A New York federal judge on April 17 approved a group of former Gawker Media LLC interns’ proposed revised plan to notify potential class members of their rights to opt out of a proposed collective action alleging unpaid wages through social media. The same Court had previously rejected a social media campaign as being overbroad
TCPA Defendant Asks Supreme Court to Decide Whether Complete Individual Offer of Judgment Moots Putative Class Action Case
Advertising agency Campbell-Ewald Co. began sending text messages through its subcontractor, MindMatic LLC, in 2006 as part of a Navy-approved effort to tap new technologies in recruitment campaigns, the company says. Among the recipients of the message, which began with “Destined for something big? Do it in the Navy,” was the plaintiff who said he
New York City Passes Bill Generally Banning Use of Credit Checks in Employment Decisions
Passed by a vote of 47-3, the Stop Credit Discrimination in Employment Act bans employers in New York City from using potential employees’ credit histories in making employment decisions. The bill amends the city’s Human Rights Law to make it an unlawful discriminatory practice to request or use an applicant’s consumer credit history in making
Court Holds LinkedIn Reference Searches are Not “Consumer Reports” Under the Fair Credit Reporting Act
In Sweet v. LinkedIn Corporation, a number of job applicants sued the social networking service for alleged violations of the Fair Credit Reporting Act based on LinkedIn’s “Reference Search” function. The Court dismissed the complaint at the pleadings stage, holding that the reports were not “consumer reports” and that LinkedIn was not a “consumer
Class Action Lawsuits Challenging FCRA Disclosure Forms Get Multi-District Treatment
On April 9, the U.S. Judicial Panel on Multidistrict Litigation ordered that three putative nationwide class actions against Michaels Stores Inc. be centralized in New Jersey. The actions accuse Michaels Stores of violating the Fair Credit Reporting Act (“FCRA”) by failing to properly notify job applicants that the company would access their credit reports.
Federal
CFPB Managing Regulatory Counsel Provides Update on Debt Collection Rulemaking
On April 17, Tom Pahl, managing regulatory counsel for the Consumer Financial Protection Bureau Office of Regulations, spoke at ACA International’s Washington Insights Conference about the CFPB’s debt collection rulemaking. According to Pahl, the CFPB currently is focusing on four debt collection related topics for its proposed rulemaking:
- Communication issues;
- Data integrity and information issues;
Missouri Judge Grants Summary Judgment in Favor of Debt Collector
On April 13, Judge Beth Phillips, a federal judge in the Western District of Missouri, granted summary judgment in favor of Credit World Services, Inc. (“CWS”) in a case filed by a consumer that owed a debt to CWS (full opinion found here). In the lawsuit, Plaintiff alleges that CWS violated the Fair
WVCCPA Amendments Signed into Law by Governor Tomblin
On Tuesday, March 31, 2015, Governor Tomblin signed into law Senate Bill No. 542 amending several sections of the West Virginia Consumer Credit Protection Act (WVCCPA). The bill will be effective on June 12, 2015, however, certain provisions of the bill become applicable only to actions filed after September 1, 2015. The amendments will have
FTC Settles With Two Debt Sellers Requiring Them to Strengthen Security Protocols
After alleging in two separate cases that two debt portfolio brokers – Cornerstone and Co. LLC and Bayview Solutions LLC – were exposing too much personal information about consumer-debtors, the Federal Trade Commission announced that the parties have reached final settlements.
Specifically, in the cases of Federal Trade Commission v. Cornerstone and Company, LLC, et
Yonkers Enacts New Debt Collection Requirements
The city of Yonkers, New York, enacted General Ordinance No. 16-2014 to amend its Consumer Protection Code (“Code”) by adding new requirements for debt buyers and collection agencies. The revised Code includes the following sections: definitions, license requirements, required collection practices, prohibited collection practices, and penalties for non-compliance. The new Code requirements became effective on