Authored by Alexandria J. Reyes and Benjamin R. Carlsen

Two federal district courts have dismissed lawsuits filed against debt collectors, holding that filing proofs of claim in a bankruptcy case on debt subject to a statute of limitations defense is not actionable under the Fair Debt Collection Practices Act.

In Donaldson v. LVNV Funding, LLC…

The CFPB continues to crack down on deceptive conduct by mortgage lenders, as evidenced by a recent action against California-based RMK Financial Corporation.  According to an April 8, 2015 consent order issued by Richard Cordray, Director of the Consumer Financial Protection Bureau, RMK Financial sent print mailers to more than 100,000 consumers, falsely implying that…

On April 23, the Federal Trade Commission and the Office of the New York Attorney General announced they will host a “dialogue” to discuss consumer protection issues with the debt collection industry, including recent enforcement actions, consumer complaints about debt collection practices, and compliance issues.

The first “Debt Collection Dialogue” in Buffalo, New York will…

In Mattiaccio v. DHA Group, Inc., the plaintiff asserted three counts against his employer and its management under the Fair Credit Reporting Act.  The defendants attempted to defeat the plaintiff’s claim by arguing the background check at issue was not a “consumer report” and, therefore, did not trigger the protections of the FCRA.  Instead,…

A New York federal judge on April 17 approved a group of former Gawker Media LLC interns’ proposed revised plan to notify potential class members of their rights to opt out of a proposed collective action alleging unpaid wages through social media.  The same Court had previously rejected a social media campaign as being overbroad…

On April 22, the House of Representatives passed a bill requiring the Consumer Financial Protection Bureau to solicit input from several advisory boards and to cap the CFPB’s future funding.

H.R. 1195, the Bureau of Consumer Financial Protection Advisory Boards Act, was adopted in a 235-183 vote, after a House committee earlier adopted…

Advertising agency Campbell-Ewald Co. began sending text messages through its subcontractor, MindMatic LLC, in 2006 as part of a Navy-approved effort to tap new technologies in recruitment campaigns, the company says.  Among the recipients of the message, which began with “Destined for something big? Do it in the Navy,” was the plaintiff who said he…

Passed by a vote of 47-3, the Stop Credit Discrimination in Employment Act bans employers in New York City from using potential employees’ credit histories in making employment decisions.  The bill amends the city’s Human Rights Law to make it an unlawful discriminatory practice to request or use an applicant’s consumer credit history in making…

In Sweet v. LinkedIn Corporation, a number of job applicants sued the social networking service for alleged violations of the Fair Credit Reporting Act based on LinkedIn’s “Reference Search” function.  The Court dismissed the complaint at the pleadings stage, holding that the reports were not “consumer reports” and that LinkedIn was not a “consumer…

On April 9, the U.S. Judicial Panel on Multidistrict Litigation ordered that three putative nationwide class actions against Michaels Stores Inc. be centralized in New Jersey.  The actions accuse Michaels Stores of violating the Fair Credit Reporting Act (“FCRA”) by failing to properly notify job applicants that the company would access their credit reports.

Federal…