On January 9, 2017, the Consumer Financial Protection Bureau (CFPB) entered a Consent Order against Works & Lentz, Inc., Works & Lentz of Tulsa, Inc., two medical debt collection law firms, and their president, Harry A. Lentz, Jr., for the defendants’ violations of the Fair Debt Collection Practices Act (FDCPA) and the Furnisher Rule (Regulation
TransUnion Agrees to Settlement with CFPB
Late last year, TransUnion agreed to pay approximately $17 million as part of a settlement with the Consumer Financial Protection Bureau in connection with TransUnion’s advertising and marketing practices. The settlement stems from a civil investigative demand that addressed TransUnion’s common industry practices relating to the advertising, marketing, and sale of consumer reports, credit scores,
Join Us on February 22 for a Complimentary Webinar on Bankruptcy and Debt Collection – Latest Trends and Developments
Debt collection is becoming an increasingly regulated industry and the CFPB has signaled its intention to further regulate the industry by extending regulations to first party creditors. Please join Troutman Sanders Partner David N. Anthony and Of Counsel Andrew B. Buxbaum for a complimentary webinar for a discussion of debt collection issues including how debt
Virginia AG Reaches Settlement Agreement with CashCall
On January 31, Virginia Attorney General Mark Herring announced a settlement with CashCall, Inc. over allegations that the company illegally deceived borrowers and collected interest in excess of legal rates.
According to the press release, the A.G.’s Office alleged that CashCall violated Virginia’s usury, lending, and licensure laws by entering into an arrangement in
Blue Shield Avoids Potential TCPA Class Action Liability in Prerecorded Phone Call Case
A judge in California recently dismissed a putative Telephone Consumer Protection Act class action against Blue Shield of California, an insurance provider. In Smith v. Blue Shield of California Life & Health Insurance Co. (C.D. Cal.), the judge found that the telephone call at issue was, as a matter of law, not the type of
West Virginia Federal Court First Reconsiders, Then Restricts, Vicarious Liability for TCPA Claims in MDL
The United States District Court for the Northern District of West Virginia recently reversed its position on vicarious liability under the Telephone Consumer Protection Act, granting summary judgment for defendants UTC Fire and Security Americas Corporation, Inc. and Honeywell International, Inc. in multi-district litigation. In doing so, the court joined the growing list of federal
Ninth Circuit Reverses Dismissal of Plaintiffs’ FCRA Complaint against Fannie Mae
In an unpublished decision, the Ninth Circuit Court of Appeals ruled that a complaint sufficiently alleged that Federal National Mortgage Association (“Fannie Mae”) may act as a consumer reporting agency (“CRA”) under the Fair Credit Reporting Act, which could potentially subject Fannie Mae to the accuracy requirements imposed by section 1681e(b) of the FCRA.
In
Ban the Box Bill Passes Virginia State Senate, Awaits Review by House
On January 27, Sen. Rosalyn Dance’s “ban the box” bill, SB 1171, passed the Virginia Senate by a 22-17 vote. The bill proposes to “ban the box” by preventing prospective employers from asking about a job applicant’s criminal history at the initial employment application stage. The bill was introduced as follows:
“Public employment; inquiries by
New Jersey District Court Grants Michaels Stores’ Spokeo Motion on Consolidated FCRA Action
Last week, a district court in New Jersey dismissed a consolidated action against Michaels Stores, Inc., finding that the plaintiffs lacked Article III standing to bring their FCRA claims.
In the consolidated action, plaintiffs Christina Graham, Gary Anderson, Michele Castro, Janice Bercut, and Michelle Bercut applied for and were hired by Michaels. Despite obtaining employment,
Employers Beware: Ninth Circuit Finds Inclusion of Liability Waiver in FCRA Background Check Disclosure Form is a Willful Violation
On January 20, 2017, the Ninth Circuit Court of Appeals issued a decision of first impression in Syed v. M-I, LLC, a putative class action, when it held that a prospective employer willfully violated the Fair Credit Reporting Act (FCRA) by including a liability waiver in its FCRA background check disclosure form.
Any employer who