On October 23, the U.S. Department of the Treasury released a report objecting to the Consumer Financial Protection Bureau’s arbitration rule. As we previously reported, the rule prevents class action waivers in arbitration provisions for covered entities and also requires covered entities to provide information to the Bureau regarding any efforts to compel arbitration.
California’s Statewide “Ban-The-Box” Law To Go Into Effect January 2018
On October 14, 2017, California became the most recent state to adopt a “ban-the-box” law. The law, signed by Governor Jerry Brown, goes into effect on January 1, 2018, prohibiting pre-offer inquiries regarding applicants’ conviction histories, and regulating employers’ decisions to deny employment to an applicant based on his or her convictions. This law is
New York AG Announces Settlements with Two Motor Vehicle Dealer Groups
New York Attorney General Eric Schneiderman announced two settlements with motor vehicle dealer groups that provide for over $900,000 in restitution to approximately 6,400 New York State consumers. The settlements also require the dealers to pay $135,000 in penalties and costs to the state for the unlawful sale of credit repair and identity theft protection
Massachusetts AG Accuses Used Car Dealer of Deceptive Practices
On September 26, Massachusetts Attorney General Maura Healey’s office filed a complaint against used car dealer JD Byrider, accusing the dealership of using predatory practices in its sale of allegedly defective vehicles. The AG’s Office contends that JD Byrider sold allegedly defective vehicles with high cost loans to Massachusetts consumers in the “JD Byrider Program,”
U.S. Chamber of Commerce and Other Business Associations Sue to Overturn Ban on Class Action Waivers
The U.S. Chamber of Commerce and other business groups have filed a federal lawsuit seeking to invalidate the Consumer Financial Protection Bureau’s Rule banning class action waivers in arbitration provisions contained in financial institutions’ contracts with consumers. Compliance with the Rule would be required beginning March 19, 2018. The lawsuit was filed in the United
Cursory Investigations and Misleading Reporting Leads to Partial Summary Judgment Win for Consumer
A recent federal court decision granting summary judgment to a plaintiff on a claim that a lender violated the Fair Credit Reporting Act (the “FCRA”), 15 U.S.C. § 1681 et seq., by failing to conduct a “reasonable” investigation of a credit reporting dispute – an issue normally reserved for a jury – illustrates the difficulty
FTC Issues Guidance on the Revised Used Car Rule
In November 2016, the Federal Trade Commission announced its final changes to the Used Car Rule, formally referred to as the Used Motor Vehicle Trade Regulation Rule, which requires motor vehicle dealers to display a winder sticker, known as the “Buyers Guide,” on used vehicles offered for sale. Due to numerous questions raised by
West Virginia Federal Court Preliminarily Approves Nearly $30M TCPA Class Action Settlement
In re Monitronics International, Inc., pending in the Northern District of West Virginia, is a consolidated class action lawsuit brought under the Telephone Consumer Protection Act. After years of contentious litigation, this past week the Court preliminarily approved a class action settlement of $28 million. This significant settlement serves as another example of the high
New TCPA Class Action: Expansion into Service Calls
On August 29, yet another Telephone Consumer Protection Act class action was filed in the Middle District of Florida. This suit, however, is a bit different than others that we have seen.
In Gillmore v. Lokey Automotive Group, Inc., the complaint alleges that text messages sent to the plaintiff April Gillmore by an automobile dealership
Court Finds Congress Has Waived Governmental Sovereign Immunity for FCRA Violations
In Kent v. TransUnion, plaintiff Rowdy Kent sued multiple consumer reporting agencies and the United States Defense Finance and Accounting Services for alleged violations of the Fair Credit Reporting Act. DFAS moved to dismiss Kent’s claims, arguing that it possesses sovereign immunity from claims under the FCRA. On August 25, the District Court for