BrandRep, the defendant in a Telephone Consumer Protection Act putative class action lawsuit pending in the United States District Court for the Central District of California, recently settled putative nationwide class claims on an individual basis, resulting in dismissal of the case. The settlement came on the heels of BrandRep’s assertion of counterclaims that put
FTC Releases Annual Summary of Consumer Complaints
The Federal Trade Commission has released its annual summary of consumer complaints for 2016, contained in the FTC’s latest Consumer Sentinel Network Data Book. The FTC compiles the report annually based on complaints received by the Consumer Sentinel Network. Complaints include those made directly by consumers to the FTC, as well as complaints received
Offshore Call Center Bill Reintroduced in Congress
Congress recently reintroduced a bill titled United States Call Center Worker and Consumer Protection Act of 2016, which attempts to deter companies from employing offshore call collection centers.
The bill would require a business that employs 50 or more call center employees to notify the Department of Labor at least 120 days before relocating
Courts Approve $950,000 FCRA Class Action Settlement Against McDonald’s
On March 15, the United States District Court for the Central District of California granted final approval of a Fair Credit Reporting Act class action against fast food restaurant McDonald’s.
The named plaintiff, James Wesley Carter, originally brought the action against McDonald’s in July 2015 alleging that McDonald’s violates the rights of consumers by failing
Virginia AG Reaches Settlement with Two Pawnbrokers Over Illegal Interest
On March 10, Virginia Attorney General Mark Herring announced settlements with two Fredericksburg, Virginia pawnbrokers – Pawnking, LLC and All Star Pawn & Gold, LLC – over allegations the companies charged consumers illegal interest and fees in violation of Virginia’s pawnbroker statutes and the Virginia Consumer Protection Act. As part of the settlement, Pawnking and
Improper Form of Background Check Disclosure Not Sufficient Injury for Standing
Ever since the Supreme Court decided Spokeo, Inc. v. Robins last year, courts have been struggling to define the contours of standing in “no injury” class actions. In Fields v. Beverly Health and Rehabilitation Services, Inc. et al., the District of Minnesota recently granted a motion to dismiss a Fair Credit Reporting Act c
CFPB Sues Law Firms for Debt Relief Fees Disguised as Bankruptcy Fees
The Consumer Financial Protection Bureau recently sued three law firms in the United States District Court for the Central District of California for collecting advance fees from consumers seeking debt relief. CFPB Director Richard Cordray stated that “[t]he defendants exploited consumers who were already suffering financial difficulties by tricking them into paying steep, illegal fees.”
Kansas Federal Court Grants Partial Approval to Background Check Disclosure Class Action Settlement
On January 25, the United States District Court for the District of Kansas granted partial preliminary approval to the class settlement in Lengel v. HomeAdvisor, Inc., No. 15-2198-KHV. The plaintiff, Emerald Lengel, brought a class action lawsuit in January 2015, alleging that HomeAdvisor, her then-potential employer, violated the Fair Credit Reporting Act. Lengel
CFPB Indicates Online Complaint Portal Upgrades are Coming
The Consumer Financial Protection Bureau maintains an online portal for consumers to submit complaints across a wide variety of regulated industries, including credit reporting, background screening, and debt collection. The CFPB has announced that it will upgrade its online portal system in early 2017. The CFPB has released a preview document, which states that the
FTC Settles with Nationwide Debt Relief Provider
On February 27, the Federal Trade Commission filed a stipulated order, which includes a $9 million judgment, against another debt relief provider, United Debt Counselors, LLC, its owners, and officers (collectively “United”) for violating the FTC Act and the Telemarketing Sales Rule. This serves as another warning from the FTC that debt relief companies need