the...
Debt Collector Granted Summary Judgment in FDCPA Case
FTC Issues Letter to CFPB on 2016 Debt Collection Efforts
Validation Notice Including Request for Payment and Identifying Creditor by Acronym Does Not Violate FDCPA
CFPB Takes Action Against Law Firm Debt Collectors for Lack of Meaningful Involvement

Third Circuit Finds Consumer Standing in FCRA Data Breach Litigation

By Tim J. St. George on January 25, 2017

On January 20, the Third Circuit in In re Horizon Healthcare Services Data Breach Litigation reversed a district court’s dismissal of a lawsuit under the Fair Credit Reporting Act involving a data breach at Horizon Healthcare.  The Third Circuit held that the plaintiffs had standing to pursue their claims under the FCRA without any accompanying...
Ninth Circuit Agrees to Remand Action to State Court Based on Spokeo
Plaintiff Has Standing in FCRA Class Action Suit, Says Pennsylvania Magistrate Judge
District Court Finds That “Complete and Up to Date” Requirement of FCRA § 1681K Does Not Include an Accuracy Component
Arkansas AG Files Suit Against Credit Repair Organization

DOJ Issues New Guidance on Corporate Compliance Programs

By David Chaiken on February 22, 2017

On February 8, 2017, the Criminal Division of the U.S. Department of Justice quietly issued new guidance on corporate compliance programs for companies implicated in misconduct. Specifically, the Criminal Division posted a set of “important topics and sample questions that the Fraud Section has frequently found relevant in evaluating a corporate compliance program” to the...
Join Us on February 9 for a Complimentary Webinar on Redlining and Fair Lending
Supreme Court To Decide Whether Financing Company Collecting Debts Is A “Debt Collector” Under The FDCPA
Join Us for the ACI Consumer Finance Class Actions & Litigation Conference in Miami
Blue Shield and SQM Defeat TCPA Putative Class Action Following Spokeo

Defendant Requests Rehearing En Banc of Ninth Circuit’s Finding of Willful FCRA Violation

By Tim J. St. George on February 21, 2017

As we previously reported, on January 20, the Ninth Circuit Court of Appeals issued a decision of first impression in Syed v. M-I, LLC, a putative class action, when it held that a prospective employer willfully violated the Fair Credit Reporting Act by including a liability waiver in its background check disclosure form.  The Ninth...
Court Denies Background Screener’s Spokeo Motion Related to Address History Reporting
Blue Shield Avoids Potential TCPA Class Action Liability in Prerecorded Phone Call Case
Ninth Circuit Reverses Dismissal of Plaintiffs’ FCRA Complaint against Fannie Mae
Ban the Box Bill Passes Virginia State Senate, Awaits Review by House

Bebe’s Motion to Decertify TCPA Classes Denied by California Federal Court

By Julie Hoffmeister on February 21, 2017

On February 10, the United States District Court for the Northern District of California denied defendant Bebe Stores, Inc.’s motion to decertify the plaintiffs’ proposed classes in a Telephone Consumer Protection Act class action.  In Meyer v. Bebe Stores, Inc., the named plaintiffs alleged that they provided their cell phone numbers to Bebe in connection...
Ninth Circuit Affirms Summary Judgment in Favor of Defendants in TCPA Text Messaging Case
FTC and NJ AG Announce Settlement with Vizio over Collecting Consumer Viewing Habits
FTC’s Latest Message to IoT Industry Comes as Complaint Against D-Link Alleging UDAP Violation Related to Security Vulnerabilities
FDA’s Postmarket Management of Cybersecurity in Medical Devices

Washington Court Orders 5-Hour Energy To Pay $4.3M For Deceptive Ads in AG Suit

By Reade Jacob on February 10, 2017

On February 7, Living Essentials LLC and Innovative Ventures LLC, the makers of 5-Hour Energy were ordered to pay nearly $4.3 million in penalties and attorneys’ fees and costs after a Washington State court found the makers deceived consumers with misleading claims regarding things like the effectiveness of the flavored energy shots.  Living Essentials and...
FTC and NJ AG Announce Settlement with Vizio over Collecting Consumer Viewing Habits
First Defendant Prosecuted Under New Arizona Telemarketing Law Pleads Guilty
CFPB Takes Action Against Law Firm Debt Collectors for Lack of Meaningful Involvement
FTC’s Latest Message to IoT Industry Comes as Complaint Against D-Link Alleging UDAP Violation Related to Security Vulnerabilities