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

President Likely Has Authority To Appoint Acting Director To Replace Cordray At CFPB

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CFPB Director Richard Cordray to Step Down

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Another Big-Dollar TCPA Settlement as Payment Processor Agrees to $9M Deal

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BIPA: Not Just for Cyber Companies

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Join Us on November 14 for a Complimentary Webinar: Autonomous Vehicles – An Overview of the Regulatory Pileup

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Another Big-Dollar TCPA Settlement as Payment Processor Agrees to $9M Deal

By Justin M. Brandt on November 07, 2017

A Texas-based payment processor agreed on November 1 to pay $9 million to settle a putative class action brought under the Telephone Consumer Protection Act in the United States District Court for the Northern District of California.  According to the plaintiffs, Pivotal Payments, Inc. failed to ensure that a third party it hired to make...
Federal Court Rejects Dish Network’s Motions to Set Aside or Reduce $61M Damages Award in TCPA Class Action
11th Circuit Applies Totality-of-the-Circumstance Analysis to Judicial Estoppel
CFPB Proposes Modifications to Home Mortgage Law to Protect Borrowers’ Privacy
FTC Says Its Focus Must Be on Instances of Real Harm to Consumers

District Court Relies on Spokeo to Dismiss FACTA Suit

By Brooke Conkle on November 09, 2017

On November 6, a judge in the Southern District of New York dismissed a proposed class action alleging that Wolfgang’s Steakhouse impermissibly printed payment card expiration dates on customers’ receipts, relying on the U.S. Supreme Court’s decision in Spokeo to find that customers were not actually harmed by any information revealed. Relying on the Second...
Another Big-Dollar TCPA Settlement as Payment Processor Agrees to $9M Deal
Join Us November 8-9 for the Third Party Payment Processors Association Executive Summit
U.S. Treasury Criticizes Arbitration Rule
Judge Preliminarily Authorizes Settlement in Heartland Payment Systems Case

Federal Court Finds 29 Calls in 24 Days Sufficient to State FDCPA Claim

By Tim J. St. George on November 15, 2017

A federal district court in Connecticut recently ruled that a debt collector’s 29 telephone calls to a debtor’s home telephone over a period of 24 days was sufficient to establish a claim under the Fair Debt Collection Practices Act. In denying in part the defendant debt collector’s motion for judgment on the pleadings, Judge Jeffrey...
Another Big-Dollar TCPA Settlement as Payment Processor Agrees to $9M Deal
Current Balance Decision Creates Uncertainty in Eastern District of New York
CFPB Issues Interim Final Rule Amending Time Requirement for Servicers to Send Subsequent Early Intervention Notices
Federal Court Rejects Dish Network’s Motions to Set Aside or Reduce $61M Damages Award in TCPA Class Action

CFPB Solicits Comments on Access to Free Credit Scores

By Julie Hoffmeister on November 14, 2017

In recent years, many financial institutions and credit card companies have begun offering consumers free access to their credit score. On November 13, the Consumer Financial Protection Bureau published a request for information in the Federal Register regarding consumers’ experiences “with access to free credit scores and the experience of companies, and nonprofits, offering their...
CA Federal Court Denies TransUnion’s Post-Trial Motions in $60M Ramirez Case
Another Big-Dollar TCPA Settlement as Payment Processor Agrees to $9M Deal
Alabama AG Shuts Down Credit Repair Services Company
District Court Skeptical of Consent to Obtain Consumer Report

Auto Finance Company Unable to Shake TCPA Class Action

By Brooke Conkle on November 20, 2017

The Third Circuit recently clarified in important ways its ascertainability standard for class actions under Rule 23 in a case that arose from the efforts of an auto finance company to generate business by marketing efforts directed at automobile dealers.  The decision reflects two key findings:  (1) that defendants who argue a class is not...
New York AG Announces Settlements with Two Motor Vehicle Dealer Groups
Massachusetts AG Accuses Used Car Dealer of Deceptive Practices
FTC Issues Guidance on the Revised Used Car Rule
CFPB’s Latest Supervisory Highlights Provides Valuable Statistics and Insight on Enforcement Efforts

Avis Settles FCRA Background Check Lawsuit for $2.7 Million

By Scott Kelly on November 22, 2017

On November 17, car rental company Avis filed its memorandum in support of final approval of a $2.7 million class action settlement to resolve Fair Credit Reporting Act claims related to its background screening practices. The case is Angela Fuller v. Avis Budget Car Rental LLC, et al., No. 2:15-cv-03856, pending in the U.S. District...
Supreme Court Declines to Hear Appeal of Ninth Circuit Decision on FCRA Willfulness in Disclosure Forms
Arizona Governor Signs Executive Order Banning the Box
Sodexo Escapes FCRA Putative Class Action
Court Grants Summary Judgment to Thomson Reuters; Company Does Not Qualify as Consumer Reporting Agency

FCC Adopts New Rules on Blocking Robocalls

By Julie Hoffmeister on November 17, 2017

On November 16, the Federal Communications Commission adopted new rules to allow telephone carriers to block robocalls as potentially fraudulent when they come from certain types of phone numbers. According to the FCC’s press release, robocalls are the top consumer complaint submitted to the FCC, with more than 200,000 annually.  The FCC’s report also highlights...
New York AG Proposes Changes to Data Breach Law
Tax Preparation Firm Settles FTC Claims Flowing from Data Breach
Illinois Federal Court Denies Certification of Junk Fax TCPA Class Action
BIPA: Not Just for Cyber Companies

President Likely Has Authority To Appoint Acting Director To Replace Cordray At CFPB

By David N. Anthony on November 17, 2017

Consumer Financial Protection Bureau (CFPB) Director Richard Cordray’s announced yesterday (as covered here) that he will be resigning from his position by the end of this month. The Administration appears poised to announce Office of Management and Budget Director Mick Mulvaney as an interim replacement until a permanent director can be selected by the President and...
CFPB Director’s Resignation Sparks Conjecture About Future Leadership
CFPB Director Richard Cordray to Step Down
Oklahoma AG Sides with Tribal Defendants, Assails CFPB’s Expansive Interpretation of Enforcement Powers
New York AG Proposes Changes to Data Breach Law