A recent decision out of the Eastern District of Wisconsin provides an important reminder to loan servicers that a statement in a debt collection letter could be considered misleading under the Fair Debt Collection Practices Act (“FDCPA”), 15 U.S.C. § 1692 et seq., even if the letter is “literally correct.”
The case is Reitz v.
With the financial fallout of the novel coronavirus (“COVID-19”), consumer financial services businesses should anticipate an increase in state court counterclaims filed in response to collection actions. These counterclaims are often challenging and can make it practically difficult to come out ahead financially if not handled appropriately.
On August 27, 2020, Troutman Pepper attorney David
The California Consumer Privacy Act of 2018 (CCPA) went into effect January 1, 2020. While the CCPA was amended in October of 2019 to exempt certain employment and personal information involved in business-to-business (B2B) communications and transactions, those limited exemptions were set to expire on January 1, 2021. Although, the California Privacy Rights Act (CPRA
Like most industries today, Consumer Finance Services businesses are being significantly impacted by the novel coronavirus (COVID-19). Troutman Pepper has developed a dedicated COVID-19 Resource Center to guide clients through this unprecedented global health challenge. We regularly update this site with COVID-19 news and developments, recommendations from leading health organizations, and tools that businesses can
In Emily Smith v. The Hartford, No. 4:20-CV-00041-CLM, 2020 WL 4815143 (N.D. Ala. Aug. 19, 2020), the Court refused to consider mental incapacity, among other arguments, as grounds to overcome the Eleventh Circuit’s strict exhaustion requirement for ERISA. This decision reinforces the very narrow exceptions available to a plaintiff in circumventing the exhaustion requirement.
Troutman Pepper Attorneys, David Anthony and Jonathan Floyd recently published the article, “The Inconvenience of Convenience Fees” in ACA’s Collector Magazine.
Convenience fees have emerged as a prominent topic and potential source of litigation in the accounts receivable management (ARM) industry as creditors and debt collectors look to defray the expense of payment processing. The
The plaintiff incurred a debt to a medical provider who placed the debt with a debt collector. The collection letter from the debt collector included a request for repayment of principal and interest. The plaintiff filed a lawsuit alleging that the debt collector violated the Fair Debt Collection Practices Act (FDCPA) because it was not
Fair Credit Reporting Act (“FCRA”) plaintiffs learned a hard lesson in procedure recently when the Second Circuit Court of Appeals affirmed the dismissal of their claim because they (presumably) failed to follow the notification process required by 15 U.S.C. § 1681s-2(b), which foreclosed their private right of action.
The case is Sprague v. Salisbury Bank
On July 27, 2020, the Eastern District of Pennsylvania confirmed that a plaintiff lacks Article III standing to state a claim for violation of the Fair Credit Reporting Act (“FCRA”) premised solely on the failure to receive a copy of the background report and the statute’s procedurally-required summary of rights. In Davis v. C&D Sec.
In January 2017, the Attorney General of Colorado filed two lawsuits against Marlette Funding LLC and Avant of Colorado LLC. Among other things, the lawsuits claimed that these two companies, as the online platforms for loans made to Colorado citizens, violated Colorado’s usury caps. In November 2018, the Attorney General amended the complaint to include