On September 27, the Illinois Court of Appeals reversed a ruling in favor of Neiman Marcus, finding that the department store violated the Illinois Employee Credit Privacy Act, 820 ILCS 70/1 et seq., when it ran background checks on potential employees.  The Act prohibits an employer from inquiring into a potential employee’s credit history, …

We are pleased to announce that Troutman Sanders partner Keith Barnett will be a featured speaker at the LEND360 conference taking place October 5-7 in Chicago.

Keith will participate on a panel entitled “Regulatory Initiatives and Compliance for Payment Processing” on October 6.  The panelists will discuss the current regulatory environment for online lenders and…

On September 13, the New York Department of Financial Services issued proposed regulations that would require banks, insurance companies, and other financial services institutions to establish and maintain a cybersecurity program and to take other measures to protect against data breaches and cyber attacks.  

Among the planned requirements, regulated financial institutions will be required to …

We are pleased to announce that Andrew B. Buxbaum has joined the firm’s Financial Services Litigation practice as Of Counsel in the Richmond Office. He joins the firm from SunTrust Banks, Inc., where he was First Vice President & Senior Counsel of Substantial Litigation.

At SunTrust, Andrew managed major litigation, class actions, government investigations and…

On September 15, the Federal Trade Commission published a staff paper providing its perspective on the lead generation business.  Although the FTC recognized some of the advantages of lead generation, the paper was a clear warning to “unscrupulous actors in the lead generation industry” of potential consequences.  The staff paper signals that the FTC is …

A federal judge in the Northern District of California certified a class of job applicants in a lawsuit claiming a background check firm violated the federal Fair Credit Reporting Act.  The Court certified the class over the arguments of the defendant that the members of the putative class lacked Article III standing under the standard …

Nine months after filing an amended complaint, the FTC and Florida Attorney General have filed papers seeking entry of agreed permanent injunctions and monetary judgments against numerous defendants involved in an alleged nationwide debt relief telemarketing scam.  The proposed settlements resolve allegations that the defendants violated the FTC Act, the Telemarketing Act, the Telemarketing…

On September 13, the U.S. House of Representatives Financial Services Committee passed an amended version of the Financial CHOICE Act, which will result in significant changes to the Consumer Financial Protection Bureau if it becomes law.  The amended CHOICE Act would reform the CFPB’s structure and limit its regulatory authority, while also repealing several sections …

Troutman Sanders’ Regulatory and Enforcement practice published its first Regulatory Report for Payment Processors in September.  The report includes the feature article “Getting Your Legal House in Order: Key Considerations for Selling Your Payment Processing Business,” written by Tyler Dempsey and Cot Eversole.  

The report also features several recent regulatory and enforcement updates affecting …

You cannot control when a data breach or other cyber incident will occur at your financial institution, but you can control how you prepare for it. Cyberattacks and incidents are increasing across every industry. This holds true for large financial players and small community banks alike. The rise of these incidents will have an impact…