In a groundbreaking decision on July 24, the D.C. Circuit Court of Appeals held that a Texas bank could pursue its constitutional challenge against the Consumer Financial Protection Bureau and its Director.  This decision was notable in allowing a regulated entity to maintain a so-called “pre-enforcement” lawsuit against a federal agency which contested the legality …

On July 23, the full Senate Committee on Appropriations approved 12 appropriations measures, including provisions to increase oversight of the Consumer Financial Protection Bureau by bringing its funding under the annual Congressional appropriations process and to change the CFPB’s leadership structure to a five-member commission.  Our discussion of the Subcommittee’s work leading to this …

Earlier this week, the New York Supreme Court issued an opinion finding that an insurer has a duty to defend and indemnify a national background screening company in two Fair Credit Reporting Act actions despite the policy’s exclusions of fines and penalties.   

In the two underlying actions at issue (Scott Ernst v. Dish Network, …

This month, the Dodd-Frank Wall Street Reform and Consumer Protection Act celebrated its fifth anniversary.  Former Congressman Barney Frank and Senator Chris Dodd, co-authors of the Dodd-Frank Act, are pleased with the Act after five years, claiming that “the average American is much better off than before the rules were added,” because “subprime mortgages can’t …

Fair Debt Collection Practices Act lawsuits increased 16 percent from June 2014 to June 2015, according to a report issued by WebRecon.  The report also noted that FDCPA lawsuits increased from 885 to 1,129 from May to June this year.  According to the report, Fair Credit Reporting Act lawsuits also increased 22.7 percent from…

As Troutman Sanders LLP previously reported, earlier this month the Federal Communications Commission issued a sweeping 147-page Declaratory Ruling and Order expanding the definition of an automatic telephone dialer system (ATDS), clarifying revocation of consent, and providing limited exceptions for reassigned numbers, health care, and financial calls and text messages.  Since then, three entities …

As previously discussed in our June 15 post titled “New York DFS Clarifies Debt Collection Requirements,” the Federal Trade Commission co-hosted the first “Debt Collection Dialogue” in Buffalo, New York, together with the New York Attorney General’s Office.  As part of that event, FTC Bureau of Consumer Protection Director Jessica Rich and …

The Senate Finance Committee voted 23-3 in favor of extending a package of business and individual tax provisions known as “tax extenders,” including one that will ensure that mortgage debt that has been forgiven by a lender will be excluded from the borrower’s personal income.

Under current law, taxpayers who have mortgage debt canceled or …

On June 25, Senator Schumer of New York introduced a bill poetically titled the Act to Quell Unnecessary, Intentional, and Encroaching Telephone Calls Act of 2015 (the “QUIET Act”) that would criminalize the knowing use of telemarketing robocalls without the prior express consent of the recipient.   

Under the QUIET Act, it would be illegal to …

The Consumer Financial Protection Bureau issued a final rule that delays the effective date of the Know Before You Owe mortgage disclosure rule to October 3, 2015.  This news follows on the announcement by the CFPB on June 24 of its proposed amendment to the rule, also known as the TILA-RESPA Integrated Disclosure rule (“TRID”), …