Consistent with its expansive view of constitutional standing, the Ninth Circuit recently held that a plaintiff has constitutional standing under the Fair Debt Collection Practices Act to sue for a misrepresentation that was never actually communicated to him.
In Tourgeman v. Collins Financial Services, Inc., the plaintiff brought a class action lawsuit against multiple
In Badeen v. PAR, Inc., et al., the Michigan Supreme Court expanded the definition of “collection agency” under Michigan’s Occupation Code to include forwarders and forwarding companies.
The plaintiff collection agency brought an action against a number of automobile lenders and forwarding companies alleging that the forwarders were operating as “collection agencies” under
On July 16, the New York State Department of Financial Services (DFS) proposed revised debt collection regulations for third-party debt collectors and debt buyers. The rules seek to clarify the required initial disclosures by debt collectors, disclosures for debts in which the statute of limitations may be expired, substantiation of consumer debts, debt payment procedures,
In a novel ruling, the Ninth Circuit expressly adopted an opinion from the Federal Communications Commission, finding the potential for vicarious liability under the Telephone Consumer Protection Act. In Thomas v. Taco Bell Corp., No. 12-56458 (unpublished), the Ninth Circuit affirmed a lower court’s holding that Taco Bell was not vicariously liable under the
On June 27, 2014, Magistrate Judge Orlando L. Garcia of the United States District Court for the Western District of Texas recommended denial of a plaintiff’s motion for summary judgment in an FDCPA action implicating settlement letter language for time-barred debt. The case, Schreve v. First National Collection Bureau, Inc., involved time-barred debt that
The CFPB is seeking approval from the Office of Management and Budget to conduct a national telephone survey of 1,000 credit card holders as part of its study on which the CFPB may base its decision to limit or prohibit the use of arbitration clauses in credit card agreements.
The CFPB’s “study” of the use
A Texas-based credit repair organization has agreed to settle Federal Trade Commission allegations that it violated federal law by making misrepresentations to consumer reporting agencies and charging consumers up-front fees before providing its services.
In its complaint filed in October 2011, the FTC charged that RMCN Credit Services, Inc. and its individual owners, Doug and
On June 9, 2014, the House of Representatives unanimously passed H.R. 3211, the Mortgage Choice Act, which amends the Truth in Lending Act and the definition of “qualified mortgage” under the Dodd-Frank Act. The legislation was introduced by Representatives Bill Huizenga (R-MI) and Gregory Meeks (D-NY), and is intended to afford low and moderate income
On June 10, 2014, CFPB Director Richard Cordray appeared before the Senate Committee on Banking, Housing and Urban Affairs in conjunction with the May 2014 release of the Bureau’s fifth Semi-Annual Report. Cordray highlighted a variety of topics, including mortgages, student loans, complaint numbers, and proposed data collection efforts.
Senator Mike Crapo (R-Idaho) questioned
The Consumer Financial Protection Bureau issued a Request for Information (“RFI”) this week regarding “the opportunities and challenges associated with the use of mobile financial services,” focusing particularly on unbanked and underserved consumers. The RFI comes amid growing concerns that the proliferation of mobile financial services poses an increased privacy risk to consumers.
The Bureau