To keep you informed of recent activities, below are several of the most significant federal and state events that have influenced the Consumer Financial Services industry over the past week:
New York City’s Amended Debt Collection Rules Draw Legal Challenge
New York City’s recently amended debt collection rules — scheduled to go into effect on December 1, 2024 and which would stringently regulate various debt collection activities by debt collectors operating in the city — have drawn a constitutional legal challenge. Whether this challenge will affect the effective date is yet to be seen. The plaintiffs seek declaratory and injunctive relief to prevent the enforcement of the rules amending Title 6 of the Rules of the City of New York, which they argue are unconstitutional and preempted by federal and state law.
FTC Finalizes Amendments to Negative Option Rule
In March 2023, we discussed the Federal Trade Commission’s (FTC) Notice of Proposed Rulemaking (NPRM) aimed at making it easier for consumers to cancel recurring subscriptions and memberships. The proposed rule was part of the FTC’s review of its Negative Option Rule, which sought to broaden its scope. Publication of the NPRM resulted in more
Troutman Pepper Weekly Consumer Financial Services Newsletter – October 15, 2024
To keep you informed of recent activities, below are several of the most significant federal and state events that have influenced the Consumer Financial Services industry over the past week:
Effective Dates Announced for Amendments to TCPA Rules
The Federal Communications Commission (FCC) has announced new effective dates for amendments to rules under the Telephone Consumer Protection Act (TCPA) aimed at strengthening consumer protections against robocalls and robotexts. These amendments, published on March 5, 2024, will take effect on April 11, 2025.
CFPB’s Fall Edition of Supervisory Highlights Focuses on Auto-Finance Market
On October 7, the Consumer Financial Protection Bureau (CFPB or Bureau) published the Fall edition of its Supervisory Highlights, focusing on examinations of the auto-finance market completed between November 1, 2023, and August 30, 2024. The report highlights significant findings across various aspects of consumers’ experiences with vehicle finance, including origination disclosures, repossession activities, servicing practices, the handling of add-on products, and credit reporting.
Troutman Pepper Weekly Consumer Financial Services Newsletter – October 7, 2024
To keep you informed of recent activities, below are several of the most significant federal and state events that have influenced the Consumer Financial Services industry over the past week:
Supreme Court Grants Certiorari: Revisiting the Hobbs Act and FCC Interpretations
On October 4, the Supreme Court granted certiorari in the case of McLaughlin Chiropractic Associates, Inc. v. McKesson Corporation. This case will address a critical question that has been a point of contention among various circuit courts: whether the Hobbs Act, which limits judicial review of Federal Communications Commission (FCC) “final orders” to appellate courts, requires district courts to accept the FCC legal interpretation of the Telephone Consumer Protection Act (TCPA). While the Supreme Court previously addressed whether the Hobbs Act applied in private litigation, it ultimately did not resolve whether a district court is required to follow a particular FCC order interpreting the TCPA.
CFPB Intensifies Scrutiny on Medical Debt Collection Practices
On October 1, the Consumer Financial Protection Bureau (CFPB or Bureau) issued an advisory opinion aimed at debt collectors and emphasizing their obligations under the Fair Debt Collection Practices Act (FDCPA) and Regulation F. The opinion specifically emphasizes the prohibitions on false, deceptive, or misleading representations, and unfair or unconscionable means to collect or attempt to collect medical debts.
California Extends Compliance Deadline for Digital Financial Asset Businesses
On September 29, California Governor Gavin Newsom signed Assembly Bill (AB) 1934 into law, marking a significant update to California’s Digital Financial Assets Law (DFAL). In addition to extending the compliance deadline for digital financial asset businesses, providing them with additional time to meet regulatory requirements and implement necessary operational changes, this new legislation includes significant modifications to the DFAL.