On March 2, Rep. Madeleine Dean (D-PA) introduced a bill, the Fair Debt Collection Practices for Servicemembers Act (H.R. 1491), proposing to amend two sections of the Fair Debt Collection Practices Act (FDCPA or the Act) — namely Section 805 of the FDCPA (15 U.S.C. § 1692c) and Section 808 of the FDCPA (15 U.S.C.
Elizabeth Andrews
A litigator with twenty years of experience, Elizabeth serves as lead appellate counsel for high stakes and complex matters across many of the firm’s practice groups, including financial services, insurance, managed health care, environmental/land use, and general business litigation.
U.S. District Court Invalidates Two Provisions of the CFPB’s Prepaid Rule: The Disclosure Clauses and the Thirty-Day Credit Linking Restriction
On December 30, 2020, Judge Richard J. Leon on the United States District Court for the District of Columbia entered an Order in PayPal, Inc. v. Consumer Financial Protection Bureau, et al., No. 19-3700-RJL, 2020 WL 7773392 (D.D.C. Dec. 30, 2020) invalidating two provisions of the Consumer Financial Protection Bureau (“the CFPB” or “Bureau”)’s “Prepaid…
UPDATE: California Assembly Adjourns Without Reconsidering Sweeping Mortgage Relief Bill
Yesterday, Troutman Sanders LLP’s Consumer Financial Services Law Monitor reported that AB-2501, a proposed bill allowing for homeowners to defer their mortgage payments for up to a year, failed to pass by a narrow margin. The bill’s author, Assembly Member Monique Limón (D-Santa Barbara), quickly moved for reconsideration. However, as the Assembly has now entered…
Sweeping Coronavirus Relief Bill Shot Down in the California Assembly – Unknown Chance of Revival
After numerous amendments, readings, and committee hearings, California Assembly Bill 2501 narrowly failed to pass in Sacramento on June 15, with a vote total of 28 Ayes, 25 Noes, and 26 abstentions. The bill would have offered major payment relief to homeowners and certain renters, as well as owners of mobile homes. It might see…
Fifth Circuit Affirms Summary Judgment for Plaintiff in Time-Barred Debt Case
The United States Court of Appeals for the Fifth Circuit recently held that certain letters seeking collection of time-barred debt by using “ambiguous offers and threats with no indication that the debt is old, much less that the limitations period has run, misrepresent the legal enforceability of the underlying debt in violation of” the Fair…
The Feds and the FCRA: SCOTUS Declines To Resolve Circuit Split Over Whether Sovereign Immunity Bars Suits Against the Federal Government for FCRA Violations
Can consumers sue the federal government and its agencies for violating the Fair Credit Reporting Act? As we previously have observed, the answer varies by circuit and even by district, but the Supreme Court of the United States has just officially declined to wade into the debate—at least for now.
In …
Ninth Circuit Sides with Third Circuit in Adopting Broad Interpretation of “Debt Collector” Under the FDCPA, Holding That Debt Purchasing Company Cannot Evade Liability by Hiring Third-Party Collector
In a split decision published on March 9, the United States Court of Appeals for the Ninth Circuit held in McAdory v M.N.S. & Associates, LLC and DNF Associates LLC that “an entity that otherwise meets the ‘principal purpose’ definition of debt collector under [under the Fair Debt Collection Practices Act] cannot avoid liability merely…
Oakland’s Ban on Criminal Background Checks for Renters Threatens Screening Agencies
On February 4, the Oakland City Council in California forbade the use of criminal background checks in most housing applications. The stated purpose of the law, the Fair Chance Housing Ordinance, is to allow formerly incarcerated individuals an increased opportunity to compete for rental housing, reintegrate into their communities, and avoid homelessness.
The property…
Court Orders Mortgage Relief Scammers to Fork Over Millions of Dollars, Porsche, and Winter Bungalow
The United States District Court for the District of Nevada has sided with the Federal Trade Commission in a case against a set of “mortgage relief assistance” companies. The Court issued a sweeping permanent injunction that prohibits the scammers from marketing or providing any debt relief services whatsoever.
The suit stemmed from the actions of…
Nice Try, But No: CFPB Rejects a Student Loan Relief Company’s Petition During the Pendency of Seila Law LLC v. CFPB
Is the Consumer Financial Protection Bureau constitutional? Soon we will know. But what happens to the CFPB’s day-to-day work in the meantime? A student loan relief company decided to find out, and learned that the issue of the CFPB’s constitutionality will have no effect on the company’s obligation to respond to a civil investigative demand.…