On March 5, a judge in the United States District Court for the Southern District of New York rejected a plaintiff’s proposal to notify proposed class members of a Fair Labor Standards Act lawsuit filed by a group of former interns against Gawker via various social media platforms, including Reddit and Tumblr pages, LinkedIn, and
Georgia Governor’s Office of Consumer Protection Enters into $13 Million Settlement with Debt Collector
The Georgia Governor’s Office of Consumer Protection (“GOCP”) issued a statement on March 5, announcing a $13 million settlement with RSB Equity Group, LLC (“RSB”) and its principal, Roy Mullman. The settlement resolved charges that the company committed multiple violations of the Fair Debt Collection Practices Act and the Georgia Fair Business Practices Act. More
Third Circuit Finds That If the Settlement Does Not Fit, You Must … Revisit
On February 24, the United States Court of Appeals for the Third Circuit addressed, for the second time, an appeal arising out of the Delaware Chapter 11 bankruptcy of SCH Corp., American Corrective Counseling Services, Inc., and ACCS Corp (collectively referred to here as “the Debtors”). (The U.S. Bankruptcy Court for the District of Delaware
NY Department of Financial Services Answers FAQs Regarding New Debt Collection Regulations
On February 19, 2015, the New York Department of Financial Services (DFS) issued guidance in the form of FAQs on its recently-enacted debt collection regulation (23 NYCRR 1). The guidance came in response to calls from many significant players in the debt collection industry – including ACA International – to explain certain groundbreaking aspects of
FTC Lawsuit Against Debt Relief Servicers Carries Lessons for Structuring Fees Under Telemarketing Sales Rule
On February 18, the Federal Trade Commission filed a complaint against PSC Administrative, LLC and Coastal Acquisitions, LLC seeking injunctive and equitable relief stemming from the defendants’ acts or practices in violation of, among other things, the FTC’s Telemarketing Sales Rule (TSR).
The defendants primarily market debt relief services via radio and Internet advertisements to
Class Action FCRA Lawsuit Challenging Defendant’s Employment Background Screening Disclosure Form Settles for $6.8 Million
In a class action settlement that was recently granted final approval, Publix Super Markets Inc. agreed to pay nearly $6.8 million in a class action lawsuit settlement over background checks under the Fair Credit Reporting Act.
Plaintiff, Erin Knights, applied for a job with Publix in early 2013 through an electronic kiosk. The lawsuit alleges
FTC’s Annual Summary Highlights Focus on Data Security
In order to assist the Consumer Financial Protection Bureau with its statutory obligation to report annually to Congress concerning the federal government’s efforts to implement the Fair Debt Collection Practices Act, the Federal Trade Commission submitted a summary of its own enforcement activities during 2014.
The FTC’s summary highlights not only the “aggressive law enforcement
Health Care Services Provider Obtains Dismissal of FCRA Lawsuit Over Potential Consequences of Data Breach Due to Plaintiff’s Lack of Standing
On February 11, a federal court in Texas dismissed a putative Fair Credit Reporting Act class action filed by a former patient of health services provider St. Joseph Services Corp. who alleged that the defendant’s failure to guard against a personal data breach violated the FCRA. After reviewing the state of the law regarding standing
CFPB Orders Credit Card Lender to Refund Millions to Consumers and Pay Civil Penalty
Last week, the Consumer Financial Protection Bureau ordered Continental Finance Company LLC, a credit card lender, to refund an estimated $2.7 million to approximately 98,000 consumers. The CFPB found that the company’s subprime credit cards misrepresented certain fees and hit consumers with illegal charges. The order also requires the company to pay a civil penalty
Paris Baguette and DKNY Avoid FACTA Class Actions over Credit Card Receipts
On January 16, 2014, Troutman Sanders secured a victory for client Paris Baguette America, Inc. when District Judge Jed S. Rakoff of the U.S. District Court for the Southern District of New York dismissed with prejudice a putative class action alleging that Paris Baguette willfully violated the Fair and Accurate Credit Transaction Act by printing