Effective October 7, New York law now authorizes state courts to seal nonviolent criminal convictions that are more than ten years old. The newly enacted New York Criminal Procedure Law § 160.59 allows criminal defendants to apply to seal one felony and one misdemeanor conviction, or two misdemeanor convictions, for offenses other than violent and
FTC and State AGs to Announce Major Coordinated Consumer Fraud Enforcement Initiative
The Federal Trade Commission (FTC) issued a press release earlier today alerting the media and other interested parties that it will announce a “major coordinated consumer fraud enforcement initiative” Friday, October 13 at 11:30 a.m. EST.
The Acting Director of the FTC’s Bureau of Consumer Protection, Thomas Pahl, and Illinois Attorney General Lisa Madigan will
House Financial Services Committee Hears Bill to Exempt Lawyers from FDCPA in Connection with Legal Proceedings and Related Communications
On September 7, the Financial Services Committee held hearings on a bill, H.R. 1849: Practice of Law Technical Clarification Act of 2017 (Trott), that seeks to amend the Fair Debt Collection Practices Act.
The current definition of “debt collector” under the FDCPA does not make clear whether it applies to attorneys, especially in the
California Adds Fraudulently Created Accounts to List of Exclusions from Compelled Arbitration
California Governor Jerry Brown has signed legislation creating a new exception to mandatory arbitration within the California Arbitration Act. SB 33, introduced by Sen. Bill Dodd in December 2016, permits an existing customer of a bank to sue a depository bank when a fraudulent account is opened unknowingly in the consumer’s name. The exception specifically
House Financial Services Committee Chairman Urges National Data Breach and Data Security Standards
On October 5, House Financial Services Committee Chairman Jeb Hensarling (R-Texas) called for national standards for data breach notification and data security. While voicing concerns about a “Washington-forced technology solution,” Hensarling said, “We do need a consistent national standard for both data security and breach notification in order to better protect our consumers, hold companies
CFPB Rule Requires Payday Lenders to Apply “Ability to Repay” Standard to Loans
Today the Consumer Financial Protection Bureau (“CFPB” or the “Bureau”) issued a new rule that will have a significant impact on the payday lending market. The CFPB will now require lenders to conduct a “full-payment test” to determine upfront whether the borrower will have the ability to repay the loan when it becomes due. Lenders
Massachusetts AG Accuses Used Car Dealer of Deceptive Practices
On September 26, Massachusetts Attorney General Maura Healey’s office filed a complaint against used car dealer JD Byrider, accusing the dealership of using predatory practices in its sale of allegedly defective vehicles. The AG’s Office contends that JD Byrider sold allegedly defective vehicles with high cost loans to Massachusetts consumers in the “JD Byrider Program,”
CFPB Issues Guidance to Small Businesses on Complying With Rule Banning Class Action Waivers
On July 10, the Consumer Financial Protection Bureau issued its long-awaited final Rule banning class action waivers in arbitration provisions for covered entities, as well as requiring the covered entities to provide information to the CFPB regarding any efforts to compel arbitration. This Rule is of significance to any financial services company that utilizes consumer
No Vacancy – Court Denies Class Certification in FCRA Case Against Hyatt
On March 13, 2017, Carlos Guarisma filed a class action complaint against Hyatt Equities, alleging violation of the Fair Credit Reporting Act. The complaint alleges that Hyatt printed more than the last five digits of customers’ credit card numbers on hotel receipts. Guarisma sought to represent a class of Hyatt hotel guests. This
U.S. Chamber of Commerce and Other Business Associations Sue to Overturn Ban on Class Action Waivers
The U.S. Chamber of Commerce and other business groups have filed a federal lawsuit seeking to invalidate the Consumer Financial Protection Bureau’s Rule banning class action waivers in arbitration provisions contained in financial institutions’ contracts with consumers. Compliance with the Rule would be required beginning March 19, 2018. The lawsuit was filed in the United