Consumer Financial Services Law Monitor

Consumer Financial Services Law Monitor

monitoring the financial services industry to help companies navigate through regulatory compliance, enforcement, and litigation issues

Justin M. Brandt

Justin M. Brandt

Blog Role:
Contributor – Auto Finance

CFS Value:
Justin Brandt is an associate in the firm’s Consumer Financial Services practice, with a primary focus in Financial Services Litigation. He represents clients in federal and state court in business disputes, financial services litigation and arbitration, and class action litigation.

Subscribe to all posts by Justin M. Brandt

Another Big-Dollar TCPA Settlement as Payment Processor Agrees to $9M Deal

Posted in ALL CFS Blog Entries, Credit Reporting & Data Brokers, Debt Buyers & Collectors, Featured Posts, Mortgage Lenders & Servicers, Payment Processing & Cards
A Texas-based payment processor agreed on November 1 to pay $9 million to settle a putative class action brought under the Telephone Consumer Protection Act in the United States District Court for the Northern District of California.  According to the plaintiffs, Pivotal Payments, Inc. failed to ensure that a third party it hired to make… Continue Reading

High Call Volume Not Necessarily a Violation of FDCPA or Rosenthal Act

Posted in ALL CFS Blog Entries, Auto Finance, Credit Reporting & Data Brokers, Debt Buyers & Collectors
In Hinderstein v. Advanced Call Ctr. Techs., No. 15-100017 (C.D. Cal. Feb. 27, 2017), a case alleging violation of the federal Fair Debt Collection Practices Act and California’s Rosenthal Fair Debt Collection Practices Act before the United States District Court for the Central District of California, the Court found that a relatively high call volume… Continue Reading

Blue Shield and SQM Defeat TCPA Putative Class Action Following Spokeo

Posted in ALL CFS Blog Entries, Auto Finance, Debt Buyers & Collectors, Featured Posts, Mortgage Lenders & Servicers
U.S. District Judge Cathy A. Bencivengo recently dismissed a plaintiff’s TCPA putative class claim due to lack of standing required under Article III.  In Anton Ewing v. SQM US, Inc. et al., No. 3:16-cv-1609-CAB-JLB (S.D. Cal., Sept. 29, 2016), the plaintiff alleged that he received a single survey call made by SQM on Blue Shield’s… Continue Reading

FCC Sets Tight Boundaries for TCPA Government-Backed Loan Exception

Posted in ALL CFS Blog Entries, Auto Finance, Debt Buyers & Collectors, Mortgage Lenders & Servicers
As we previously reported, section 301(b) of the Bipartisan Budget Act of 2015 permits an exception to the Telephone Consumer Protection Act of 1991 for calls and text messages “made solely to collect a debt owed to or guaranteed by the United States.”  Although the TCPA generally prohibits calls and text messages using automatic telephone dialing… Continue Reading

FTC Consent Order With Two Ohio Auto Dealers Resolves Misleading Advertising Claims

Posted in Auto Finance, State Attorneys General, CFPB, & FTC
On July 14, the Federal Trade Commission announced that it had entered into a final consent order with Ohio auto dealers Progressive Chevrolet Company and Progressive Motors Inc. (collectively, the “Progressive Dealers”), which the FTC had “charged with deceiving consumers by using advertising that touted low monthly car lease payments and down payments but failed… Continue Reading

CFPB Monthly Report Highlights Complaints About Various Consumer Loans

Posted in ALL CFS Blog Entries, Auto Finance, Debt Buyers & Collectors, State Attorneys General, CFPB, & FTC
On June 28, the Consumer Financial Protection Bureau released its Monthly Complaint Report, which aims to provide “a high-level snapshot of trends in consumer complaints” concerning products such as auto loans, installment loans, and title loans.  The CFPB claims that since it began collecting such complaints in July 2011, it has handled a total of… Continue Reading

Sirius XM Settles TCPA Class Action for $35 Million

Posted in ALL CFS Blog Entries, Auto Finance, Debt Buyers & Collectors, Mortgage Lenders & Servicers
In one of the largest settlements in history under the Telephone Consumer Protection Act (“TCPA”), Sirius XM Radio Inc. agreed to pay $35 million to resolve putative class actions filed throughout the country alleging that it had used an automatic telephone dialing system to engage in telemarketing to trial users of its satellite radio service… Continue Reading

A Serious Circuit Split On Class Ascertainability

Posted in ALL CFS Blog Entries, Auto Finance, Credit Reporting & Data Brokers, Debt Buyers & Collectors, Mortgage Lenders & Servicers
Law360, New York (June 30, 2016, 4:42 PM ET) — The Eighth Circuit’s recent ruling in Sandusky Wellness Center LLC v. Medtox Scientific Inc. on ascertainability deepened a circuit split on one of the most important and challenging class certification issues. Until theU.S. Supreme Court resolves the split, the legal standard for ascertainability will remain… Continue Reading

CFPB Releases “Know Before You Owe” Guide for Auto Purchases

Posted in ALL CFS Blog Entries, Auto Finance, State Attorneys General, CFPB, & FTC
The Consumer Financial Protection Bureau (“CFPB”) has released an “auto loan shopping sheet” and other online resources as part of its “Know Before You Owe” initiative, which aims to assist consumers with comparison shopping and financing auto purchases. The initiative “walks consumers through each step of the auto finance process to help them decide how… Continue Reading

CFPB Warns of Debt Risks for Car Title Loans, Foreshadows Upcoming Regulation

Posted in ALL CFS Blog Entries, Auto Finance, Debt Buyers & Collectors, State Attorneys General, CFPB, & FTC
On May 18, the Consumer Financial Protection Bureau issued a 24-page report regarding consumer usage and default patterns for vehicle title loans.  Such loans are made to borrowers who sign over their car titles as collateral, and are commonly made to individuals with poor credit histories in need of fast cash.  Although the borrower retains… Continue Reading

Eighth Circuit Joins Minority in Circuit Split as to Ascertainability Standard for Class Actions

Posted in ALL CFS Blog Entries, Auto Finance, Debt Buyers & Collectors, Featured Posts, Mortgage Lenders & Servicers, State Attorneys General, CFPB, & FTC
On May 3, the United States Court of Appeals for the Eighth Circuit reversed a lower court’s rejection of class certification in Sandusky Wellness Ctr., LLC v. Medtox Scientific, Inc., a case brought under the Telephone Consumer Protection Act (“TCPA”) relating to junk faxes sent by a lead testing company.  In its opinion, the Court… Continue Reading

Missouri’s Action Against Charter for Improper Telemarketing Largely Survives First Legal Test

Posted in ALL CFS Blog Entries, State Attorneys General, CFPB, & FTC
A government enforcement action against Charter Communications, Inc. for alleged violations of federal and state telecommunications laws has mostly withstood the first legal challenge.  As we previously reported, Missouri Attorney General Chris Koster filed a federal lawsuit in October 2015 against Charter alleging violations of federal and state telemarketing and “do-not-call” laws.  The lawsuit stems from… Continue Reading

Auto Lenders Settle Excessive Interest Claims With Massachusetts Attorney General for $7.4 Million

Posted in ALL CFS Blog Entries, Auto Finance
On March 16, Massachusetts Attorney General Maura Healey announced a $7.4 million settlement with two national auto lenders, American Credit Acceptance LLC (“ACA”) and Westlake Services LLC (“Westlake”).  The settlement resolves claims against the lenders that they charged excessive interest rates on subprime automotive loans.  ACA settled for $1.7 million, and Westlake for $5.7 million.… Continue Reading

House Democrats Join Senate Colleagues With Introduction of Identical HANGUP Act

Posted in ALL CFS Blog Entries, Auto Finance, Debt Buyers & Collectors, Mortgage Lenders & Servicers, State Attorneys General, CFPB, & FTC
House Democrats have joined an effort to ensure that the Telephone Consumer Protection Act of 1991 (“TCPA”) applies to calls to collect government-backed debt.  We previously reported that on November 4, 2015, Sen. Edward Markey (D-Mass.) introduced the Help Americans Never Get Unwanted Phone calls Act of 2015, also known as the HANGUP Act.  The… Continue Reading

FCC Circulates Draft Rule to Implement TCPA Exception for Government-Backed Loans

Posted in ALL CFS Blog Entries, Auto Finance, Debt Buyers & Collectors, Mortgage Lenders & Servicers, State Attorneys General, CFPB, & FTC
As we previously reported, section 301(b) of the Bipartisan Budget Act of 2015 permits an exception to the Telephone Consumer Protection Act of 1991 for calls and text messages “made solely to collect a debt owed to or guaranteed by the United States.” The  TCPA generally prohibits calls made and text messages sent utilizing artificial… Continue Reading

California’s Yvanova Decision Signals New Wave of Borrower Claims in Mortgage Litigation

Posted in ALL CFS Blog Entries, Featured Posts, Mortgage Lenders & Servicers
On February 18, the California Supreme Court issued a potentially far-reaching decision in Yvanova v. New Century Mortgage Corp., in which it ruled that certain mortgage borrowers have standing to sue for wrongful foreclosure based on a void assignment of the promissory note or deed of trust.  Although the Court limited the scope of its… Continue Reading

Coalition of State Attorneys General Urges Passage of the HANGUP Act

Posted in ALL CFS Blog Entries, Auto Finance, Debt Buyers & Collectors, Mortgage Lenders & Servicers, State Attorneys General, CFPB, & FTC
As we previously reported, on November 4, 2015, U. S. Senator Edward Markey (D-Mass.) introduced the Help Americans Never Get Unwanted Phone calls Act of 2015—or HANGUP Act for short.  The legislation, which has 14 Democratic co-sponsors, would repeal section 301(b) of the Bipartisan Budget Act of 2015, which permitted an exception to the Telephone Consumer… Continue Reading

Toyota Resolves CFPB/DOJ Joint Action Alleging Discriminatory Loan Practices

Posted in ALL CFS Blog Entries, Auto Finance, State Attorneys General, CFPB, & FTC
On February 2, following a joint investigation of the Consumer Financial Protection Bureau and the Civil Rights Division of the Department of Justice, Toyota Motor Credit Corporation, the financing arm and subsidiary of the Japanese auto giant, agreed to pay up to $21.9 million in restitution to thousands of minority borrowers who allegedly were charged… Continue Reading

TCPA Suit Involving Reassigned Phone Number Stayed Pending Appeal of FCC’s Order

Posted in ALL CFS Blog Entries, Auto Finance, Debt Buyers & Collectors, Mortgage Lenders & Servicers, Payment Processing & Cards
On December 17, Judge Christina Snyder of the United States District Court for the Central District of California granted a motion to stay a lawsuit under the Telephone Consumer Protection Act (“TCPA”) by Defendant Time Warner Cable (“TWC”).  The Court granted the motion pending the District of Columbia Circuit Court of Appeals’ decision in ACA… Continue Reading

FCC Files Responsive Brief in D.C. Circuit Appeal in Support of Controversial TCPA Order

Posted in ALL CFS Blog Entries, Auto Finance, Debt Buyers & Collectors, Featured Posts, Mortgage Lenders & Servicers, Payment Processing & Cards
On January 15, the Federal Communications Commission defended its controversial July 10, 2015 Order (the “Order”) expansively interpreting the Telephone Consumer Protection Act (“TCPA”) in a 110-page brief filed in ACA International et al. v. FCC et al., where several consolidated challenges to the Order by businesses and trade groups are being heard in the… Continue Reading

DOJ Battles Facebook on Constitutionality of TCPA

Posted in ALL CFS Blog Entries, Debt Buyers & Collectors, Featured Posts
On December 11, 2015, the United States Department of Justice filed an intervenor’s brief in support of the constitutionality of the “emergency calls exception” in the Telephone Consumer Protection Act (“TCPA”), a federal statute regulating the usage of automatic telephone dialer systems.  The issue embroils the government in a consumer dispute with Facebook, which is… Continue Reading

Coalition of Trade Groups Files Amicus Briefs in Support of TCPA Lawsuit Against FCC

Posted in ALL CFS Blog Entries, Debt Buyers & Collectors, State Attorneys General, CFPB, & FTC
We have previously reported on ACA International’s appeal from the Federal Communications Commission’s July 2015 Order interpreting the Telephone Consumer Protection Act of 1991 (“TCPA”) in the United States Court of Appeals for the District of Columbia Circuit, including the joint brief recently filed by petitioners on November 25. In addition to that joint brief,… Continue Reading

Petitioners File Joint Brief Seeking to Overturn FCC’s July 2015 TCPA Order

Posted in Debt Buyers & Collectors, State Attorneys General, CFPB, & FTC
As we previously reported, several legal challenges to the Federal Communications Commission’s July 10, 2015 order (the “FCC Order”) interpreting the Telephone Consumer Protection Act of 1991 (“TCPA”) were consolidated with the District of Columbia Circuit Court of Appeals as ACA International, et al. v. Federal Communications Commission et al.  The challengers believe the FCC… Continue Reading

Senate Democrats Look to Roll Back Recent TCPA Exception

Posted in ALL CFS Blog Entries, Debt Buyers & Collectors, State Attorneys General, CFPB, & FTC
As we previously reported, the Bipartisan Budget Act of 2015, which was passed by Congress and signed by President Obama on November 2, amended the Telephone Consumer Protection Act of 1991.  The TCPA limits the usage of automatic telephone dialing systems and artificial/prerecorded messages.  The recent modification allowed an exception to TCPA restrictions for calls… Continue Reading